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Product mix, merchandising key at R.C. Willey

By Clint Engel -- Kids Today, 11/1/2005

Las Vegas— In its Summerlin community store here, R.C. Willey's "Kid's Corner" is awash in the primary colors, stuffed animals, sports gear and, of course, home furnishings that have helped turn this market into the retailer's best when it comes to sales volume per store.

The youth and infant areas take up about 4,200 square feet of the giant 130,000-square-foot showroom, but it's productive space, packed with styles targeting tots to teens in kid-friendly displays "decorated like a kid's room would be decorated," said Jeff Glover, general manager of the Summerlin store.

The broad offering of youth bedroom is a key strength, with goods coming from suppliers such as Broyhill, Kemp, Trendwood, Sandberg, University Loft, Condor Manufacturing, John Boyd Designs, Palliser, Thornwood, Emerald Home Furnishings, Lea Inds., Trade Master, Canyon, Legacy Classic, Bedtime and Turnda Intl.

Recently, R.C. Willey added a collection from its private-label, imported Marquis line in a light maple finish with darker detailing that has been a big hit, Glover said.

This vast variety combined with R.C. Willey's strong in-stock position gives the retailer a competitive edge in Las Vegas, Glover said, noting the store is often able to deliver within three days.

Even the special orders move quickly. Through its program with John Boyd Designs, for instance, R.C. Willey can deliver ordered goods from the colorful line in four to six weeks.

All told, there are about 20 vignettes and about 32 bed displays in addition to four cribs in the soon-to-be growing infant bedroom area. Bunk beds start at $199 with the bulk of the business coming at $399 and $499. Loft beds start at $399 with strength at $699 and $799, and twin beds start at $99, but are most popular in the $299 to $399 range, said Ritchie Morrison, furniture operations manager for the Summerlin store on South Town Center Drive.

University Loft is at the high end of price spectrum, with looks that carry kids through their college years. Popular loft beds from the supplier run from $899 to $1,499 on the floor.

It used to be consumers skimped on kids bedroom furniture, Glover said, but today it's a different story.

"Now," said Glover, "they're spending $800 on a bed and $600 on a mattress."

The effect may be exaggerated in the Las Vegas market, where the number of children per family typically is smaller than, say, in R.C. Willey's Salt Lake City home base. Glover says kids rooms here are larger than they were when he was a child, and in Las Vegas, consumers have more money to spend per room because they have fewer kids, so the budget is not stretched as much.

In the infant area, R.C. Willey turns to Million Dollar Baby and Concord for cribs that retail from $199 to $369. The store has been selling a variety of gear from strollers to carseats to high chairs from several sources, but that's about to change, said Teri Whittaker, buyer for the infant category.

The company, part of Berkshire Hathaway's furniture division, has opted to focus on the categories where it makes the greatest statement as a leading home furnishings store — cribs and the goods that go with them, such as chests, changing tables, bedding and related textiles. As in the youth category, Whittaker said the retailer believes it can better serve its consumer through a larger assortment here.

After the retailer clears out the other goods in the next month or so, R.C.Willey should be able to double its furniture display to eight to 10 cribs and step up to higher prices points — up to about $599.

With the extra space and the widening of the price spectrum, Whittaker said she may bring in additional crib sources, though she hasn't made that decision yet.

Even without the stroller and carseats, the infant area, as well as the youth department, are spiced up with complementary kids room merchandise. In the youth area, for instance, video chairs from Little Rock have been popular, Morrison said, along with Bajama bags from Hipoint and beanbag chairs from Elite Product.

The baby area — along with an area near the cashiers' station — features a few glider rockers from Dutailier and its Towne Square division, Best Chair, Primo and Tundra. The cribs are dressed in four- and six-piece textiles from KidsLine and Glenna Jean, with some packs featuring matching valances and diaper stackers. The crib mattresses are from Kolcraft.

Whittaker said the store has found success with kids table and chairs sets and easels from Home Star Products as well as Princess rocking chairs and a toy box from Levels of Discovery.

The big box retailer is also a heavy advertiser and usually features at least one youth group and/or crib in its regular newspaper circulars and direct mail pieces.

The entrance to the youth area features a John Boyd Designs blueberry bedroom and special touches such as a faux tree and clubhouse.

A crib from Concord Furniture is displayed with a chest from Million Dollar Baby.

The twin locker bed from Condor Mftg. is a hit with kids and parents alike.

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