Why Do Home Furniture Companies Always Run Sale Messaging?

By Michael Johnson


We've all observed those Television adverts promising big money savings on a wide variety of sofas, however it may surprise you to discover that it is not only the lower end of the market which have a passion for promoting cut-price furniture on a near to constant basis. As any business major with tell you, cutting prices is a sure-fire way to boost sales but which every single price promotion decreasing profits, just why are furniture companies always on sale?

The answer seems to lie in the nature of furniture manufacturing, which in recent years has become a mass produced consumer product in a international age. With income delivered by cutting costs by outsourcing manufacturing to cut price destinations, sofa retailers have been ever more keen to decrease rates in an attempt to secure market share through sheer sales volumes. Even so, because the marketplace has consolidated around a smaller number of retailers, competition has grown to be incredibly fierce, applying additional downward stress on pricing which has made sale pricing ever more popular.

It wasn't always this way. Initially the preserve of a wealthy elite, sofas have usually been an exclusive luxury product with a rich heritage stretching back through regal dynasties all of the way to the Ancient Egyptians. Even a hundred years back, just after the industrial revolution, sofas were nevertheless primarily manufactured in the home marketplace in a variety of artisan workshops and factories, employing techniques that had hardly changed more than five hundred years of European history. In such circumstances, sofa sale promotions were basically unprecedented, with retailers in a position to clear nearly all of their inventory at full value as the middle classes sought to improve their residential decor.

Fast-forward to the present day and we see a quite different picture. These days the normal sofa sale has moved from being a standard bi-annual event to becoming the modus operandi for mid-market and cost leader suppliers planning to increase their top line revenues. Within this new atmosphere, continual sales messaging is making buyers ever more sensitive to price which critics argue is leading a number of companies to cut corners with regards to quality, upholstery and supplies. Arguably that is one of the crucial reasons why luxury sofas have grown to be increasingly popular in recent occasions, as customers shift away from mass-produced products in favour of higher quality alternatives.

In the end even luxury companies run sale periods although these tends to be a far more hidden events. One example of this is the rise of online flash sale websites like Secret Sales, Made and Achica who successfully make their income by acting as discretionary clearing portals for high end brands who don't want to devalue their merchandise by running a sale but nevertheless need to find a way to sell their excess inventory with each new season. Purchasing on the web using these sites is a excellent way to discover a genuine bargain, where you pay a low price but receive a considerably higher quality product then you would otherwise expect. In these hard economic times, it's likely that such sites will turn out to be ever more common in recent years.




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