Smart Report/Hot Bath - May 2003

April Showers
By Donna Boyle Schwartz

Geneva bath hardware from Taymor Industries (510-429-0888) features a rich, oiled rubbed bronze finish and is offered in an 18" and 24" towel bar, 24" double towel bar, robe hook, standard toilet paper holder, Euro toilet paper holder, and wall-mounted spare toilet paper holder.

Bath Suppliers Create a Fountain of New Products for Spring Home Textiles Market and Spotlight Innovative Constructions at Competitive Prices

Neither rain nor sleet nor even snow could deter busy buyers from shopping showrooms bursting with beautiful bath fashions-indeed, who wouldn't want to contemplate soaking in a nice hot tub, given the unseasonably cold weather during this early spring home textiles market.

Suppliers introduced a plethora of new products this market, ranging from upscale collections inspired by luxurious spas to whimsical novelty groupings. Many suppliers re-energized existing bath lines by injecting vibrant new colors into the mix; others provided interesting alternative viewpoints with an assortment of licensed ensembles.

Varied set configurations, higher quality packaging, and point-of-sale merchandising aids continue to garner strong interest, as buyers seek to build impulse sales and promote gift purchases in bath fashions. Attractive new accessory products-such as storage solutions, cosmetics trays, jewelry boxes, and bath caddies-also are building 'shelf appeal' for the bath category.

The graceful shapes of Ceramic Stripe bath
accessories from Donna Karan Home have the mark of the potter in the concentric patterning. Simple and
sophisticated stained wood soap dish, wastebasket, and bath mat complete the collection.

Although the overall mood was fairly upbeat, war worries and concerns about the continued anemic economy cast a slight pall over sales expectations. "It appears bath sales for 2003 are running flat," notes Charlie Bowers, president, The Bacova Guild. "A number of retailers seem to be picking up share, but the overall market is stagnant in dollar production. Unit sales appear to be on the upswing, but the market is somewhat deflationary, making it difficult to recover the dollars."

Bob Hamilton, vice president of Pillowtex/Fieldcrest-Cannon, remarks, "General sales in the bath area areeven with or off from prior years. The biggest declines are in towels, based primarily on price compression and a flagging economy. As the mass market sells more units at significantly lower
per-unit prices, the total dollars decline if the units stay constant. We have seen some gains in better quality jacquards, and we do see more offerings in embellished towels from the market in general."

Blake Bell, vice president, general merchandise manager, bath products, Springs Industries, concurs. "Retail sales are dropping off a bit in bath-probably more so in bath than in bedding and other categories. Consumers aren't in the store right now for bath, and changes in those shopping habits will depend on the economy."

The entry of many new suppliers into the bath market, particularly in towels, has intensified competition in the category. "So many new players are on the scene," points out Rae Blum, vice president for Cobra. "The hard-line people are getting into towels, and countries we would never think of showing bath are jumping into the terry arena. The consumer has so many choices and at different prices. Sales appear to be down, because they are buying cheap."

Overseas suppliers also are feeling the pinch. "The market was good until the end of December, then it started going flat," comments Adolfo Carrara, owner of Besana Spugna, a leading Italian towel supplier. "I was at the gift show in New York City in January, and it was not a great show. We saw clients; they looked at the collections and said that sales for Christmas were good enough, but they bought much less.

Color sells in solid-color towels, and Cobra
(212-213-1850) is adding a range of soft dusty tones as well as spicy hues that complement softer shades for a balanced palette. Coordinating jacquards, stripes, and reversible towels round out the assortment.

The uncertainty of a possible war induced them to play it safe in placing orders. Then the war started before this market. At the linen show, we saw fewer clients than the year before. The few who came placed very good orders...but they were few. Many clients were worried about the war and they didn't come. I see the future of the market quite positive. As soon as the war stops, the market will start again. Clients are willing to buy and ready to do it. A calm social situation will certainly help."

Many suppliers remain optimistic about the coming year. "Overall sales are increasing and business has been very good," asserts Barbara Wright, vice president of bath for Veratex.

Neil Levinson, national sales manager, Wickerware 'n More, says, "Once again we were encouraged by the quality of our market appointments and the walk-in traffic we had at our showroom. In our case, overall sales are still increasing dramatically. We believe word is getting out that Wickerware 'n More products must be considered for all departments. We brought 22 new collections to this market with very progressive styling and aggressive pricing."

