home textiles today april 4th issue

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SEE EXPANSION PAGE 23 NEW YORK Marimekko is continuing to expand its distribution in the United States this year with the opening of a flagship store in Manhattan, a U.S.-based e-commerce site, and extended collaboration with Crate and Barrel. Marimekko’s also plans to increase its presence in home furnishing stores as well as new retail partnerships for clothing and accessories. “We’re really pulling it together for a target consumer is predisposed to great design,” said Lynn Shanahan, president of Marimekko North America Retail LLC, a subsid- iary established in the United States earlier this year. As ceo of brand management firm Marimekko Steps Up U.S. Expansion BY CECILE B. CORRAL NEW YORK It’s been about five years since celebrity interior decorator and home fashions designer Christopher Low- ell developed and marketed his own brand- ed collection of home textiles and room décor merchandise. But now he’s back. Lowell — who partnered with Burl- ington Coat Factory for the Christopher Lowell home collection from 2001 to 2006 and hosted his own decorating program on The Discovery Channel for nine years — is launching a new collection of bedding and bath textiles this spring. Only this time Lowell, who is represent- ed by The Beanstalk Group, has opted to take a different approach with his home textiles program. Instead of licensing his designs and brand to a retailer, he has joined forces with home textiles suppli- er Fayette-Renaissance to create and mar- ket his new collection to a variety of retail tiers from discount through better depart- ment stores. The foundation of Lowell’s new collec- tion is based on the designer’s long-estab- lished Color Courage palette, which he cre- ated as a color tool with pre-selected color combinations designed to work together. Lowell offers four decorating style cate- gories — City, Town, Country and Shore — which he also employs in his new lin- ens collection. Aside from adhering to Lowell’s color deck, the new collection has been broken down into three design stories that each address a different customer bracket. Lowell Returns to Textiles TEXTILES INDUSTRY | hometextilestoday.com | Vol. 32, No. 10 | $8.00 SEE LOWELL PAGE 20 Lynn Shannahan, president of Marimekko North America, right, with Revman International’s Rich Roman during the opening of the first Marimekko shop-in- shop within Crate & Barrel in Manhattan last fall. Revman produces Marimekko’s home textiles. BY JENNIFER WHITE KARP NEW YORK Are two of the most important home textiles introductions of the past decade — both from the famed Polo stable — not the prized stallions they once were? Their retailers are not saying, but the bed- ding collections of American Living at JCPen- ney and Chaps Home at Kohl’s, which were both created several years ago in conjunction with design powerhouse Polo Ralph Lauren, appear to have lost some of their luster. Few of the merchandising bells and whistles that were announced with the debut of these brands are in place and neither seems to have the premium positioning on the sales floor it did at its launch. Home Textiles Today editors recently shopped the programs at a New York area branch of each retailer and while these impressions only represent the shopping experience at these individual stores, they may be more indicative of the bigger picture. This report kicks off a new series in HTT called “Face to Face” compar- ing similar merchandising classifications at pairs of competing retailers. Kohl’s executives were traveling and unavailable for comment, according to a spokesperson. JCPenney executives could not respond to a request for comment in time to meet HTT’s press deadline. Introduced three years ago, American Living, created by Polo Ralph Lauren, is the newer brand. The program was the largest brand launch to date in the com- pany’s history and was initially intended for the retailer’s “best” pricing category. Monday, April 4, 2011 THE BUSINESS AND FASHION NEWSPAPER OF THE HOME How Penney and Kohl’s Ride Their Polo Ponies Home SEE FACE PAGE 24 Both Kohl’s, left, and JCPenney have chosen from the Ralph Lauren stable for flagship programs, but several years into their shelf life, are the two lines starting to show their age?

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Page 1: Home Textiles Today April 4th Issue

SEE EXPANSION PAGE 23

NEW YORK — Marimekko is continuing to expand its distribution in the United States this year with the opening of a fl agship store in Manhattan, a U.S.-based e-commerce site, and extended collaboration with Crate and Barrel.

Marimekko’s also plans to increase its presence in home furnishing stores as well as new retail partnerships for clothing and accessories.

“We’re really pulling it together for a target consumer is predisposed to great design,” said Lynn Shanahan, president of Marimekko North America Retail LLC, a subsid-iary established in the United States earlier this year. As ceo of brand management fi rm

Marimekko Steps Up U.S. Expansion

BY CECILE B. CORRAL

NEW YORK — It’s been about five years since celebrity interior decorator and home fashions designer Christopher Low-ell developed and marketed his own brand-ed collection of home textiles and room décor merchandise.

But now he’s back.Lowell — who partnered with Burl-

ington Coat Factory for the Christopher Lowell home collection from 2001 to 2006 and hosted his own decorating program on The Discovery Channel for nine years — is launching a new collection of bedding and bath textiles this spring.

Only this time Lowell, who is represent-ed by The Beanstalk Group, has opted to take a different approach with his home textiles program. Instead of licensing his

designs and brand to a retailer, he has joined forces with home textiles suppli-er Fayette-Renaissance to create and mar-ket his new collection to a variety of retail tiers from discount through better depart-ment stores.

The foundation of Lowell’s new collec-tion is based on the designer’s long-estab-lished Color Courage palette, which he cre-ated as a color tool with pre-selected color combinations designed to work together.

Lowell offers four decorating style cate-gories — City, Town, Country and Shore — which he also employs in his new lin-ens collection.

Aside from adhering to Lowell’s color deck, the new collection has been broken down into three design stories that each address a different customer bracket.

Lowell Returns to Textiles

TEXTILES INDUSTRY | hometextilestoday.com | Vol. 32, No. 10 | $8.00

SEE LOWELL PAGE 20

Lynn Shannahan, president of Marimekko North America, right, with Revman International’s Rich Roman during the opening of the first Marimekko shop-in-shop within Crate & Barrel in Manhattan last fall. Revman produces Marimekko’s home textiles.

HTT_Cvr for Wrap_final.indd 1HTT_Cvr for Wrap_final.indd 1 3/29/2011 5:10:40 PM3/29/2011 5:10:40 PM

BY JENNIFER WHITE KARP

NEW YORK — Are two of the most important home textiles introductions of the past decade — both from the famed Polo stable — not the prized stallions they once were?

Their retailers are not saying, but the bed-ding collections of American Living at JCPen-ney and Chaps Home at Kohl’s, which were both created several years ago in conjunction

with design powerhouse Polo Ralph Lauren, appear to have lost some of their luster. Few of the merchandising bells and whistles that were announced with the debut of these brands are in place and neither seems to have the premium positioning on the sales fl oor it did at its launch.

Home Textiles Today editors recently shopped the programs at a New York area branch of each retailer and while these impressions only represent the shopping experience at these individual stores, they may be more indicative of the bigger picture. This report kicks off a new series in HTT called “Face to Face” compar-ing similar merchandising classifi cations at pairs of competing retailers.

Kohl’s executives were traveling and unavailable for comment, according to a spokesperson. JCPenney executives could not respond to a request for comment in time to meet HTT’s press deadline.

Introduced three years ago, American Living, created by Polo Ralph Lauren, is the newer brand. The program was the largest brand launch to date in the com-pany’s history and was initially intended for the retailer’s “best” pricing category.

Monday, April 4, 2011

THE BUSINESS AND FASHION NEWSPAPER OF THE HOME

How Penney and Kohl’s Ride Their

Polo Ponies Home

SEE FACE PAGE 24

Both Kohl’s, left, and JCPenney have chosen from the Ralph Lauren stable for flagship programs, but several years into their shelf life, are the two lines starting to show their age?

Page 2: Home Textiles Today April 4th Issue

HIGH POINTSHOWPLACE 3233

April 2-7, 2011

THESURYA

EXPERIENCE

HTT_Front_Flap 2 3/25/2011 5:26:48 PM

Page 3: Home Textiles Today April 4th Issue

HIGH POINTSHOWPLACE 3233

April 2-7, 2011

THESURYA

EXPERIENCE

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SEE EXPANSION PAGE 23

January 10, 2011

HIGH POINTSHOWPLACE 3233

April 2-7, 2011

Surya's Solutionsto Increase YourAccessory Sales

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NEW YORK — Marimekko is continuing to expand its distribution in the United States this year with the opening of a fl agship store in Manhattan, a U.S.-based e-commerce site, and extended collaboration with Crate and Barrel.

Marimekko’s also plans to increase its presence in home furnishing stores as well as new retail partnerships for clothing and accessories.

