Bedding Industry Forecasted to Grow by 7.5% in 2011

In a recent article written by David Perry of Furniture Today, he shares the good news that the latest forecast (as of June 2011) indicates that there will be growth in the bedding industry this year.   The bedding industry includes products such as pillows, linen, bedding, mattresses, bedsheets, blankets, and comforters. He believes that the mattress industry will actually see positive growth in the dollar value of bedding shipments in 2011; however, unit growth is expected to be modest.  The following year though, the bedding business is not expected to be as robust.  However, for this year, this is positive news at least.  In a time of economic uncertainty, we’ll take any positive news.

A few days ago, the latest mattress forecast from the International Sleep Products Association (or commonly known as ISPA) was issued for the latter part of the year.  The ISPA issues bedding forecasts two times every year –  in the spring and fall.  So these forecasts are typically deemed to be relatively accurate.  How are these forecasts determined?  ISPA has what they call a ‘Forecast Panel’, which includes leading mattress producers and component suppliers to do the needed research and forecasts.

So for the second part of the year, ISPA’s Forecast Panel predicts and envisions the value of bedding shipments to rise by a strong 7.5% this year, with units increasing by 4%. Earlier in the year, ISPA had forecasted a mere 5.7% dollar gain and a 3.5% unit gain for 2011.  So this is an 30& and 15% increase relatively.

For the following year, the International Sleep Products Association predicts that bedding dollars will increase by 6%, with units increasing by 3.5% similar to the first part of this year.  Now, if these forecasts prove to be accurate, what’s referred to the “bedding comeback”, will extend it’s streak to a 3-year run,  a streak that started in 2010.

The reality is though that even with both the unit and dollar gains forecasted through 2012, the bedding industry has a way to go to regain lost ground, according to ISPA.  Many believe that the housing recovery will continue to make a very slow recovery, as a record number of foreclosures and constant declining prices of homes plague much of the nation. “The housing market, however, has recovered from the lowest of lows, and 30-year conventional mortgage rates, which have a major influence on homes sales, are expected to remain low,” ISPA said.

Bed Bath And Beyond Share Prices Tumble

UNION, N.J. (AP) – The home furnishings chain Bed Bath & Beyond said Wednesday that its quarterly earnings fell nearly 19 percent as the nation’s sluggish economy slowed even further.

Is everyone feeling down about the economy..?

BBB earned almost 200 million dollars in the quarter…which sounds like a huge amount to us normal non corporate types right…? but the other part of this is that earnings went down from a year before from 147 million dollars.

So clearly customers are cutting back alittle bit. I would also think that competition from everywhere is also responsible for the numbers being down. I can tell this from my own online business too. Understandable, but at the same time I think people will still be shopping for good deals and better quality in their home accessories like bed sheets, duvet covers, comforters, pillows, kids bedding and so forth.

A positive note on the BBB story here too by the way…share proces rose after trading hours were over, so I’m sure many shareholders slept abit better afterall. Rest of story here