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A couple of economists have called 2023 a non-recession year, but GDP growth will likely be only 1% for the year, about as slow as you can go. Boo!
And even worse, we are seeing the silly season among our retailers.
One has seen his sales go from 50% upholstery and mattresses to more than 85%, and he is wondering if he needs to keep his modest wood offerings. But a review of his promotions shows a good reason his wood is down: You can’t find any. Don’t have it on your floor if you don’t plan to tell your customers about it.
Upholstery has grown more in the past three decades than wood, it’s true. It has happened elsewhere in the consumer goods market: SUVs have outgrown sedans; pants, leggings and denim have largely displaced skirts; and in many cultures, meats and sugary foods have lost market share to healthier offerings.
But a closer look gives more insight: Wood furniture has experienced more deflation in pricing than upholstery thanks mostly to the growth in imports, which now account for 90% of wood furniture we sell at retail in the United States.
See also: What ‘wood’ you like to see in case goods?
