Baby, juvenile textiles vendors weather the storm with creativity in management, products

news

by Jenny Heinzen York -- Kids Today, 10/1/2009 12:00:00 AM

The textiles business has been dealt a tough hand throughout this economic downturn, but vendors are seeing the light at the end of the tunnel as they fight to keep their companies competitive with on-trend products and an overall emphasis on value.

The youth side of the textiles business seems to have fared better than the adult side, which is reason for optimism, but retail models, customers and their tastes are changing very rapidly, and successful businesses have to be able to move with them.

“As the birth rate is consistent and holding strong, I believe we are very fortunate as an industry,” said Renee Pepys Lowe, president of Cocalo. “There definitely seems to be a positive feeling in the air. The challenge is the changing behavior of the consumer and how she is buying. It is important for manufacturers and retailers alike to really understand the changing face of this consumer in order to meet her needs.”

“The business is weak,” said Caren Karpik of Bebe Chic. “One of the things is that the textiles market has gotten so spread out – everyone sells bedding now, so everyone’s piece of the pie is a little smaller.”

Karpik said she sees a different trend in the way customers order now. Where most customers would purchase a four-piece crib set then add accessories, now they are picking out one or two pieces. “You need to write a lot more orders to make up for that,” she said.

Harry Siegel, national sales manager for Hallmart, said the company’s youth business is a bright spot during the tough times.

“We tend to get more inquiries about our juvenile line because it’s so extensive,” Siegel said, adding that Hallmart offers more than 100 youth bedding collections.

“The biggest impact on the business is the economy,” he said. “People are afraid to spend money – a lot of it is what they read and what they see.”

To combat the negativity, vendors are looking to sharpen their products and their business models to stay competitive.

“We have tightened our belts and tried to cut back on frivolous expenditures,” said Cinda Brown of Maddie Boo. “It has made a take a look at all facets of our business. I think the challenges we all face have made us better. We had to see what is working and expand on that.”

“What we’ve done is brought up a lot of product with a lot of perceived value,” Siegel said. “Everyone wants to buy something for $99 that looks like $299.”

The value model is also important for Cocalo, said Pepys Lowe. “We have continued to add more value to our product and with stronger buying power we have been able to either hold or reduce prices,” she said. “We just launched our newest brand CoCo and Company – a value-priced collection of bedding, room decor accessories and blankets. This allows the consumer to have a stylish and yet adorable nursery.” Cocalo also added juvenile bedding – a first for the company – at the recent ABC Kids Expo, to expand its reach.

Karpik said Bebe Chic has been aggressive with its new product introductions this year – adding 30 new fabrics and nine new crib sets. Because the line is domestically produced, she said, Bebe Chic is able to add a lot of new options and treatments in a relatively short time. “Things are starting to pick up,” Karpik said. “But it’s harder to plan because the customer is more fickle.”

California Kids is also produced domestically, which owner Delia Varela Glass said is a definite advantage right now. “At California Kids we manufacture everything in the USA and doing so we turn even custom bedding at a reasonable time and price,” she said.

Now the question remains: What can we expect for the remainder of 2009 and the start of 2010?

“2009 will continue to be flat as it is now the fourth quarter and that has never been a great quarter for juvenile. 2010 bodes well,” Glass said. “We just came out of a terrific Vegas market. Clients are revamping their floors. Inventory is down and buying is up.”

Inventory is a big issue right now – because customers are placing smaller orders more often and are looking for immediate gratification.

“We are always in a good inventory situation,” Siegel said. “People aren’t ordering back stock or big quantities any more, but we are able to turn things around really quickly.”

“I think we are all cautiously optimistic,” Brown said. “Sales have been erratic and unpredictable (this year). Orders pour in one week and slow down a little the next, but we had a great summer and the sales trend seems to be continuing. I really think in 2010 we will start to see some consistent growth. Once there is some consistency to sales I think retailers will want to begin stocking more inventory again. Everyone is positive and optimistic. I think our customers want to make sure the trend continues with an up-tick in the economy and consumer confidence. They all seem a little happier these days.”