“We’re really pulling it together for a target consumer is predisposed to great design,” said Lynn Shanahan, president of Marimekko North America Retail LLC, a subsid-iary established in the United States earlier this year. As ceo of brand management fi rm

Marimekko Steps Up U.S. Expansion

BY CECILE B. CORRAL

NEW YORK — It’s been about five years since celebrity interior decorator and home fashions designer Christopher Low-ell developed and marketed his own brand-ed collection of home textiles and room décor merchandise.

But now he’s back.Lowell — who partnered with Burl-

ington Coat Factory for the Christopher Lowell home collection from 2001 to 2006 and hosted his own decorating program on The Discovery Channel for nine years — is launching a new collection of bedding and bath textiles this spring.

Only this time Lowell, who is represent-ed by The Beanstalk Group, has opted to take a different approach with his home textiles program. Instead of licensing his

designs and brand to a retailer, he has joined forces with home textiles suppli-er Fayette-Renaissance to create and mar-ket his new collection to a variety of retail tiers from discount through better depart-ment stores.

The foundation of Lowell’s new collec-tion is based on the designer’s long-estab-lished Color Courage palette, which he cre-ated as a color tool with pre-selected color combinations designed to work together.

Lowell offers four decorating style cate-gories — City, Town, Country and Shore — which he also employs in his new lin-ens collection.

Aside from adhering to Lowell’s color deck, the new collection has been broken down into three design stories that each address a different customer bracket.

Lowell Returns to Textiles

TEXTILES INDUSTRY | hometextilestoday.com | Vol. 32, No. 10 | $8.00

SEE LOWELL PAGE 20

Lynn Shannahan, president of Marimekko North America, right, with Revman International’s Rich Roman during the opening of the first Marimekko shop-in-shop within Crate & Barrel in Manhattan last fall. Revman produces Marimekko’s home textiles.

Page 4: Home Textiles Today April 4th Issue

2 Home Textiles Today News > hometextilestoday.com

Newport/Layton Touts “Made in the U.S.A.” Statement

April 4, 2011

BY CECILE B. CORRAL

NEW YORK — Newport/Lay-ton Home Fashions’ message to retailers during the recent New York Home Fashions Market was a patriotic one.

“We’re touting our continued growth in our Made in the U.S.A. business, and we’re emphasizing that message to our retail part-ners,” said Corey Faul, presi-dent.

Originally a domestic man-ufacturer of bedding and dec-orative pillows that this year celebrates its 55th anniversary, Newport/Layton’s first began importing around 2000 and con-tinued on that path through 2004 sold its quilting equipment and moved the bulk of its top-of-bed manufacturing offshore, mostly to China but also to India.

“At the same time, our dec pillow business went from 90%

cut-and-sewn in the U.S. down to 20% U.S., 80% overseas,” he said.

But in the past three years, the company has seen a shift favoring domestic manufacturing.

Hindrances related to import-ing bedding and decorative pil-lows in recent years, he said, have included too-long lead times, inconsistent quality, and cost increases related to manu-facturing.

“But as costs continue rising in China, the gap has been nar-rowed with U.S. cutting-and-sew-ing manufacturing,” Faul said.

Then there are the hand-writ-ten and emailed letters sent to corporate headquarter in Port-land, Ore.

“There is a consumer move-ment going on for Made in the U.S.A. products,” Faul noted. “We must receive 15 to 20 letters each month from people tell-

ing us how happy they are about buying a U.S.A.-made dec pillow. One lady even told us that price wasn’t an issue. She liked the design of one of our pillows, and liked even more that it was made in the U.S.A., so she bought it.”

As the company returns to its home-manufacturing roots, 60% of its decorative pillow line is now made at Newport/Layton’s 100,000-plus square-foot facility at headquarters. All of its U.S.-made goods carry a label saying so. The company is working with another U.S. mill based in Penn-sylvania to produce some bed-ding products.

Additionally, Newport/Lay-ton recently hired 45 new factory workers to man its cutting and sewing operations, “and we’re looking for more domestic man-ufacturing partners to develop more products for us here,” Faul said. HTT

NEW YORK — Balta U.S. is giv-ing legs to its signature outdoor line of sisal-like rugs with a new indoor-inclined collection of similar products.

“We’re known for our out-door rugs, so for this market we thought we’d create a new indoor look in flatwovens,” explained Patrick Moyer, pres-ident.

This new program comes in two styles – a double-ply and a single ply – which offers two price brackets for different con-sumer bases.

Marketed as Luxury Flat-weave, the double-ply grouping is called “Grace” and is a heat-set cabled, twisted yarn construc-tion with four strands of color in each fi ber. Moyer described these rugs as “well thought out, well engineered products” in a flatweave polypropylene con-struction. The retails are set to range from $129 to $199.

Its more promotional sister product, marketed Premier Flat-weaves, are non-heat set single-ply rugs that still offer a sisal-look-ing texture for indoor use. The retail price is set at $69 to $79.

Moyer said the company has added loom capacity to accom-modate this growing business for Balta U.S., adding the company has “the first 4-meter-80 loom that allows us to produce two 8-by-10 [rugs] side by side.”

He continued, “We’re very committed to this category, both for outdoor and now indoor.”

New in-store displays are also part of this new push. Balta U.S.’s national account market-ing and planning director, Jeff Patrick, based the design on par-ent company Balta’s similar dis-plays for its broadloom products. The flatweave display accom-modates up to 20 rug samples. HTT

Suppliers Ready Intros for High Point

Imax is showing the Betty Ruth pillow at High Point this week. It is among suppliers hitting market this week with multiple new product introductions. See pages 6-8 for a gallery of what else is new at market.

CA L H O U N, GA. — Mohawk Home this recently went live with its new website as well as a bevy of new high-tech initia-tives that include a new QR — or Quick Response — as well as heavy focus on social media.

At the heart of the effort is the newly revamped site — www.mohawkhome.com — which features on its launching page a message from divisional president Bill Kilbride as well as several informational tabs —Company, Products, Retailers, Customers and Greenworks.

While users cannot purchase company products — area and accent rugs, indoor and out-door mats, and washable bath rugs — directly from the site, Mohawk Home marketing spe-cialist Jennifer Palmer said they can select the retailer tab and from there link to any of nine stores — Anna’s Linens, Bed Bath & Beyond, The Home Depot, Kohl’s, Lowe’s Menards, Sears, Target and Walmart – all of which carry Mohawk Home-branded products, and be sent “to [each retailer’s] Mohawk Home launching page where

our consumers can link to live product for purchase.”

From the site, shoppers can also download two PDF files with answers to their most fre-quently asked questions related to “Care and Cleaning” and “What’s the right size rug?”

Customers can also interact live with Mohawk via its many social media pages, including Facebook, Myspace, Twitter, Friendster and others.

Another way to access this information or shop for Mohawk product is via its new QR apps, which are rolling out to all prod-uct labels for easy downloading from mobile devices.

“We’re embracing social media and mobile market-ing because of its importance today,” explained Jeffrey Seagle, director of marketing and prod-uct merchandising.

He described the QR app as “a silent salesperson” that pro-vides consumers with a broad range of product-related infor-mation, and “the beauty of it is that we can track it and learn how people use it and how we can better help them.” HTT

Balta brings Outdoors in with “Luxury Flatweave” Collection

Mohawk Home Launches Website, Rolls Out QR Apps

Patrick Moyer, president of Balta U.S., with the retail display fixture and product samples from the company’s new Luxury Flatweave collection of indoor casual rugs.

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Page 5: Home Textiles Today April 4th Issue

That’s why industry leaders such as Mohawk, Glenoit, Shaw, Oriental Weavers,Welspun, Home Dynamix, Gertmanian, YMF Carpets, Achim Importing, KAS Rugs,Carpet Enterprises, Natco Products, Town & Country Living and Ruia Home make295 Fifth their home.

Make it yours, and you can enjoy these advantages:

• More actual square footage for your rental $. 295 Fifth has the lowest loss factor in the home textile showroom market.* Compare our space measurementsand you’ll see how you’re paying much less for actual square footage at 295.

• The most Market Week traffic. 295 Fifth is the only building to rent exclusivelyto the home textiles, tabletop and gift industries for showrooms. And we havemore than double the number of showrooms than any other building.

• Free freight service and more freight cars running full-time, including weekendsprior to each Market Week.

