Inventory buildup still about two quarters away from resolution, says Hekman


HIGH POINT – While retailers are certainly making progress moving through the massive inventory they accumulated over the COVID pandemic, the issue hasn’t  totally disappeared yet, despite business being slow for the past two years.

Case goods supplier Hekman believes the issue should resolve by the end of the year.

“Retailers are still moving through old inventory,” said Neil McKenzie, director of product development. “I think it’s about two quarters away still from going away. There are headwinds working against us, like high interest rates, low housing turnover and slow housing starts.”

To that end, the company placed a greater emphasis on smaller, individual items at the recent High Point Market.

“We will always do collections, but we are probably more focused on individual pieces, especially with our accents,” McKenzie said.

McKenzie said the company introduced 76 new items this market and was focused on filling gaps. Greater emphasis was placed on modern looks and on items with more “flair.” New items saw more material mixing, leafing and the use of metal.

The company continued its lean into storage, offering new wooden-shelved curio display cabinets once again focused on flexibility. It previously offered the same cabinets but with glass shelves, with a wood option adding strength and stability. Cabinets are customizable, with consumers able to decline finish, hardware, door style and panel type.

“RTAs can help customers design them in-store,” said Jim O’Keefe, vice president of sales. “And that sets brick-and-mortar buyers apart from e-commerce sites.”

The company also continued to tout its custom modular cabinets, which it first launched last August through its Howard Miller brand. Cabinets are essentially interchangeable wall units that can be configured in a variety of ways throughout the home. Unlike traditional cabinets, consumers can take them with them if they move to another house.

Consumers can design and customize their cabinets through a new online configurator.

“This past week, we launched our new rendering tool, so people can customize them however they wish online,” said O’Keefe, noting the company has little competition in this space. All cabinets are made in Michigan and ship within three weeks of order.

Another launch included a new executive home office line to the company’s best-selling Bedford Park bedroom, dining and occasional group. Finally, a new quick-ship program allows buyers to customize the company’s upholstered chairs in a 21-day production time. Chairs are built in High Point.

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