With countless shops opening, whether online or a traditional brick-and-mortar store, deciding on a profitable business becomes complicated especially when consumers nowadays are more drawn to do their shopping online. Nonetheless, mattress stores are increasing in number which directs to the notion that a mattress business is a thriving business. Check these 10 mattresses.
If you’re opting to start a business, considering a mattress showroom is a brilliant opportunity. According to IBIS World, a research firm, the $15 billion-dollar industry is expected to grow over the following years. With that, today would be a great time to venture into the multi-billion dollar industry.
Why Open A Mattress Showroom?
Why are there plenty of mattress stores throughout the country? In actuality, mattress showrooms are amongst the few retailers that sellers online haven’t been able to include in their listing. This is so since purchasing a mattress is yet a personal experience. End-users need to personally see, touch and perhaps try out a mattress prior to purchasing one to ensure that they get the comfort they want for a great night’s sleep. Additionally, shipping a mattress to your home can both be expensive and troublesome.
Retailers of mattress retailers have little operating expense and reasonably low cost for startup. Moreover, the industry presents profit margins that are high. Retailer stores such as grocery stores have a little profit margin of only 3%-5% since they depend on a voluminous amount of sales for it to be profitable. Markup of mattress stores according to Consumer Reports is between 40%-50% on average. Consumer Reports is a not-for-profit organization giving ratings and reviews of products that are unbiased. One study, on a high-end, found a markup of 900% where a mattress that merely cost $300 was retailed for $3,000.
Usually, mattresses and bedding merchandises last about 4-8 years. This indicates you having repeat and referral clients, provided that you continue to actively and enthusiastically engage them in your business between procurements.
The remarkable growth in the quantity of producers as well as spending in the mattress industry is a well-defined sign that getting quality snooze is now deemed as an essential necessity and demand by a growing number of individuals. And at all times, essential items have been a dependable ground on which to establish a business.