• State-of-the-art security and 15 daytime employees—twice the staff of anycomparable building to keep the building spotless and well-serviced.

Be part of the best for less!

Call Lou Lombardi at 212-685-0530.

LOU LOMBARDI, PresidentMANHATTAN PROPERTIES COMPANYOwner/Management

*according to official REBNY guidelines

Best Building. Best Rent. Best Tenants.

295 FIFTH AVENUE • NEW YORK, NY 10016 • 212-685-0530 • [email protected]

cornerstone of the home textile market

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Page 6: Home Textiles Today April 4th Issue

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OPINIONTodaY

WH O E V E R T H O U G H T T H AT in the year 2011 we would be talking about Ma-cy’s as one of the better performing retail-ers in home furnishings?

As recently as within the last decade a whole lot of people thought we would be talking about Macy’s in the past-tense as in the late, lamented department store we once knew.

Instead, Macy’s has righted itself and be-come a pretty good retailer, outperforming a lot of the other kids on the block and in the process taking itself well off the endangered re-tail species list.

And here’s the most amazing part. Macy’s did it largely through – drum roll, wait for it – merchandising. Incredible.

Mind you, Macy’s still has enormous upside potential to do better and you could walk the fl oor of any its stores anywhere in the country and fi nd lots of things it could be doing better.

But from where it was – and more importantly, where it was headed – it’s a pretty remarkable story.

Merchandising has been the vehicle that has taken Ma-cy’s there. The My Macy’s program of localized assort-ments has been the most important piece of the puzzle. Tailoring the mix to fi t the locale has been the holy grail of retailing ever since the old “O” tables at A&S in Brook-

lyn. Penney used to be pretty good at individual store as-sortments, but its bureaucracy tainted the process. Bed Bath & Beyond is the best at it and has made the for-

mula work longer and better than anyone ever thought possible.

Macy’s went in the exact opposite direction as it consumed other department store name-plates as if it were a zombie refugee from some Night of the Retail Living Dead movie. It clear-ly wasn’t working.

But the My Macy’s program is. It’s not just a return to regional merchandising, it’s neighbor-hood retailing in the truest sense. The Macy’s in Garden State Plaza in Paramus will have a different mix on the fl oor than the one in New-port in Jersey City 20 miles away.

Does it work perfectly? Probably not. But it’s a great advance and it shows that large-scale operations don’t have to drown in their own enormity.

But it’s not just My Macy’s. It’s the private label pro-gram and more importantly, the choice of private labels. The names and celebrities it has picked are above average and approaching Kohl’s, which is perceived (at least here) as the best private brand merchandiser in the business.

Martha Stewart and Tommy Hilfi ger are great additions to Macy’s selling fl oor, and locking them up has been a key piece of the merchandising equation.

And there’s more. The national advertising for Macy’s, often featuring its stable of celebrities, is witty, clever and memorable. This is one area where Macy’s in fact out-shines Kohl’s, which seems to change slogans and ad di-rections almost as often as its fl oor displays.

Let’s not forget Macys.com. Late out of the gate and modestly started, it has matured into a hugely successful operation, in the same league as the best of class (OK, maybe not Amazon, but just about anybody else).

Finally, there is management. From Terry Lundgren on down, Macy’s has developed a strong merchandising team that gets the job done. I haven’t heard a vendor com-plain about Macy’s in almost a year, and there’s no better proof than that that it has its act together.

There are still too many three-day one-day sales and the coupons, gift cards and other promotional paraphernalia could still be simplifi ed in my book. I’d love to see its cir-culars look as good as Crate and Barrel and West Elm and some of the other better marketers. And there’s still room for Macy’s to push the top end a bit more than it does…without pissing off Bloomingdale’s.

Yet it sure is nice to see Macy’s where it is now. I’ve taken my shots at it in the past and no doubt there will be others down the road.

So even if we’re still not at the miracle on 34th Street stage yet, it’s a lot closer than anybody would have thought possible not all that long ago. HTT

“Macy’s has righted itself and become a pretty good retailer, outperforming a lot of the other kids on the block and in the process taking itself well off the endangered retail species list.”

My, My Macy’s

MA RCH 2010 BROUGH T cheery news for a weary retail sector. Same-store sales on the Johnson Redbook Index that month rose 9.0%, the best

monthly performance in a decade.The fact that Easter took place in March

helped boost results, as did comparisons to a puny March 2009, when comps fell 0.8%. But at the time, it seemed like a turning point.

It turned out not to be, but that point was approaching. Redbook’s monthly same-store sales index has been running positive monthly comps consecutively since Octo-ber 2009.

But while the relative numbers are up, the overall vol-ume of business remains lower than it was two years ago. The basket of retailers tracked by Redbook — which in-cludes general merchandise, grocery, drug and special-ty retail chains — generated about $16.8 billion in sales

in March 2009. Last month, they did about $15.95 bil-lion. Silver lining: Last month’s total business for the

Redbook group was about 1.5% larger than it was in March 2010 — without Easter sales to goose things along.

Last week, the U.S. Commerce Department reported a 0.7% uptick in consumer spend-ing in February — the eighth straight month of growth — but noted most of the extra dol-lars were spent covering higher food and en-ergy costs.

With consumer incomes ahead by only 0.3% in February, consumers continue to act more prudently than they did during the giddy bubble years. Consumers are still paying down debt and

using credit cards more sparingly than they used to.It’s all a part of what “For Your Home Host” Vicki

Payne calls “living smaller.”Payne spent a few days in the Royale Linens show-

room during the recent New York Home Fashions Mar-

ket for the launch of her bedding line there.Since she deals with all areas of home — from con-

struction and remodeling to decorating — I asked her what broad lifestyle trends she’s seeing in home.

“People are living smaller — they’re right-sizing their homes,” she said.

Although people are moving into smaller homes, “they’re going to get so much more use out of the space now.”

Yesterday’s furniture is too big, she added. One of the biggest selling mattress sizes now is twin because rooms are becoming more multi-purpose, she said.

“We’re also starting to take the labels off our rooms,” said Payne. “Maybe you never use that formal dining room, but you need a space where your kids can have work stations and you can keep an eye on what they’re doing on the computer.”

All interesting developments to watch — and cre-ate product to address — as the economy slowly moves forward. HTT

JenniferMarks

EDITOR-IN-CHIEF

“Last month’s total business for the Redbook group was about 1.5% larger than it was in March 2010 — without Easter sales to goose things along.”

Marching Toward a Better Economy

April 4, 2011

Warren Shoulberg

PUBLISHER/EDITORIAL DIRECTOR

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Page 7: Home Textiles Today April 4th Issue

Saturday, April 2 through Tuesday, April 5 • 5:30 pm • 3rd Floor Balcony of Showplace

Live Music Great People Complimentary Cocktails Fab Food Beautiful Al Fresco Setting

After a full day at Market, kick back and relax at the place to be. Join your friends at the Market’s cocktail party to see and be seen!

T H E P L A C E T O B E

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6 Home Textiles Today > hometextilestoday.com

1. Eastern Accents’ Clayton mixes a rich floral and leaf top of bed with accents of animal prints and stripes.

2 Bedford Cottage’s Chesterfield throws are hand-knit from smooth finish acrylic yarns for a supple drape.

3. JLA’s newest collection under the Woolrich brand includes Hadley Plaid in warm-toned micro fiber and dec pillows designs drawn from Woolrich’s archives.

4. Casa Fiora’s new fabric for market include a stylized linen damask in brown and cream earth tones.

5. Pamela Kline’s Eagle River bedding celebrates America’s west with a mix of cotton, chambray, chenille and fringed faux leather.

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6. Kimlor’s Browning Pink Buckmark comforter and sheet sets also include window treatments and shower curtains.

7. Down Inc. is debuting a new construction in its all-down Triad Pillow that keeps the pillow from bottoming out so that it supports both back and side sleepers.

8. Interdecorations is showing a number of colorful pillows from Amsterdam-based painter and designer Mariska Meijers, including In Bloom, seen here.

9. P/K Lifestyles, a division of P Kaufmann, is showing Java Moon from its Iman Home collection on cotton duck with embroidery.

10. Vision Fabrics is showing the Everyday Color Elements Collection, a group of 38 patterns and 156 skus, including woven jacquards and textured solids in a variety of weights.

11. Imax’s Vera Green rose pillow is made by craftsmen in Thailand and inspired by the sheer embellishments seen in women’s apparel and accessories.

