New Report Finds Drop in Consumer Spending on Home Furnishings Signals Cocooning's Demise

Furniture World Magazine

Capping a year of anemic performance in the home furnishings industry in 2001, American consumers are sending a clear message that continued heavy spending on their home is no longer a priority. Following three years of consistently strong growth in the 6-to-7% range, retail sales of home furnishings, including home durables such as furniture, appliances, china, glassware and tableware, and semi-durables, such as curtains, bedding and linens, grew only .7% in 2001 to $360.7 billion. A weak consumer economy is not to blame for the poor showing in home-related sales. In 2001 consumer spending across all categories rose 4.5%, from $6,684 billion in 2000 to $6,987 billion. The reasons why the home furnishings category significantly under performed the overall consumer economy and how home marketers can apply the research findings in better business planning is revealed in this new report from Unity Marketing, Home Report, 2003: The Market, The Competitors, The Future Trends.