Quality and value are the twin factors driving sales, according to many vendors. "The state of the bath business is a matter of high-low," points out Rick Lipton, national sales manager of Creative Bath. "The promotional down-and-dirty dolomite or stoneware at a price seem to be working in traditional floral or architectural designs. On the opposite end, high-end glass and metal accessories as well as some designer names-Abboud and Nautica-with higher perceived value are performing very well. The middle ground of price and design seems to be floundering."

Randy Wright, vice president, Taymor Industries, notes, "In today's market, consumers are spending more conservatively on value-priced items. They are still making impulse buys, but are more strongly influenced by the price and value relationship. This in turn is driving sales of very rich finishes and rich colors, as well as sales of hardware sets; consumers see the value in buying sets as opposed to individual components. Sales of individual wall hardware components are down, but sales of fashion bathroom sets are going through the roof.

"Sets are what we call a 'no-brainer buy,'" Wright continues. "It offers the consumer value and convenience, by packaging the most common components in one easy, value-priced package."

Fashion Right

Town & Country Living (732-364-2000) has followed up on its introductory juvenile bath collection, known as H20 Kids, with Jungle Jive,
including puppet-like wash mitts, hooded towels, and embroidered and appliquéd bath and hand towels.

Luxurious, spa-oriented products are selling well in many categories, especially in bath rugs. "We have seen an overall increase in 'better' bath rugs," declares Park B. Smith, chairman, Park B. Smith Ltd. "The stores are searching for better quality with non-skid backing as a big plus."

Park B. Smith introduced three upscale spa-quality bath rug lines at market, including tufted rugs with non-skid backing and reversible and geometric collections, in white and natural.

Croscill Home is getting a good reaction to upscale rugs. "Rugs are the fastest growing category for us right now," notes David Kahn, president. "We've started sourcing our own rugs, rather than licensing them, and they have taken off."

Pillowtex is doing well with both upscale and mainstream bath rugs, according to Hamilton. "Bath rug sales are up slightly as we are experiencing nice gains in our Royal Velvet and Fieldcrest programs," he says. "This category does not get the heavy promotion and better constructions still remain the domain of the middle and upper retail tiers."

Wamsutta highlighted upscale bath rugs to complement its luxury towels. "A big hit for Wamsutta's bath collection was the hyper-spun Supima product," says Bell. "The coordinate rug to the Wamsutta Supima towel product was equally well received. Bath rugs featuring the Tactel yarn system from Du Pont-it has a very soft, supple hand-got excellent feedback, as did our Berber bath rugs.

"Wamsutta Palace has been a popular bath collection for several years, and this year we re-introduced the collection in four new looks, featuring new forms and new functions, such as caddy hideaways for toothbrushes and toothpaste," Bell adds. "Other collections, such as Field Flowers, which has an embroidered shower curtain and hand-painted accessories, and Serendipity, with its appliqué iridescent sheer and taffeta shower curtain, got a strong response."

Interesting accessories such as bath caddies, storage pieces, and decorative trays and boxes are generating plus business for many bath suppliers. "Trays, jars, boxes, and well-designed hooks are doing well," remarks Lipton of Creative Bath. "Also, unusual and reflective high-end fabrics-crashed or iridescent-are being received very well. Consumers perceive greater value in these categories and fabrics. Bronze, copper, and chocolate are hot colors for shower curtains and accessories. It's all about texture in print and surface."

Veratex also introduced a variety of accessory collections, designed to work both as ensembles or stand-alone programs. "We have some new metal and mirror collections that we are very excited about," Wright notes. "We have added new SKUs to our very successful modular bath caddy."

Mixed media pieces continue to capture consumer interest. "Our customers loved our use of wood, metal, and rattan combinations," remarks Levinson of Wickerware 'n More. "We even raised some eyebrows in our newest introductions in the area of silver and resin. Color trends definitely favored light. Constructions that offer solid wood frames are the most desired. Styles that are innovative and useful were widely accepted, especially our pyramid-shaped lotion pumps and toothbrush holders.