12. Corona features some of the world’s best-known imagery in the Vincent Van Gogh Collection of dec pillows, which are woven in France with a velvet backing.

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1. Rug Market America taps popular peace and love imagery for this cotton hand-hooked rug for kids.

2. Textillery Weavers is showing a mix of bamboo and cotton throws featuring menswear looks.

3. Company C’s Jasmine Mink rug collection offers a whimsical interpretation of traditional Suzani embroidered textiles in 100% tufted wool.

4. Ruggerio’s Ruggierios’s Greenhouse group featires a mid-tone coloration suggestive of algae, as in the Tie Dye pattern here.

5. Karastan is using clean-lined geometrics, painterly abstracts and mid-century modern designs in its Artois Collection, including Halle Fog, seen here in two-ply nylon.

6. Leggett & Platt’s SilverShell antimicrobial mattress protector inhibits 99.9% of germs and protects against stain- and order-causing bacteria as well as mold and mildew.

7. Fabrictech is introducing Celliant performance fibers to mattress pads and pillow protectors, helping the body reduce pain and heal faster by increasing oxygen levels in the body.

8. Protect-a-Bed’s Bed Bug Protection Kit includes a six-sided mattress encasement, a bed bug-proof box spring encasement and two Allerzip pillow protectors.

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AT L A N TA — Hand-knotted, hand-tufted and fl at-woven con-temporary rug company Jaipur Rugs and designer Raymond Waites have teamed up for a new collection of soft fl oor cov-erings, and together they are fet-

ing its launch at the upcoming High Point Market.

An exclusive preview of the collection was set for opening day of market — April 3 — with a cocktail party from 4 to 6 p.m. at Jaipur’s onsite showroom in

suite 3415 in the Showplace area. Waites was set to attend to meet and greet attendees and present his new branded line.

“We’re very excited to see Raymond’s unique creative vision come to life in this new

collection. The breadth of designs and constructions are incredibly diverse and we know that retailers will fi nd something for every taste within the range,” said Asha Chaudhary, president of Jaipur. HTT

Jaipur Rugs, Raymond Waites to Fete New Collection at High Point

WHITE PLAINS, N.Y. — A panel of industry experts will review the state of American design during the upcoming Surtex show at the Javits Center in New York.

“ A m e r i c a n E m b r a c e s Design…Finally” will take place May 17. A continental breakfast begins at 8 a.m., with the program running from 8:30-10:00 a.m.

Tickets are $125 per person. Register at www.surtex.com.For more information, contact Sikalis at 914-421-3297, [email protected], or visit www.SURTEX.com.

Panelists include• Richard Roman, presi-

dent and ceo of Revman Inter-national, Inc., the marketing company he founded in l988 to partner with some of the indus-try’s best-known brands, among them Marimekko, Laura Ashley, Tommy Hilfi ger, Vera Wang and Candice Olson;

• David Bolotsky, founder and ceo of UncommonGoods.com, an online marketplace focused on creatively designed, high-quality merchandise at affordable prices;

• Lynn Shanahan, ceo of the C2 Group, a company that partners with and invests in both strategic and private equity fi rms, and provides operating man-agement for its affiliates. She is currently acting president of Marimekko, North America;

• David Hedley, manag-ing director of Artwork Design Ltd., a 25-year-old design studio located near the traditional tex-tile center of Manchester, UK;

• Elizabeth Bournaud of Francois Bournaud, Paris, since l973, a leading design resource for textiles, stationery, and other products;

• Michelle Ishay-Cohen, executive art director at Abrams, including such design-focused imprints as Stewart, Tabori & Chang;

• Tom Mirabi le , svp of Global Trend and Design for Lifetime Brands, Inc.

The moderator will be Dan Rubinstein, editor-in-chief of Surface magazine. HTT

Surtex Panel Will Explore Design

Evolution

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10 Home Textiles Today > hometextilestoday.com

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Untitled-2 1 2/25/2011 10:55:55 AM

First Monday: Specialty Retailing

BY CECILE B. CORRAL

MIAMI — Having picked this pan-Latin city as its entry in the U.S. market with a new store that opened its doors here in December, it may come as a surprise that the focus of South American home furnishings dis-count chain Casaideas — or “Home Ideas” in English — is not a Hispanic customer.

“We treat our customer as a global customer,” explained Diego Mora, international busi-ness manager, to HTT during a recent store tour. “And here, we are targeting the American con-sumer — not just the Hispanic customer.”

Casaideas Miami occupies one of the anchor-tenant spots at

The Shops of Sunset Place, an alfresco mall in the middle- to upper middle-income neighbor-hood of South Miami. Its two-story, roughly 30,000-square-foot space (which includes about 22,000 of selling fl oor and 8,000 of staff offi ces and storage space) is the most visible of this mall — which also houses a 24-screen AMC Theater and Gametime as well as other stores like Pot-tery Barn, Armani Exchange, Banana Republic, The Gap and GapKids, Barnes & Noble and many others.

“Miami was one of the areas that was hit by the economic cri-sis, but less so than other areas in the United States, so we decided to start our U.S. busi-ness in Miami,” Mora said.

The plan is to expand the chain locally within South Flor-ida from Palm Beach to Broward and more throughout Miami-Dade counties with eight to 10 new units to open in the com-ing few years.

On the Miami store’s first fl oor are some bedding and bath presentations but mostly kitchen textiles and cooking supplies, table linens, decorative enter-taining, pieces, dinnerware like plates, cups, glasses, etc., home décor pieces like mirrors, can-dles, vases, picture frames, wall décor, etc., and personal items like bags, personal care items, small travel gear, journals, pens, and other miscellaneous sea-sonal goods. On the second fl oor is the main presentation of

Casaideas Breaks into U.S. Market with Miami Unit

April 4, 2011

Casaideas’ first U.S. unit is located atThe Shops at Sunset Place in Miami.

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its full line of bedding and bath linens and coordinate accesso-ries as well as a full room décor line of juvenile novelty goods.

Casaideas opened its first store in 1993 in Chile. Today, its store count has reached 52 units in Chile, where it oper-ates its headquarters, as well as in Peru, Colombia, Bolivia and now here.

Originally, textiles were the retailer’s focus, but over the years Casaideas has layered in some hard decorative goods to enhance its offering. Furni-ture, however, is not part of the mix with the exception of some small occasional pieces — rat-tan chairs at present being the largest item on the selling fl oor.

Home textiles, which Mora said “continues to be our core offering,” comprise more than 50% of the current total mer-chandise mix.

“Our products are made to be lived and consumed in everyday life. That is the key to our con-cept,” he continued.

Every three weeks, Casaid-eas refreshes about 500 skus of its total 12,000 skus per store to remain relevant during shifts in trends and seasons.

Price points for home textiles items include: $24.90 for all-cot-ton queen sheet sets; $9.90 for two-pack sets of shams; $39.99 for throws; $69.90 for duvet cov-ers; $29.90 for curtains; $54.90 for sofa slipcovers $39.90 for chair slipcovers; $14.90 for deco-

rative pillows; $29.90 for shower curtains; $3.99 for tip, $6.99 for hand, $7.99 for bath, and $14.90 for bath sheet towels; $1.90 to $3.99 for placemats; $4.99 for four-pack sets of napkins; $24.90 for tablecloths; $16.90 for 2-by-3 accent rugs; and $39.90 for 5-by-9 area rugs.

Price points are standard by category for the most part for the textiles assortment — regard-less of handiwork and embel-lishments or lack thereof. Con-struction is largely all cotton or cotton-rich.

“We are able to offer low prices because we are vertical — we operate all of our own design, manufacturing, logistics, retail, distribution. We pass along the savings to our customer. The idea is to help people enjoy their homes at a low investment, at a discount,” said Mora.

Casaideas’ pricing hurdle has related to translating the value message to the consumer, Mora explained.

“We think people are some-times confused by our low prices,” he said. “They see our prices as too low, almost, and sometimes that work against us. So we are working on better communicating the value of our products so that they feel more comfortable about buying our goods at our prices.”

And yet, while price is admit-tedly “important,” Mora said the company’s “strength is our design.”

Casaideas’s 70-member in-house design team develops more than 85% of the retail-er’s total product mix in tandem with the more than 2,000 manu-facturers worldwide — mostly in China, India and Pakistan — with whom Casaideas works directly to develop its whole line — from nail fi les to bedding collections.

