Memorial Day weekend showed that shoppers are still willing to spend, but they are paying close attention to price and value.
The holiday came after a solid April for retail overall. U.S. retail sales rose 0.5% from March, and retail trade sales were up 5.2% from a year earlier, according to the U.S. Census Bureau. But furniture and home furnishings had a tougher month, with Reuters reporting that sales in the category were down 2% in April.
That made Memorial Day an important promotional moment for home-related retailers. Adobe Analytics projected online spending for the holiday weekend would approach $11 billion, with furniture expected to see a 61% lift. Furniture and bedding discounts were expected to average about 10% off listed prices.
For mattress and bedding retailers, the message is pretty simple: Shoppers are interested, but many are looking for a clear reason to buy now. A discount can get their attention, but it may not be enough by itself.
The follow-up after Memorial Day matters. Retailers have an opportunity to keep working with shoppers who visited a store, clicked on an ad, browsed online or compared prices over the holiday weekend. The job now is to connect the sale price to the things that matter most: comfort, support, cooling, delivery, financing, service, and long-term value.
Sources: Reuters; Total Retail; The Wall Street Journal