“We are starting to see some improvement and think that the 4th quarter (2009) will show that,” Siegel said. “I think that will grow into the first half of 2010, but it will be slow, gradual improvement to get back to normal over time – whatever normal is now.

“Our customers have been a little more upbeat and they have seen a little improvement,” he said. “The problem is that it’s not consistent – there are a lot of peaks and valleys. But overall, the third quarter has brought more positives than negatives.”

The economic mood is having an impact on the product trends too, vendors told Kids Today.

Karpik said transitional to traditional styles are working best right now, which tends to happen when the world is unsettled. “Modern is much colder,” she said. “Once the economy takes a nosedive, I think people want to feel a little cozier.”

As far as color trends go, Bebe Chic has put a lot of emphasis on bright colors, as well as navy, chocolate and black.

Siegel said brighter colors are a definite trend at Hallmart, and that the looks are getting a bit more grown-up. The “tween” looks that can grow with a child (perhaps even into college) are very popular now, so Hallmart has adapted some of its most popular adult collections into twin and full sizes to take advantage of that.

“I think everyone has become a little more cautious with their purchasing all the way around,” Brown said. “The look for infant and youth is going through a metamorphosis – patterns are bolder and larger in scale in the textile arena. Color palettes are more sophisticated as well. I think there is a new excitement and energy with the new looks. That always helps generate sales, which keeps our business healthy.”

Glass said, “I wish infant would be a bit softer, but as for teen, bold circles and stripes are right on with transitional being the favorite.”

Pepys Lowe offered a detailed look at what she sees as the top trends in the category: Continued use of color and patterns related to the home decor industry; handmade details in embroidery and appliqué techniques; traditional patterns applied in new ways; gingham and dots; quirky art vs. cutesy art; ethnic-inspired prints; and monochromatic color palettes.

“Pattern and scale are larger and bolder,” Brown said. “The little novelty and retro prints aren’t big sellers any more. Colors are bright and happy, and earth tones and drab colors are not as popular. Traditional and timeless bedding will always stand the test of times for babies but with a bolder contrast color thrown in.”

Garbo from Cotton Tale Designs is both classy and modern, with orange and yellow tones, $135, 800-626-2621, cottontaledesigns.com.

Amity Home’s Jungle Collection depicts a safari-full of wild animals appliquéd on a handmade quilt, $115 and up, 626-334-6771, amityhome.com

Juliette from BebeChic has a coordinating boy design — Romeo, $625, four-piece set, 201-941-5414, bebechic.com.

Pop art-style daisies in turquoise and lime really do pop against a chocolate background on the Sabrina Collection from Maddie Boo, 281-298-9798, maddieboobedding.com.

Angel Baby’s Baby Carriage crib bedding set marries delicate pink and white stripes with baby carriage embroideries for a sweet, feminine appeal, 303-359-6656, ababybedding.com.

Transportation from Bacati is a four-piece crib set in yellow, deep red and blue, $160, 713-466-6555, bacati.com.

Transport Baby Quilt from NotNeutral is embroidered on both sides of the reversible design for double the color. The quilt measures 30x40 inches, $70, 800-270-6511, notneutral.com

Delilah is a one of the first lines in Cocalo’s new brand, Cocalo Kids. The stylized florals and color palette showcase a distinct Moroccan influence, 714-434-7200, cocalo.com.

The Bridget collection from Alli Taylor has a timeless embroidered design in shades of purple, $169, 919-562-4978, allitaylorbedding.com.

Zooluland from Living Textiles is a combination of plush and percale cotton, featuring safari-inspired appliqués, $189, 4-piece set, 949-413-8800, livingtextilesusa.com.

A Greek key design in grey is paired with bright colors in Sydney, from Glenna Jean, $365, 800-446-6018, glennajean.com.

Tadpoles Baby has turned its basic Damask bedding preppy, and softened it with tulle and embroidery, $129/four-piece set, 718-401-4021, tadpolesbedding.com.

Show Doggies from Sumersault features fabrics reminiscent of a man’s suit, $179, 201-768-7890, sumersault.com.

Hallmart’s Vintage Stripes ensemble marries quilted ginghams, plaids and solids to mimic a homemade quilt, 888-991-7888, hallmartcollectibles.com.