Direct Retailing Outpaces Other Channels

Carole Sloan, July 25, 2005

New York — Direct-to-consumer retailing surged to the highest sales increase in home textiles by channel with a 14.7 percent gain for 2004.

The increase was spurred largely by the increases in Internet sales at JCPenney, where catalog sales also increased. Overall, Penney recorded a gain of 25.3 percent for its non-store business, bringing its 2004 sales in this channel to $1.2 billion.

Close on Penney's heels was Pottery Barn — in third place for this segment — with a 20 percent increase, bringing its sales in this business to $216 million.

The specialty store segment recorded the second largest increase with a gain of 10.5 percent, followed by discount stores/supercenters with a 6 percent increase. Department stores with a collective increase of 1.8 percent edged out “other” which includes Sears, Lowe's and the Army & Air Force Exchange Service.

Overall, discount stores/supercenters retained their dominant share of the home textiles market with 43 percent, the same level as in 2003. Specialty stores edged up to a 24 percent share from 23 percent, department stores slipped to 19 percent from 2003's level of 20 percent. Direct-to-consumer picked up a percentage point to 10 percent, while the “other” category dropped a percentage point to 3 percent. Warehouse clubs held at 1 percent of the market.

Within the segments, the only change in ranking of the Top 5 was in the department store category where Macy's East and Macy's West swapped places for numbers four and five with Macy's West moving up a notch.

Despite a year of challenges in home textiles, Kohl's lead the percentage increase in the department store ranks with an 11 percent gain, largely as a result of the addition of 95 new stores in 2004.

While Bed Bath & Beyond held its lead in the specialty store retailing segment of home textiles, Pottery Barn in fifth position gained the largest percentage, up 15.8 percent, bringing its retail sales to $234 million.

With 115 new stores, Wal-Mart recorded the largest gain in the discount store/supercenter segment of the Top 5 with an increase of 10.2 percent.

Featured Video

  • 1200 Suppliers are Ready for You at Intertextile Shanghai

    Camera Icon More Videos

Subscribe to
Home & Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.

CURRENT ISSUE

HTT August 2017

See the August 2017 issue of Home & Textiles Today. In this issue, we look at the Top 50 Retailing Giants Report, plus Manufacturing: Made in the USA gaining ground; International: Portugal ramping up exports; New products: NY Now home textiles introductions; Outlook: Commentary from H&TT's editors; and Planning: Trade show calendar.

See details!