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HIGH POINT — One part of the home that has enjoyed an increasing amount of attention is the outdoor room, and that is supported by the growth estimates for 2016 in the outdoor category that is rivaling interior furniture in style and comfort and raising the bar in performance.
Furniture Today estimated 2016 outdoor sales at $4.53 billion, a 3.1% increase from $4.4 billion last year. That indicates slightly slower growth than the estimated 4.4% in 2014-2015. Some possible factors cited for that are the election, weather and economic difficulties in certain areas, particularly those in energy-producing states.
OW Lee President Terri Lee Rogers is among many who said she is cautiously optimistic, and she identified in particular the revitalization of energy initiatives as a way to help boost consumer confidence in the middle parts of the country that have been affected.
“As of the end of October, our sales were about even with 2015, which was a big growth year for us, so we are encouraged that we have been able to maintain the growth we experienced last year,” said Rogers who heads the family-owned, domestic producer.
There are positive signs from the housing market. New housing starts are expected to grow at a more rapid rate for the next couple of years with single-family starts being favored and experts point to Millennials coming into the market as a key factor. Builders and architects have reported greater emphasis on the outdoor room.
“We see that people view their outdoor rooms as an extension of their indoor rooms. They want to bring the same comfort and style that they have indoors to their outdoor furniture and accessories,” said Mark Griggs, vice president of marketing for Summer Classics. “Our company’s products fit this scenario because we look to create comfortable furniture that will also stand the test of time. What we see is that our customers find the value of investing in materials that will last. We have had customers call us who have had their furniture for 15 years, and the furniture is still in great shape, but they want to replace the cushions.”
Underscoring that statement at the Casual Market Chicago in September, Summer Classics featured in its front window a fully upholstered sectional with an indoor room setting, and the focus was on outdoor performance with indoor look.
SUBHEAD: Comfort counts
Advances in fabrication and process have given rise to outdoor furnishings to provide looks that resemble indoor furniture with materials and finishes that endure outdoor elements, but more and more the comfort factor has become a more important part of the conversation, with better drainable cushions and high performance fabrics that combine function and fashion.
“Comfort is king when you spend time outdoors,” said Rogers. “While the fabric options are almost overwhelming, the outdoor fabric options the consumer has today are every bit as comprehensive as the indoor offerings. Don’t forget that what is inside the cushion is important as well. Cushion cores should be made with outdoor foam or have barrier cloths to protect the cores from the rain and snow.”
“Growth will happen in the outdoor furniture category for 2017 for sure but not everyone will feel it,” said Tom Murray, president of NorthCape. “Blurring the lines between indoor and outdoor will be a major theme and driver for years to come, and those addressing that trend will participate in the growth. We actually have some outdoor products making their way indoor, truly blurred lines.”
NorthCape partnered with interior designer and makeover TV personality Libby Langdon on her first outdoor collection this year, reflecting the popularity of outdoor spaces and the spotlight on outdoor furniture.
“The challenge for buyers and retailers is to showcase the designer, luxury looks in their showrooms and stores with the same flair and fashion-forward presentation as they first saw in a showroom,” said Langdon. “The consumer is bombarded with beautiful images of outdoor spaces in magazines, online and on TV; they are more design savvy than ever before, and that means retailers need to step up their game to be seen at the same level.”
Consumer expectations are not only design-focused. The more savvy consumer who is spending an average of weeks to research product online and in stores is demanding customized looks, quality and fast delivery, which drives dealers to find and partner with suppliers who can provide all of the above at a value that meets the retailer’s customer base.
“A key driver in our ongoing growth year after year is our ability to provide personal customization through hundreds of designs, finish and fabric options. In a timely manner, Castelle can deliver one-of-a-kind outdoor décor allowing our customers to provide their consumers with the exact outdoor living space they desire in six weeks or less,” said Steve Lowsky, CEO of the luxury outdoor brand based in Ft. Lauderdale, Fla.
Castelle introduced a wide range of styles for 2017 from classic to contemporary collections, and it expects sales expanding through its City style designs that focus on meeting the need for small scale luxury outdoor living, according to Lowsky.
Two of OW Lee’s three introductions this fall had contemporary looks, and Rogers said they have had some encouraging early season retail sales. The company also introduced porcelain tiles in its table tops and fire pits, all cut, mounted and grouted in its Ontario, Calif., factory. However, like other suppliers who want to keep a broader appeal, OW Lee maintains its traditional roots even as it expands in styles and materials.
Although consumers reported they felt confident in the economy, their reluctance to spend has been felt at retail overall, so suppliers and dealers might need to work harder to stay ahead of trends and turn them into opportunities.
“Technology is also shaping how Americans live outdoors,” said Langdon. “With smart phones, tablets and laptops, we can work from virtually anywhere, including outside living areas. Outdoor media units will continue to grow in popularity.”