“We don’t offer a Hispanic

look,” Mora said of the chain’s brightly colored merchandise, much of which employs some form of special treatment and/or embellishment. “Ours is a global look that we maintain throughout the chain for all of our customers.”

Casaideas’ designers are inspired by “our travels world-wide, whether it’s at home or

in Europe, Australia, the U.S. We try to appeal to everyone,” Mora added. “This is a bor-derless world and people live much in the same way regard-less of where they live or what language they speak.”

Casaideas Miami has not yet set up a wedding or baby regis-try service, but plans to add both soon. HTT

Fashion bedding along with Casaideas’ other home textiles offerings — utility bedding, bath, table linens, kitchen textiles, soft window treatments and rugs — account for more than 50% of the retailer’s total merchandise mix.

PORT WASHINGTON, N.Y. — Looking to give retailers a broader product offering andmore design trends to pick from, high-end rug house Safavieh is launching a new decorative pillow collection as an independent but com-plementary product category to its soft fl oor coverings.

Set to debut during the High Point Market, April 2 to 7, at the company’s Market Square showroom in suite 120, the category spans 50 skus in a range of designs intended for furniture stores to mid-tier chains to upper-end home furnishings retailers, catalogs and websites.

The dec pillow collection has been sourced, devel-oped and designed by Tiffany Yaraghi, product manager for Safavieh’s pillow line.

“Inspirations for this collection include the trend to vivid colors, often softened with white, and patterns range from Suzanis, to modern lace interpretations, to Moroccan motifs,” she said. “Our pillows complement the newest looks in furniture and fabrics, and will not be adapted from our rug designs. The pillow collection is designed to make a fashion statement as a standalone line, exactly the same way that retailers would program and display them in stores.”

Fabrics chosen for the fi rst collection include cot-ton canvas with hand-stitched embroidery, 100% cot-ton, hand-woven cotton novelty fabrics, and easy-care polyester. Fill content is either a down and feather blend or polyester.

The pillows are made in India, China and through-out Europe, and will be available for pre-summer delivery.

Sizes include 18-inch squares and 22-inch squares. The suggested retails start at $45 for an 18-inch size with feather and down fi ll. HTT

Safavieh to Debut Dec Pillows

Behind: The Honeycomb pattern in the Pink Abbey colrway os translated in 100% hand-woven cotton.

At front: Seen here is ZigZag in the Red Aura colorway, a 100% hand-woven cotton pillow with a down/

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Winter 2011 Rug Preview

1

1. Surya Inc. is launching the new Moderne collection with designer Bob Mackie. Inspired by his costume and formalwear designs, these hand-tufted New Zealand wool rugs feature faux silk highlights. Moderne rugs are made in India.

2. Mohawk Home is expanding its licensed collection with Woolrich with several new designs, including this one titled Cedar Run.

3. Ebisons Harounian Imports is launching its new Urth collection, which spans seven antique Persian and Anatolian designs in four color combinations.

4. Rizzy Rugs is showing Avant Garde, a Tibetan hand-knotted and hand-spun semi-worsted rug made in a New Zealand wool and viscose blend. Designed for the high-end market, a 5-by-8 is set to retail for $1,799.

5. Oriental Weavers/Sphinx’s new Montego collection from Egypt uses a palette of citron green, terra cotta, bright mineral blue, fresh ivory and deep cocoa brown. Giving a modern twist to classical design, these 100% polypropylene machine-made rugs are made to complement outdoor living areas.

6. F.J. Kashanian Rugs new Indo-Peshawar collection of handmade rugs from India comes in a variety of designs, like this one titled Maharaja in the aqua-and-ivory colorway.

2

3

6

5

4

Encouraged by the continued pace of improving sales from December into this year’s fi rst quarter of business, area rug suppliers launched a broad assortment of new looks deemed to dec-orate the fl oors of traditional indoor settings, family-friendly spaces and outdoor living rooms and patios.

Suppliers were booked up with retailer appointments for the markets, giving them cause to feel assured that buyers are returning to their showrooms to write orders and stock their shelves with new products in the coming months.

Whether formal or casual, new design trends are meeting somewhere in the middle, with many nature-inspired palettes and organic design elements dominating the season’s trends.

“We are seeing big trends in tonal and textured looks,” explained Steven Peykar, principal, Saddle Brook, N.J.-based Nourison. “So we have developed a number of new lines that utilize multiple textures, whether by using different yarns or different constructions like hand-made with cut-and-loop textures or others.”

Here is a sampling of some major rug suppliers’ product introductions for winter and spring 2011. HTT

RugsApril 4, 2011

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14 Home Textiles Today April 4, 2011 > hometextilestoday.com

3

1. The Rug Market’s new Expressions collection comprises designs that are “all things trendy, hip and sophisticated” with looks like this one titled Whirl. These synthetic fiber rugs are being added to the company’s Ecconox line of value-priced products.

2. Capel Rugs’ new Daisy Climber Vine is one example of several rugs by designer Kevin O’Brien. Made in India, this collection is hand tufted from pure wool.

3. Harounian Rugs International is adding various new designs to its growing private label program of hand-crafted rugs made from wool and/or synthetic fibers. These skus are made to order to retailers’ specifications, including custom sizes, colors, and qualities.

4. Creative Home Ideas’ Figaro is a two-color cut and loop accent rug. It features a latex non-skid back, and is machine washable.

5. C & F Enterprises Inc. is introducing the Parfait collection of hand-hooked washable rugs and matching decorative pillows. Designs are seasonal, like this seashell pattern.

6. Momeni is expanding its machine-made offerings with several new collections as well as design additions to some existing, including the Sensations collection.

1 2

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Winter 2011 Rug Preview

Rugs

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1. Nourison’s Lake rug is hand tufted in the company’s heaviest dense wool pile. Made in India, its construction is 75% New Zealand wool and 25% viscose. Designs are transitional and abstract.

2. cmi is launching seven new collections, including Olivera. These pieces employ Thimbleberries fabric colors and durable alternating braid construction. Made of 70% polyester and 30% cotton, Olivera reversible rugs come in dusty shale, soft black, vintage blue, light parsley, cranberry blend, and warm chestnut.

3. Company C’s new Mayfield rug, seen here in the cream colorway, is part of the Summer Brights collection of painterly floral hooked rugs made of 100% wool.

4. 828 International Trading Co. is introducing the Ellington collection of traditional and transitional styles. Made in India, these 60-count wool-and-silk rugs are hand-tufted and acid washed and feature some hand-carved details.

5. Shaw Living’s designer collection with Angela Adams grows this market with the addition of Modern Comfort, a grouping of machine-woven U.S.A.-made rugs constructed of the company’s “EverTouch” nylon fiber.

Rugs

5

Winter 2011 Rug Preview

April 4, 2011

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AREA RUGSThe smartest decorating makeover you can offer.shawliving.com

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IHFC Green Wing, Suite 371Visit us for the latest in area rugs. While you are here, enter our market drawing for your

chance to win an iPad! And, enjoy our FULL SERVICE COFFEE BAR Saturday, Sunday and Monday. We look forward to seeing you in High Point!

April 2 - 7, 2011

Page 20: Home Textiles Today April 4th Issue

18 Home Textiles Today > hometextilestoday.com

TodaY

Capel Appoints Kim Walker Sales

Associate

ATLANTA — Walmart has estab-lished the headquarters here of its new eastern business unit, which spans almost 1,600 stores with 560,000 associates in 20 states stretching from Florida to Maine.

This eastern business unit will be led by Atlanta veteran Rosalind Brewer, president of Walmart East and evp of Walmart U.S.

“With the busiest airport in the world and a central loca-tion, Georgia is the ideal desti-nation for our eastern business unit,” Brewer said. “Atlanta

has a strong history of corpo-rate and divisional headquar-ters and we’re delighted to join this group and spotlight the city within our global organiza-tion.”

In her new role, Brewer is responsible for establishing the strategic direction for the eastern business unit, including growth opportunities in store innova-tion, people development, sup-ply chain and real estate.

She joined Walmar t in 2006 as regional vice presi-dent, responsible for operations in Georgia, and was soon pro-

moted to president of the south-east operating division. She later led the south business unit of Walmart U.S. as executive vice president and president before being appointed to her current role.

Prior to joining Walmart, she worked for Kimberly-Clark Corp. and Molson Coors Brew-ing Company. She serves on the board of trustees for Spelman College and the Westminster Schools in Atlanta. And, in 2010, she was named one of Fortune magazine’s “50 Most Powerful Women.” HTT

Walmart Establishes Eastern Business Unit,

Brewer Named President TROY, N.C. — Capel Rugs has named Kim Walker its sales associate based at the compa-ny’s Atlanta showroom at the AmericasMart.

