Expectations are running high for strong supermarket sales in housewares in 1995.
Retailers said a healthier economy should make it easier for shoppers to spend more money on high-impulse housewares products. When consumers do buy housewares, supermarkets are betting they will be looking for quality and value.
"With an improved economy, we're upgrading housewares with more upscale choices in better lines. Consumers may gravitate toward better quality items," said Richard Sizemore, nonfood merchandiser at Pay Less Supermarkets, Anderson, Ind.
The big question, however, remains just where shoppers will go for their housewares supplies. Clearly,
supermarkets have the advantage over other classes of trade as far as convenience of shopping, higher frequency of return visits, and products that can be appropriately cross-merchandised in the grocery aisles.
When the International Housewares Show takes place in Chicago's McCormick Place Jan. 15 to 18, supermarket retailers and wholesalers will be looking for ways to gain a bigger foothold in the $50.4 billion housewares industry.
Housewares is a fashion category where color trends are important. Retailers polled by SN said they would be looking for hot new bright colors in green, yellow, red and blue to capture cookware, gadgets, plasticware and bakeware volume from the mass merchandisers. "Brighter colors are making a comeback in basic plastic selections," said Gary Schloss, vice president of general merchandise at Carr Gottstein Foods, Anchorage, Alaska. Besides being on top of fashion trends, retailers also are concentrating on their housewares presentation, selection and competitive price points.
"Presentation and price are important in allowing supermarkets to compete more strategically against the mass merchandisers. Another key is offering name brand products at a value," said Dick Swain, vice president of general merchandise at Associated Wholesale Grocers, Kansas City, Kan. "Consumers always want to trade up," said Allen Booth, assistant director of general merchandise and health and beauty care at Jitney Jungle Stores of America, Jackson, Miss. "Given the fact consumers have extra money to spend, they will be looking for better value and quality, and not price alone," he added. Here's what retailers and wholesalers are planning for housewares in the new year.
Vic Anthony
nonfood buyer
Abco Foods
Phoenix We're in the process of evaluating our housewares merchandising and may go with products displayed from one solid panel. We also plan to expand into some new peripheral areas with more upscale items. We've had good sales success with higher-end cookware continuities. A good example was cranberry Visionware glass cookware. We sold a tremendous amount from open stock as a 14-week continuity. Our sell-through was 85% to 90%.
Richard Sizemore
nonfood merchandiser
Pay Less Supermarkets
Anderson, Ind.
With an improved economy we're upgrading housewares with more upscale choices in better lines where we have the space.
We're putting in three-piece starter sets, consisting of a pot, sauce pan and skillet, of Corning Visionware. Prior to introducing the smaller set, we carried bigger pieces of Visionware in open stock.
We've also expanded coated bakeware products at higher retails and started cross-merchandising with flours and baking goods
At Thanksgiving, one of the highest trafficked holidays of the year, we cross merchandise turkey pans and roasters, and better grade Pyrex glass and baking implements, as well as tie-in accessories. We're aggressively J-hooking small gadgets to pick up incremental sales on high-impulse housewares items. We are looking at upscale enamelled steel cookware in brighter colors to run as a continuity program this year. We'll retail these for about $100 for the full 12- to 15-piece set.
Dick Swain
VP, general merchandise
Associated Wholesale Grocers
Kansas City, Kan.
We'll spend time searching for in-and-out promotions mostly chosen from within the lines we're carrying. Hot in housewares this year are better quality products that offer consumers better values, especially in kitchen tools and accessories.
In bakeware, it's important that you promote with shelf talkers or callouts the way they do in grocery.
Allen Booth
assistant director,
general merchandise and HBC
Jitney Jungle Stores of America
Jackson, Miss.
The hot-selling category this year will be household cleaning implements and supplies, including brooms, mops and brushes. We're interested in seeing what Rubbermaid is doing, and what the new colors will be. Consumers always want to trade up.
Bob Morrison
general merchandise buyer
Randalls Food Markets
Houston Although white is still popular with consumers, brighter colors in reds and oranges in cookware are in strong demand. The color black has faded somewhat, and hunter green is strong in a lot of housewares items. White is available in almost any plasticware and in gadget handles. More earth tones also are showing up in clothing, bedding and towels. To compete against the mass merchandisers, retailers must take basic gadgets that people buy often such as potato peelers, can openers, and seasonal items and take a very competitive position with these. Your regular margins can be made on the fringe and specialty items. It's critical to be highly competitive on the faster turning items so that customers know they're getting a good value. This is the approach we're going to take this year.
Food storage has been strong for us, especially with Rubbermaid products. Additional volume is coming from lower-end plasticware in dollar day sales.
Gary Schloss
VP, general merchandise
Carr Gottstein Foods
Anchorage, Alaska
Some people want to brighten up their kitchen and home decor and use the new colors to change their surroundings. This seems part of an overall trend away from staid colors and a swing to colorful appliances. We're going to the housewares show to look for products in new and bright colors. Kitchenware, specifically gadgets, Pyrex bakeware, cookware, appliances and tools, has been the most successful category for Carrs in competing with other retailing formats. This category has done very well for us.
We merchandise kitchenware at endcaps at all stores, especially during the fourth quarter. We carry a variety of items priced from mid to high range. We offer our shoppers a choice between a $19.99 enameled steel roasting pan, or a disposable aluminum foil pan for 99 cents.
