TD’s survey results are based on responses from 150 retail furniture executives polled during the recently concluded furniture market. According to the findings, 44% said business met expectations, and about 35% said business exceeded expectations in the first half.
About 55% are expecting consumer furniture purchasing to increase in the second half, while nearly 29% said they expect buying to “remain steady.” Only 4% are projecting a decline in business.
What’s more, the expected growth would come despite the majority of retailers polled (121 of the 150 executives) also expecting increased pricing in the face of newly proposed tariffs.
Some $200 billion in Chinese imports, including furniture and components, have been targeted by the U.S. Trade Representative for a 25% tariff. The U.S. already has initiated a 10% tariff on $34 billion in Chinese goods that went into effect in early July, and China has since retaliated with tariffs of its own on a like amount of U.S. product.
In its summer survey, TD also asked retailers if the renting and sharing economy has impacted the industry. Half of respondents said it has not, while 40% said it has in a positive way. About 9% said the impact has been negative.
Also, of the 58% of retailers who said they offer financing options to consumers, a little more than half (about 53%) said the bulk of the customers pursuing financing are Gen Xers. About 25% said it’s primarily the Baby Boomers who are looking for financing options, and 21% said it’s mostly Millennials seeking financing.
Senior Retail Editor