Most recently, Walker was the showroom manager and salesperson for Utmost Interi-ors, a design fi rm in the Atlanta area. There, she handled sales, visual merchandising, purchas-ing and a range of marketing initiatives.

In her new stint, Walker’s duties at Capel’s Atlanta show-

room, located in the Mart’s space 6F2, include developing new marketing initiatives to increase designer attendance and sales.

She reports to Allen Robert-son, vp of sales.

“We are excited to welcome Kim to our Atlanta team,” said Robertson. “Interior designers are an increasingly important source of sales for Capel, and Kim’s experience in the design world will help us guarantee we are meeting the needs of designers as customers.” HTT

PEOPLEApril 4, 2011

Welspun’s Jerry McCarthy Plans to Retire

NEW YORK — Welspun USA announced industry veteran Jerry McCarthy, director of towel sales, plans to retire.

McCarthy has spent more than five years with Welspun. His previous career included executive positions at both Springs and Fieldcrest/Cannon. During his tenure, Mr. McCar-thy has worked with all of the major retailers, and Welspun said he has been “instrumental

in establishing Welspun as the largest supplier of towels to the U.S. market.”

Jeff Moss has been hired to fi ll the position. Also an industry vet-eran, he spent the last fi ve years with Towellers. Prior to that, Moss worked with Fieldcrest/Cannon and Leshner Mills.

Moss and McCarthy will work together in the immediate term to insure a smooth transi-tion. HTT

CHARLOTTE, N.C. — Perfect Fit Industries has added Bonnie Wil-son as vp of sales, a new position.

She will oversee Perfect Fit’s account team in the US and Can-ada as the company expands into new product categories and chan-nels. Wilson will report to Dan Hammer, president and ceo.

Wilson’s 25 years of experi-ence in the home textile industry crosses multiple product catego-ries. Previous executive positions have included Springs Global and Liz Claiborne Home.

“We’re thrilled to have Bon-nie with us,” said Hammer. “Her expertise in managing a broad portfolio of product categories is an ideal fit with our vision of expanding into new products and new distribution partnerships.”

In other company news, Per-fect Fit has added two new posi-tions to its product development team.

Terrie Zagorski and Kendall Dunlap join the company as mer-chandise managers and report to Carmen Waite, vp of marketing

and product development. Zagorski, a 20-year veteran of

the home textiles industry, most recently served as merchandise manager for fashion bedding at Springs Global and will lead Perfect Fit’s new product initia-tives in sheets, pet beds and fur-niture covers.

Dunlap comes to Perfect Fit most recently from Boy Scouts of America with prior positions at Hanes and Springs Global. She will be responsible for product growth for key accounts. HTT

INDIANAPOLIS — Vision Fabrics, a newly launched textile con-verter that opened its doors in December during Showtime, has hired Travis Robinson to join its sales team.

Robinson began his career in textile sales six years ago and is a fourth-generation textile sales professional.

In his new stint, he is respon-

sible for the jobbing and han-dling retail and specialty market segments within the Southeast-ern U.S.

“We are extremely excited to have Travis as a part of our growing sales team” said Tom Carter, national market man-ager. “He has an impressive track record of success in what has been a diffi cult time for the

industry these past few years. He has a true passion for this industry and is a perfect fi t for our company’s culture of pro-viding innovative textile solu-tions and excellent customer service.”

Vision Fabrics USA’s head offi ce is located here, and the company is a division of parent company J. Ennis Fabrics. HTT

NEW YORK — Kevin Castellani has been named president of the Sandow Media group of retail trade publications that includes Home Textiles Today.

He was previously vp and pub-lishing director. In addition to HTT, the group includes Furni-ture Today, Casual Living, Gift and Decorative Accessories, Home Accents Today, Kids Today and Playthings.

In addition to the printed edi-tions, Castellani will continue to also oversee the online editions for each title.

“I am fortunate to be sur-rounded by what I believe are the best editorial and publishing teams in the business-to-business sector,” said Castellani. “With their ongoing support, we will continue to grow by bringing our audiences must-have market intel-ligence and creative marketing solutions in print and online.”

“He is a true leader and expert in the industry and indisputably capable of surpassing the indus-try’s expectations,” said Adam Sandow, chairman and ceo of Sandow Media. HTT

Vision Fabrics Taps Robinson for Sales

Castellani Named Group PresidentPerfect Fit Names vp-sales,

Adds to Product Dev Team

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More companies choose Home Textiles Today for their marketing &

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20 Home Textiles Today News > hometextilestoday.com

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April 4, 2011

The fi rst, dubbed the Christo-pher Lowell Collection, is “more of a traditional line of bedding based on pre-coordinated prints and solids we know men will like,” Lowell said. “Here, we are going with a lot of earth tones that match the palette and a heavy spa infl uence in the patterns,” which include many organic design themes.

The second is Lowell’s Bou-tique Hotel Collection, which he said “turns the master suite into a luxury hotel suite.”

The third, CL on Campus, is a college-oriented collection “that has very high style and smart col-ors.” The designs here use tech-savvy lingo for a “very hip” assort-ment. “This collection is really built on the idea that a lot of these kids only have two or three resources to pick out cool stuff for their dorms that they can pick

themselves,” he told HTT.In creating his program, Low-

ell drew from his design expe-riences that taught him how to work strictly with couples — and not just the lady of the house — in designing and decorating spaces.

“The days of florals are over now,” he said. “Too many women abused that look at home for too long, and the guys hated it, so you aren’t going to see that now.”

What you will see, however, he continued, is “a very sexy, stream-

lined approach. Our patterns are more botanically inspired with a suggestion of nature.”

It will all be “non gender-spe-cific” so that is appeals to both men and women equally.

Additionally, Lowell is giving a sense of practicality to the line, incorporating “as many reversible looks as we can,” as well as new fi ber technologies that offer com-fort at the right price.

The sheeting aspect of the line will include products made of a

new grain of microfi ber — “a new grade that answers to the price of cotton in our industry,” Lowell noted. “These sheets are com-pletely woven, front to back, to allow them to breathe like natu-ral and expensive cotton. But this is better because it lasts longer and comes out of the dryer wrin-kle free.”

The collection targets “all price levels,” which Lowell described as ranging from an off-price chain through a better department store.

“As a designer, I know where to put the perceived value, where to add the detail on the bed ensem-ble and where not to waste your time putting it,” Lowell noted.

“We also are out in the world all the time, so we know the hotels where people would like to stay in but can’t afford,” he went on. “My specialty is to take infl uence from those things, bring them to marketplace and pre-coordinate it and develop the look so the shop-per can afford it.”

Added Daniel Levin, manag-ing director of Beanstalk Los Ange-les: “The time is right now [for the launch] because people are look-ing more and more for ways to not to make a mistake when designing their homes. Budgets more than ever are a concern for consumers, so they want to make sure they are making really smart choices. And Christopher’s philosophy will give them true confi dence in buying his products and knowing they will go with the lifestyle and look they want to achieve.”

Levin is also Lowell’s close friend and colleague, having rep-resented him and collaborated with him on his many professional endeavors over the past 18 years.

“Budgets more than ever are a concern for consumers, so they want to make sure they are mak-ing really smart choices,” Levin continued. “And Christopher’s philosophy will give them true confidence in buying his prod-ucts and knowing they will go with the lifestyle and look they want to achieve.”

The fi rst part of the collection to release this spring will be the sheets. More bedding and bath will follow, and in the future pos-sibly other home textiles catego-ries, which Lowell said he hopes will be done in conjunction with Fayette-Renaissance.

In the meantime, Lowell has a new TV series in development that will support the collection.

In the soft home category, Lowell has licensed Jo-Ann Fab-rics for fabrics. HTT

LOWELL FROM PAGE 1

New Line

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BUSINESSTodaY

NEW YORK — Consumers have begun spending on spring merchandise, lifting same-store sales 2.6% dur-ing the fourth week of March, according to the John-son Redbook.

Discounter comps ran slightly ahead of plan with a 2.2% gain, while department stores fell just be-low plan with a 3.4% rise, said Catlin Levis, Red-book analyst.

“Students on spring break during this peri-od also helped to give sales and traffi c an ex-tra boost,” she added. “In the coming weeks re-tailers are hoping that extra cash from income tax refunds will spark sales while some worried about continuing rising oil prices stalling con-sumer spending.”

