American Bedding Industry Trends

- Jan 25, 2018-

The American Bedding Industry Association said that accelerating economic growth and the real estate market warming will bring more robust growth to the US bedding industry by 2018.

The International Sleep Products Association (ISPA) released a three-year growth cycle forecast in October, which forecasts that the industry will experience modest growth in 2017 but steadily increase by 2019.

However, ISPA warns that many variables are at work and that it is increasingly harder to predict the bedding industry.

According to the latest forecasts, mattress sales (US $) will increase by 4.5% next year (2018), mattress shipments will increase by 3.0%, mattress sales will increase by 5.0% by 2019, and mattress shipments Increase by 3.5%.

The toughest year in ISPA's forecast is in 2017, with ISPA now seeing a 1% increase in mattresses and a mattress increase of just 0.5%.

This is far from optimistic forecast ISPA in June, when ISPA expects mattress growth rate will reach 4.5% this year, while shipments will reach 3.5%.

So why is this so?

Bedding industry experts are not sure, they think the situation should be better than now, and noted that the industry is undergoing tremendous changes.

ISPA also made a similar view, saying that the purchasing performance of various industries including bedding products is not very good.

In its October forecast, ISPA said: "While economic indicators, including employment, housing, GDP and inflation, show that the economy is stable and even growing, everything from cars and appliances to clothing, fashion and bedding In many areas, consumers are underperforming, and the disconnect is making forecasting more difficult. "

ISPA also observed that the bedding industry experienced "major subversive and change" this year. Business consolidation activities in the retail industry have changed the number and location of retail locations, product mix and competition. Long-term manufacturer-retailer relationships have changed. Sales of foldable mattresses, boxed mattresses and e-commerce are also growing as the traditional line between material suppliers, mattress manufacturers and retailers is blurred. "

Jerry Epperson, managing partner at Mann, Armistead & Epperson, said ISPA is taking steps to better manage the rapidly growing box-top mattress industry.

Epperson, a member of ISPA's statistics board, said: "Imported mattresses are growing at a tremendous rate and will gain market share in our market, but will exert downward pressure on unit prices in coming years."

"This year's economic performance is good, which has stimulated the demand for mattresses, including the sale of homes, disposable income, new family structure and consumer employment, as well as the stock market and real estate valuation higher, which makes many Americans Feel more affluent, "Epperson wrote in a review by ISPA.

He said some positive factors for 2017 will benefit the industry next year, and those gains are also reflected in ISPA's stronger forecast for 2018.

Epperson writes: "We also see that with GDP higher than our expected economic model, this growth will continue through 2019. Therefore, we expect mattress sales to grow by 5.0% and shipments by 3.5% in 2019 In my opinion, this is very easy to achieve. "