"The product segment that seems to drive our business can be found in our hamper and storage areas," Levinson adds. "Our newest products have been developed from our innovative folding hamper. We have developed a new storage product line that will be hitting the shelves in the early part of the second quarter. We are very excited about the possibilities of this program."

Style trends covered the gamut this market. Asian-inspired designs and tropical looks continue to dominate assortments, along with exotic Indian patterns. Classic fish, shell, and geometric patterns are prevalent, while newer looks with Southwest and lodge appeal signal the return of this important category.

"Novelty and trend-right merchandise appears to be capturing most of the activity," comments Bowers of Bacova. "British Colonial and island-inspired merchandise is probably the strongest trend. We are seeing successes on the luxury side of the bath business dealing in separates that blend, not necessarily match."
Ex-Cell took a decided turn to the East with its bath introductions, ranging from elegant and simple styles like Kyoto and Green Tea, two licensed Fieldcrest designs inspired by Japanese art, to Tibet, a rich and exotic red paisley pattern.

Barth & Dreyfuss hit upon a number of primary trends in bath this market, ranging from folkloric designs like Scrapbook Floral to elegant florals such as Calla Lilies and even novelties like Whale of a Good Time, a vinyl shower curtain featuring whales in a ring of blue gel with coordinating whale-shaped accessories.

The company also introduced several patterns with a tropical flair, including Bora Bora, an Indonesian look, and Aloha, inspired by Hawaiian art. Other new patterns include Marrakesh, an exotic red geometric. "Red is still very, very hot in home furnishings," comments Tom Orr, senior vice president.

Paint the Town

Rich new hues in the red, orange, and yellow family point to a warming trend in the color palette. Fieldcrest's Royal Velvet towel line remains the industry standard for color direction, and its Tropics colors are hot. "We were told by several retailers at market that they were excited by our move to two seasons of color introductions in Royal Velvet, and they were anxious to get our Tropics colors in as most of the rest of the market focused on neutrals," notes Hamilton.

Carrara of Besana says jacquards and solid spa towels in rich colors are driving sales. "The colors chosen are orange, terra-cotta, cognac, brick, burgundy, cinnamon, etc. We also do very well with jacquard velour towels and robes, mainly in very light pastel colors like baby blue, baby pink, light celery, sandy gray, white, and ivory."

Updated neutrals with a bit more depth give many products an added dimension. "Our Antigua colorway- white, natural, sagebrush, straw, and mesquite-shown at last market, was a huge hit then and a bigger hit this market," comments Smith of Park B. Smith.

Cobra's Blum points out a trend towards "understated elegance. Keep it simple! We're showing new and different colors in soft dusty tones, as well as spicy notes that marry back to softer hues. Better and beefier towels are doing well, as well as coordinates- solid jacquards, multi-colored stripes, and reversible towels."

Color directions in accessories work back to the trends in towels and shower curtains. "The trend right now in both hardware and accessories is rich finishes to complement the rich colors in textiles," says Wright of Taymor. "Oiled rubbed bronze is the hottest trend. There is also a move towards bigger robe hooks and multi-functional pieces. We've also seen growing interest in European toilet-paper holders, as well as wall-mounted spare toilet-paper holders, which are being adapted from the hotel trade."

Licensing Lines

Although the bath category has traditionally not been as designer-driven as bedding, suppliers are increasingly turning to licenses, both designer and otherwise, to provide fresh and alternative points of view. A number of high-profile new licensed collections debuted this market, including the Echo Home collection at Creative Bath.

"The look is fresh and clean," explains Lipton. "It is a high-end look with an 'every-person' livable sensibility. Echo has had wonderful experience with design and color. We work very well with them because we both understand the other's challenges in picking and producing product."

Lipton expounds on the importance of licensing. "If people know the name, we stand a better chance of getting their interest. Our belief is that we have a wonderful name and reputation within the industry.

Outside of the industry, who knows us? Men know Abboud, 'outdoor' people and collectors know Hautman, and women, purchasers of 85% of home products, know Echo. We now have a greater chance of reaching more eyes, ears, and decision makers that make the ultimate purchase."

David North, vice president for Ex-Cell, comments, "We are doing very well with licensed patterns. Our long-standing license with Fieldcrest continues to perform; we are also licensing new artists such as Sarah Frederking and Paul Brent for more novelty designs. Licenses give us an additional point of view to offer to our customers."