Comparisons for the fi nal week of March on the re-tail calendar, which concludes April 2, are expected to be tough since last year the week benefi ted from pre-Eas-ter Sunday shopping. HTT

Same-store sales

Weekly Comps Benefit from Spring Purchases

Johnson Redbook IndexFourth week of March, year-over-year % change

WEEK ENDED 3/5 3/12 3/19 3/26 4/2 MONTH TARGET

Department stores* 4.8 4.2 4.6 3.4 4.2 5.2Discounters 0.7 0.9 1.4 2.2 1.3 1.3Redbook Index 2.0 2.0 2.4 2.6 2.3 2.5*Including chain stores and traditional department storesSource: Johnson Redbook Index

SAN FRANCISCO — Williams Sonoma Inc. is seeing the light at the end of the recession tunnel, having posted record earnings for fi scal 2010 and stronger performances in each of its fi ve nameplate brands over the prior year.

Laura Alber, president and ceo, explained the company “made sub-stantial progress on our longer-term growth and profitability initiatives. We are particularly pleased with the progress we made in merchan-dising, marketing, customer acqui-sition, and customer service, as it is these competitive advantages that al-lowed us to attract new customers to our brands and gain profi table mar-ket share all year, including Internet revenue growth of 27%.”

For the quarter, total company net revenues increased 9.7% to $1.195 billion versus $1.090 billion in the year-ago period, including Internet net revenue growth of 27.2% and a comparable store sales increase of 5.2%.

Non-GAAP diluted earnings per share grew 26% to $1.08 per share.

Quarterly retail net revenues in-creased 5.3% to $729 million versus the prior year’s $692 million, primar-ily driven by the Pottery Barn, West Elm and Williams-Sonoma brands. Retail net revenues represented 61% of total company net revenues in Q4 ‘10 versus 64% in Q4 ‘09. And com-parable store sales in the fourth quar-ter increased 5.2% versus 7.6% in 2009’s fourth quarter.

Comp store sales results by retail concept were as follows: Williams-Sonoma, 2.3%; Pottery Barn, 8.9%; Pottery Barn Kids, 4.6%; Outlets, and 11.4%.

The company’s direct-to-custom-er segment was a shining star in the fourth quarter, churning a 17.3% in-crease to $466 million versus $398 million a year ago, primarily driv-en by the Pottery Barn, Williams-So-noma, PBteen, Pottery Barn Kids and West Elm brands. Internet net reve-nues increased 27.2% to $393 mil-lion versus $309 million in Q4 ‘09. Direct-to-consumer net revenues represented 39% of total company net revenues in the quarter versus

36% in Q4 ‘09, representing a chan-nel mix shift of 300 basis points.

For the full fi scal 2010, net reve-nues increased 12.9% to $3.504 bil-lion versus $3.103 billion in fiscal 2009, including Internet net reve-nue growth of 26.9% and a compara-ble store sales increase of 9.8%. Non-GAAP diluted earnings per share grew 105% to $1.95 per share – “a new record for the company,” Alber noted.

Direct-to-customer net reve-nues for the year increased 18.6% to $1.453 billion versus $1.225 bil-lion, primarily driven by the Pot-tery Barn, Pottery Barn Kids and PB-teen brands. Internet net revenues increased 26.9% to $1.197 billion compared to $943 million in 2009. Direct-to-customer net revenues rep-resented 41% of total company net revenues in the year versus 39% in is fi scal 2009, representing a chan-nel mix shift of 200 basis points. This shift resulted in a 20-basis-point rate improvement in the company-wide operating margin due to the direct-

Williams Sonoma Riding Away From Recession with Record Earnings

SEE WILLIAMS PAGE 23

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Page 25: Home Textiles Today April 4th Issue

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to-customer channel’s signifi-cantly higher operating margin versus the retail channel.

Fiscal 2009’s retail net reve-nues increased 9.2% to $2.052 billion, from $1.878 billion the prior year, primarily driven by the Pottery Barn, West Elm and Williams-Sonoma brands, de-spite a 4.1% year-over-year re-duction in retail leased square footage, including 18 net fewer stores. Retail net revenues rep-resented 59% of total compa-ny net revenues in FY 10 ver-sus 61% in FY 09. Comparable store sales increased 9.8%.

Comp store sales results by brand for the full year were: Williams-Sonoma, 4.6%; Pottery Barn, 14.3%; Pottery Barn Kids, 13.0%; and Outlets, 9.8%.

Merchandise inventories at the end of fi scal 2010 increased 10.1% to $513 million on reve-

nue growth of 12.9%.“As we look forward to fi scal

2011, we will remain focused on gaining market share and improving profi tability,” Alber said. “To gain market share, we will continue to attract new cus-tomers to our brands through highly targeted multi-channel marketing; creative, innovative and relevant product offerings; and expansion of our brands into new markets and interna-tional geographies. To improve profi tability, we will be imple-menting new effi ciencies in our worldwide supply chain; driv-ing increased traffi c and high-er sales per foot in our retail stores by reinventing the cus-tomer experience; and expand-ing our e-Commerce business – including rolling out interna-tional shipping in the back half of the year.”

In the new fi scal year, 2011, the company expects its e-com-merce business to “once again

be our most profi table and fast-est growing channel,” she con-tinued.

As such, Williams Sonoma Inc. is projecting its direct-to-customer segment to reach 43% of total company revenues com-pared to 41% in fi scal 2010.

“From an investment per-spective in fiscal 2011, we ex-pect capital spending to be in the range of $135 million to $150 million – with over a third of that in e-commerce and sup-ply chain,” Alber went on. “We also plan to invest an incre-mental $25 million in SG&A to support our e-commerce, in-ternational, and business de-velopment growth strategies. Including all of these invest-ments, we expect fi scal 2011 to be another record fi nancial year – with non-GAAP diluted earn-ings per share increasing in the range of 8% to 12% and net rev-enues increasing in the range of 4% to 6%.” HTT

QuarterWILLIAMS FROM PAGE 22

C2 Group, Shanahan has worked with Marimekko to expand brand penetration in North Ameica.

The fl agship store, set to open this fall, will be located in a his-toric building, that was former-ly known as “The Toy Building” at the corner of 5th Avenue and Broadway on 200 Fifth Avenue.

The nearly 4,000 square foot sales fl oor will mirror the recent-ly opened fl agship store in Hel-sinki. While the broad porfolio of Marimekko products will be available at the store, the newest products will be the focus each season. About 50% of the assort-ment will be apparel, with hard and soft home as well as acces-sories making up the remainder, Shanahan told HTT.

“We are design first,” she added. “The apparel and home [products] are palettes for the design.”

Marimekko’s U.S.-based on-line shop will be live by this sum-mer. A Marimekko shop will also be added to the Crate and Barrel e-commerce site.

In addition, Crate and Bar-rel plans to open more than 20 new Marimekko shop-in-shops over the next three years. The first opened last October in Crate’s Broadway store in New York. This spring, shops will be opened in New York (Madison Avenue,) Chicago, Los Angeles and San Francisco.

“Opening a store of our own in an excellent location in the heart of Manhattan will support our strategy of building Marimek-ko’s profi le and strengthening the brand image,” said Marimekko president and ceo Mika Ihamuo-tila. “It is crucially important for us to be able to ensure wide avail-ability of our products but to do so while introducing our custom-ers to the whole world of Ma-rimekko in our own way.” HTT

MarimekkoEXPANSION FROM PAGE 1

News

htt110401_022_023 23htt110401_022_023 23 3/29/2011 4:46:12 PM3/29/2011 4:46:12 PM

Page 26: Home Textiles Today April 4th Issue

24 Home Textiles Today > hometextilestoday.comApril 4, 2011 News

There was a big fanfare ac-companying the launch, thanks to commercials that aired dur-ing the 2008 Academy Awards in February, of which JCPen-ney was the exclusive retail sponsor.

Press releases also touted store-within-a-store formats, white wooden fi xtures, store as-sociates wearing red American Living polos and American Liv-ing shopping bags.

The white wooden fixtures appear to be the only vestige re-maining of the marketing effort at the American Living bedding section at the busy Queens Center in Elmhurst, Queens.

There are four American Living bedding collections rep-resented, although not all piec-es listed on signage could be found on shelves. American Living bedding occupies a nar-row 20 foot by 5 foot footprint, with sheets found in a separate area. Additional American Liv-ing bedding could be found on the back wall of the bedding department.

