Increased profits and beautiful showrooms are the main advantages to having an area rug department. For those floor covering specialty retailers with the space and product knowledge to manage it all, area rugs can be a valuable profit center and a fashion magnet.
“It’s beyond me why someone wouldn’t want such a great margin product,” said David Ellis marketing manager, advertising and public relations for CarpetsPlus Color Tile, which tries to educate its members as to the how and why of selling area rugs. About 30percent of CarpetsPlus Color Tile members are taking advantage of the group support for the category.
“Rugs are a growing part of our business and in the last six or seven years, we’ve made more of a commitment in inventory,” said Marc Gerothanas, vice president and rug buyer for CarpetsPlus of Wisconsin. The company has five locations, four of which actively show and promote rugs, according to Mike Peters, owner and president of the retail business.
All together there are 600 to 700 rugs, with each store having a different assortment based on its market, Peters said. “In two locations, we have remodeled the rug departments including new lighting that shows off the product. We show the larger sizes there – 8 x 10 and 9 x 11 – and they sell when they’re shown,” Gerothanas said.
When we remodeled I wanted the rug sales to pay the remodeling costs,” Peters added. “Up until the current slowdown, it was working that way.”
For Carpet collection ColorTile Lockport, N.Y…. see fcw1.com for more on area rugs.