Croscill has been successful with its license with artist Cheri Blum, known for her painterly florals. "We have three new Cheri Blum patterns, and every single one of them has been placed," notes Kahn.
CHF debuted tabletop designer Lynn Chase with three elegant and exotic ensembles, and also added to its upscale licensed Nick Munro line.

Springs featured licenses in both its Wamsutta and Springs lines. "Buyers responded well to novelty looks, such as Wamsutta's Barber Shop by designer Pat Farrell," Bell notes. "Springs Home showcased the Court of Versailles collection, and the luxury products from the bath collection-a jacquard shower curtain, white glass accessories, a fretwork frame, an elegant flat woven towel-are doing extraordinarily well.

Several suppliers are offering cross-category coordination. Orr of Barth & Dreyfuss, notes, "We are coordinating three bath ensembles with bedroom ensemble patterns from Ellison, and we've gotten a really good response to the collection. It gives the consumer added value, to be able to coordinate the bed and bath."

Bowers of Bacova points out, "Licenses come in many forms. We license a great deal of art that is successful on other mediums. In many cases licenses provide consumers with proven, successful looks as well as confidence the product is of superior grade and quality. We use these all the time to add value."

Pumping Up POS

Suppliers also introduced a variety of merchandising aids at market, all designed to heighten product performance at the retail level. "Packaged sets are really driving sales," asserts Wright of Taymor. "We introduced six new four-piece sets, each with a 24" towel bar, towel ring, toilet-paper holder, and robe hook. More and more retailers are getting into wall hardware because of the convenience of sets.

"We've also introduced novelty items, such as holiday gift sets," Wright continues. "One set is a bathtub caddy filled with a selection of spa merchandise and geared towards women; the other set is a shower caddy with a back brush and foot brush, geared more towards men. The sets are shrink-wrapped in a gift box and priced to retail at $29.99 for the shower caddy and $39.99 for the bathtub caddy. These are nice, in-and-out holiday items that can generate good added business for retailers."

Blum says Cobra is offering a variety of new packaging. "Zipper vinyl bags for robes make consumers feel that they are giving themselves a gift. We also offer hangtags with descriptive lingo and product knowledge; two-piece fingertip sets; and bellybands for spa towels. We are trying to be as informative and creative as possible. Cute tote bags also have been added to the mix."

Park B. Smith also is highlighting descriptive verbiage. "The signage and labeling are a huge factor for us at market and at retail," Smith says. "Each bath rug has a hangtag for the collection inviting the customer to 'Touch Me, Feel Me,' identifying 'Non-skid' or '100% Natural Long Staple Cotton.'"

Wickerware's Levinson comments, "The three most important elements of product placement are styling, quality, and packaging; not necessarily in that order. Packaging is the most important when merchandising products to the consumer. Coming from a retail background myself, I realize the importance of this vehicle. Retail customers are very influenced by point-of-sale and innovative packaging. All our programs are being offered with full-color litho boxes where applicable. We feel this will give us an edge on our competition. One picture can say a thousand words."

Hamilton of Pillowtex agrees, noting, "The biggest challenge will be to differentiate towel products that have been made bigger and heavier at lower and lower prices. The consumer only knows what she sees and feels at point-of-sale and doesn't understand construction, fiber, etc. Retailers in general have expanded their offerings, but condensed the issues that make a difference. You will find five to six towels at different price points with all the same colors. They all have product bands that say bigger, softer, etc. They add new colors once a year and their shopper doesn't know it.

"We know all of this is true because we just finished shop-a-longs in several cities and watched shoppers' reactions," Hamilton continues. "They want change, newness, and product performance. They don't see any bath displays to speak of, the colors are the same, and the focus is on closeout tables on the aisles. We spent a lot of time addressing these issues for Royal Velvet," Hamilton says, noting that the company has added "two color introductions a year; stickers on the towels to shout 'NEW'; shelf signs that put colors into families that will help the shopper decorate; bundling two units together for the sale events to get products on the aisle; and a series of consumer materials to help the shopper better understand and buy."

Hopefully spring showers will bring fall dollars.

LDB INTERIOR TEXTILES is published by EW Williams Publications Company
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