In what is believed to be an industry first, wool carpet manufacturer Bremworth will open a brick-and-mortar retail presence as it looks to grow its share of the domestic and export rug markets.
The prototype brand experience and retail concept store in Auckland will be expanded throughout New Zealand and Australia - if the trial proves successful.
The 99m2 retail store is designed to address issues faced by consumers unable to find floor coverings to match the size of their furniture by designing customised rugs on-site that are an exact fit for the space.
Greg Smith, CEO of Bremworth, said the local rug industry is highly fragmented and their research shows over half of rug purchases by Kiwis are made offline. He added that the opening of the store is designed to help them diversify into a growing segment of the market and address the complexity that can be associated with the category.
Traditionally, most New Zealand homes would have had carpet in the lounge; however, there is an established trend towards the use of hard flooring in these living spaces - which may then be covered with a showpiece rug.
“We know that for many consumers purchasing a rug online or from a small sample can be challenging. Despite the advance in online retail, there is a segment of the market where shopping for flooring is still a very tactile experience and a high involvement purchase. Most rugs are sold through big box department or furniture stores, a dominant brand hasn't emerged in this part of the market yet and consumers have little flexibility when it comes to the size of the product, let alone whether it is made with New Zealand wool," said Smith.
“The new concept store in Parnell is designed to offer our consumers and interior designers an immersive retail environment where they can get inspired, learn about and interact with the brand. Once we have proof of concept the natural next step is to expand our omni-channel concept around the country, and possibly into Australia and other export markets,” he said.
Smith said the company sold over $1.1m worth of rugs through their online store last year, with sales up 45 percent over the previous 12 months. He added that the new retail presence will have flow-on benefits for their wool carpet business.
“The performance of our e-commerce channel in a relatively short time frame has given us confidence that there is considerable demand for our product and opportunity for the wool sector. In store, we are able to work with a customer to understand what their needs are, design a customised rug that perfectly matches their space, and then deliver it to their home. It’s exciting because a customer can transform the look and feel of a room in minutes with a rug they design," said Smith.
“The brand experience store will support our retail network by helping to communicate the Bremworth story in a bespoke retail setting, contrasting and colour-matching the carpet across a wide range of natural materials. We live our lives on carpet, but it doesn't tend to get the same attention as say a bathroom or kitchen or even a rug. To grow wool’s share of the flooring market, we need to elevate the importance of carpeting in the home from a design and aesthetic perspective. "
Smith said the company has selected the Residium (formerly the Home Idea Centre) in Parnell as the site of their new Bremworth brand experience concept store as it provides close alignment with over 80 other home and living suppliers in the building. He said the company also offers online consultations and experiences to cater to customers outside of the store's physical location.