There are two display beds and the fi rst features the East-borne collection, a damask jac-quard in tan and tea. Discounts are steep: The Eastborne queen comforter set, featuring a com-forter, bedskirt and two shams, was originally $335 and is on sale for more than half off at $149.99. Coordinating Euro and decorative pillows are slashed from $70 to $34.99 and $60 to $29.99, respectively.

Prints, especially fl oral pat-terns, rule the collections. The second bed displays the Gran-ville comforter set, original-ly $300, on sale for $129.99. This is also a damask jacquard in gold. The coordinating dec-orative pillows have fl oral em-

broidery or ribbon stripes, they were originally $50 and are now on sale for $24.99.

While there are prices list-ed for full/queen and king sizes for a third bedding collection called Blue Point, a tradition-al quilt pattern with small scale fl oral print, there are only dec-orative pillows (originally $60 on sale for $34.99) and shams (originally $50 on sales for $29.99) stocked on shelves.

Curiously, a small, four-shelf tower held just a small assort-ment of a fourth look, Somer-set Park. There are three quilts in lilac and champagne satin stripes with an all-over damask pattern stitching, (full/queen quilt size was once $170 and is on sale for $59.99). Matching decorative pillows in lilac are on another fi xture, while Somerset Park comforter sets are found along the back wall, cut off from view by tall fi xtures. A comfort-er set in queen size, originally $270, is on sale for $99.

The steep price cuts were probably not part of the initial vision. In February 2008, Jeff Allison, evp for home told HTT that American Living “repre-sents traditional, classic, best-on-fl oor quality with a real feel of Americana.” HTT reported that initial price points were some 10 to 30 percent high-er on average than the typical Penney product.

In what also seemed like a departure from the initial vi-sion that promoted cross pro-motion, American Living sheets are not in the same area but lo-cated separately. Blakely queen sheet sets in a 425 thread count feature a small, paisley tone on tone print and come in six col-ors. They are $69.99, on sale from $140.

Online shoppers can buy Landon, a higher 800 thread count in a long staple Egyp-

tian cotton sateen in white or coconut milk. Also online are quilts, comforters and shams for five other collections, but not every comforter and quilt has a matching sham. There are woven cable-knit Supima blankets listed online at outlet prices of $19.99 to $29.99, orig-inally $70 to $100.

There’s no indication to the consumer of the Polo Ralph Lauren connection, at least not overtly, but that is part of the plan. As Allison told HTT in the launch interview, it is “like their Rugby line which also has no [corporate] iden-tifi cation. There’s a great con-nection with the product to the JCPenney customer. It’s so ob-vious [as to its heritage].”

Chaps Home, designed and developed by Ralph Lauren and sourced directly by Kohl’s, em-ploys a similar strategy of com-municating the brand through des ign. I t too was a huge launch for the retailer, back in May 2007, becoming the first national brand that Kohl’s car-ried in every one if its major de-partments.

A visit to the bedding de-partment, at a Kohl’s store also in Elmhurst, finds the Chaps brand on the far side of the area, next to towels and across from sleepwear. The brand oc-cupies a 14-by-6 footprint, plus another 5-by-8 adjacent area where the more steeply dis-counted bedding is found.

There appears to be seven Chaps Home bedding collec-tions with one bed on display for a floral pattern collection called Rosemont. A Rosemont queen comforter set with com-forter, bed skirt and two shams, originally $419.99, is on sale for $289.99. Sale prices for this col-lection are 25% to 35% off orig-inal, with an additional 20 per-cent if shoppers open a Kohl’s

charge card.Prices are actually hard to

determine. Signage simply lists original and sale prices, for ex-ample, $49.99 was now $34.99, but what exactly did one now get for $34.99? For that one has to consult another list to deter-mine $49.99 represents decora-tive pillows or shams, or if the second list isn’t available, com-pare price tags on products and determine the sale price.

While there are steep savings to be found on each collection, the chance of pulling together a coordinated bed fell along with the prices. For Montego Bay, a watercolor paisley print, marked down 80 percent on a clearance fi xture, there are only fi ve com-forter sets and two single shams. On the same fixture, Montauk Studio offers three quilts, six shams and a comforter. Nantuck-et Studio offers a single quilt.

Several collections are split up, with half found on fi xtures in the center of the shop while along the back wall is the rest of the bed. In the back there are cream and red quilts for the French Rivera collection, as well as a single red fl oral nee-dlepoint-like decorative pil-low that completes the rest of the bedding. There are also ad-ditional pillows, shams and a quilt that complement the rest of the Anjou collection, a vin-tage floral pattern, also found in another location.

One of the Leighton decora-tive pillows, in a deep red vel-vet with a royal-looking crest on in it, offers perhaps the clearest design link to Ralph Lauren.

Just about every collection has a few pieces belonging to other collections, making an attempt to quantify what was in stock and what was missing, rather dizzying.

Sheets are in abundance, of-fered on a couple fi xtures. Chad-

wick queen sheet sets in a 700 thread count, 100 percent Egyp-tian cotton sateen, are reduced from $199.99 to $109.99, a dis-count of 45 percent, a point of information that was helpful noted on the signage.

Online there are at least eight more collections, al-though some have more com-ponents than others. The flo-ral and patchwork Wainscott collection offers a wide range of comforter sets, duvet sets, sheet sets, Euro pillows, dec-orative pillows and shams at prices that were about 30 to 35 percent off. For Dylan quilt co-ordinates, there is simply a full/queen quilt in a bold red and white geometric pattern, origi-nally $199.99 now $79.99 and a decorative pillow, originally $44.99 now $21.99.

On whole, the Chaps area seems tucked off to the side, sort of lonely, so much so that the centrally located Vera Wang bed, with her pale Chrysanthe-mum collection dec pillows shimmering like a bride, gives one the feeling that Chaps has been relegated, forgive the met-aphor, to forever be the brides-maid.

While the Chaps line is not identified as a Ralph Lauren brand, it is a label Polo has used previously and one that had been linked to Ralph Lauren. American Living was created especially for the Penney pro-gram. Taken with Polo’s multi-ple other home brands, includ-ing Lauren Ralph Lauren and Ralph Lauren Home Collec-tion, it represents the compa-ny’s strategy of multiple tiering, something it has successfully executed in apparel for years.

Based on these isolated store visits, it remains to be seen how American Living and Chaps will play out long-term in that strategy. HTT

FACE FROM PAGE 1

JCP vs. Kohl’s

PAWTUCKET, R.I. — Family-run braided texture rug company cmi – Colonila Mills Inc. – has come up with a new branding message to go with its newly re-vamped website, www.colonial-mills.com.

Lynne Minchello, director of marketing, and Meredith Thay-er, product and design manager, have been working together since summer 2010 on a rebranding

project that has one main goal in mind: “show customers that cmi is resurfacing from this recession with a rejuvenated look that will allow customers to feel the tex-ture and appreciate the construc-tion that cmi has to offer [with its] braided-texture area rugs and accessories,” the company said.

That goal was first achieved via cmi’s most recent product cat-alog, which launched Febr. 1, fol-

lowed by the new website, which also launched last month.

Simple navigation is at the core of the new website.

“We categorized the ‘Browse By’ function into eight different categories to make it easy for the retailer or consumer to quickly fi nd the rug that fi ts their décor,” said Minchello. “Search by Mod-ern Rugs, Outdoor Rugs, Juvenile Rugs, Traditional Rugs, Yarns/

Fabrics, Colors and Eco-friend-ly Rugs. The site looks great and really accomplished the rebrand-ed, revived look Meredith and I set to accomplish with the 2011 cmi image.”

The new website also offers cmi’s assortment of accessory bas-kets, chair pads and stair treads for viewing and ordering. Other features include Decorating Tips, a Factory Tour, Rug Care, Cus-

tom Design Steps, Tradeshow In-formation and more.

Additionally, cmi is current-ly in the process of implement-ing the website’s ‘Phase 2’ effort, which will include a wide-range of options for customers/retailers to utilize.

On a related note, social media is another new focus for cmi, which is active on Twitter and Facebook. HTT

cmi “Resurfaces” with New Brand and Website

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W W W . H O M E T E X T I L E S T O D A Y . C O M

F O R I N F O R M AT I O N C O N TA C T Y O U R S A L E S R E P R E S E N TAT I V E T O D AY:

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