Furniture Stores Industry Overview

Excerpt from Furniture Stores Report

Companies in this industry sell household furniture and mattresses to consumers. Major companies include Ashley Furniture Industries, Bassett Furniture, Haverty Furniture, La-Z-Boy, and Rooms To Go (all based in the US) as well as DaVinci (China), HOLA Home Furnishing (Taiwan), Home Retail Group (UK), and IKEA (Sweden).

Competitive Landscape

Household furniture sales are closely linked to home sales. Office furniture sales are linked to employment growth and new business formations. The profitability of furniture stores depends on merchandising and marketing. Small stores can co-exist with large ones by carrying special goods that appeal to a particular type of customer. The industry is fragmented: the 50 largest companies generate about 35 percent of revenue.

Products, Operations & Technology

A typical furniture store sells living room, dining room, kitchen, and bedroom furniture, along with mattresses. Products are sometimes classified as "case goods" (wood furniture) or upholstered products. Most retail furniture stores sell a broad range of products, but some concentrate on one furniture type, such as mattresses, sofas, or office or children's furniture. Store operations involve sales management, merchandising (deciding which products to sell), inventory management, and (sometimes) credit financing.