Things You Are Probably Unaware About The Bedding Industry
If you are going to purchase a new bed, it is appropriate that you have some kind of awareness of the bedding industry where you’re going to spend your money. Of course, aside from quality, you need to make sure that what you are buying is affordable.
Quality and affordability – when both these considerations come to play in your head, you should not forget that the salespeople who will be advising you have their own considerations as well.
Read up and learn.
Facts About Bedding Industry
Most bed and furniture stores have their salespeople work on a commission basis. This usually means that these sales folks have a retainer and get paid based upon the value of the sales they make. This is a great idea for the business; after all, their wage bill is more relative to their turnover in percentage terms.
But what does it mean for the customer who should be the main focus? It means that the salesperson, in order to make a better living, has the pressure to increase sales values regardless of how it is achieved. This scenario has the potential to direct you to the wrong mattress against your specific comfort requirements and budget needs, and that is why we have never operated on this basis.
This is even worse than commissions. Spivs are financial or other inducements (bribes) usually provided by the manufacturer to sell specific mattresses. In this case, there is a push by either the retailer or the salesperson to “move” a specific mattress, consequently the customers find their path littered with subtle little comments that may direct them to what the salespeople want them to choose, as opposed to finding what suits their needs.
We absolutely never allow spivs from our suppliers. It can lead to exuberant sales people providing less than accurate information to customers, conflicting with what they have been told elsewhere and probably causing more confusion than they already have.
Because of the way the Perth bedding industry operates, some mattresses can be exactly the same or at least very similar, from one store to another (including us). However, they do have different names, usually different covers, and most importantly different price tags. In the motor industry, this is called “badge engineering” and is prevalent in lots of other industries. The problem here is that it becomes extremely difficult for the customer to compare prices. The thing is, comparing prices will allow you to ensure you are not paying too much for what you get.
The Australian bedding industry is dominated by major national franchise groups reportedly to the tune of 80% of the market. Their marketing clout gets people in the door. They operate with differing policies with regard to fees they charge their franchisees and also have their individual pricing policies in terms of the mark up on their products. To be fair, this is common in lots of industries, but because you, the customer, cannot easily compare what is on offer, they have a better opportunity to inflate the prices.
As a final note regarding bedding industry…
We cannot deny that all businesses desire to be profitable. That is the essence of making business, to earn money; without profit, businesses will simply not exist. The thing is, revenue does not mean setting aside the customers’ needs. That is the most important aspect of doing business; without the customer, there is no point in making business at all.