Furniture Online News

October 2, 2008

Dutch mattress recall more bad news for China

Filed under: World News — pavel-buyeu @ 5:37 am

The China critics are getting their voice.

I’m hearing from them in my neck of the woods, the mattress arena. To the long list of Chinese product problems apparently one more should be added: Mattresses.

An Associated Press story earlier this month said that a chain of Dutch- based bedding stores was recalling more than 1,300 Chinese-made foam mattresses “amid fears they were sprayed with toxic insecticide.”

The story said the retailer announced the recall after tests on a container holding more than 700 mattresses found they contained poison, possibly as a result of being sprayed to kill insects. The exact nature of the poison has yet to be determined, the story said.

Now it is important to note that this story says nothing about possibly toxic mattresses being shipped from China to the United States. I have yet to hear anyone state, definitively, that such mattresses have been shipped to the U.S.

But that hasn’t stopped the critics from sounding the alarm. “I am sending this to you so that you are aware,” one U.S. bedding executive said to me, forwarding news of the Dutch company’s findings. “If you do anything with it PLEASE do not reference me or (name of company withheld) as a source. Very interesting…..lead paint, dog food, now mattresses.”

Said another U.S. bedding exec: “This looks like a really big story.”

My thought: It could be, but it isn’t yet.

But, having said that, I agree it is certainly bad news in general for those who import Chinese mattresses to the U.S.  The product recall news out of China lately has been grim. “Dangerous products” was among the catalog of problems cited in a cover story by BusinessWeek last month. “Can China Be Fixed?” was the headline of that story.

The bad news from China hasn’t yet affected importers of Chinese beds, some leading importers recently told me. But one said that could change if the drumbeat of bad news continues.

And now that scary story out of the Netherlands.

One bad shipment of Chinese mattresses sent to the Netherlands doesn’t constitute an indictment of the entire Chinese bedding industry. Let’s keep this story in perspective. But it is more unwelcome news for a country getting more than its share of it these days.

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Furniture industry needs to hone its PR skills

Filed under: Talk about furniture — pavel-buyeu @ 5:36 am

Our industry is doing a lousy job of public relations. And that’s a real shame.

As a long-time member of the media, I’ve been observing the PR programs of a wide variety of home furnishings companies for many years. And I continue to be shocked at the basic mistakes that companies keep on making.

I’m not going to name names in this column – the list of guilty parties is, unfortunately, a lengthy one. And I am not saying there aren’t some PR standouts in our midst, because there are some companies who understand the value of PR and consistently execute sound PR strategies.

But, overall, it strikes me that our industry lacks PR sophistication. The result: Lots of wasted marketing opportunities. And some hard feelings that could easily be avoided.

The core of the industry’s problem: Lack of communication. Companies don’t understand what is newsworthy and what isn’t. They don’t understand why one company gets excellent coverage and another doesn’t. Rather than talking to those of us in the media and getting our insights on what is happening, they keep their own counsel and come up with some bizarre theories: We are out to get them. We love the other guy. We have a hidden agenda.

The truth, dear media conspiracy fans, is far simpler and less exciting. The companies who get the best coverage frequently understand the value of PR programs and know how to get us what we need to cover their companies. And, in many cases, the companies who complain about the coverage they don’t get aren’t doing the things they should be doing.

One key to better coverage is to establish a relationship with the editors in the trade press. We are, generally speaking, a friendly lot. Make friends in the press. The alternative – making enemies – is counterproductive.

It amazes me how some companies build up a reservoir of anger over perceived sleights, supposed mistakes, etc. That is not constructive. If you are bothered by something we write, call us. Don’t let your anger build. That only makes it harder to deal with the issues.

Another key is understanding what is newsworthy – and getting that information to us in a timely manner. We love clear, straightforward press releases. They make our job easier. And that makes it easier for us to tell your story clearly. But don’t think we should simply take your press releases and reprint them, word for word, in the paper. We are a newspaper, not a press release reprint service.

If something doesn’t go as planned, ask us what happened. Don’t assume we don’t think your story is important. Perhaps it got displaced by an even bigger story. Don’t get mad at us. Instead, talk to us. Communication is golden.

Bedding exec carousel: Two major players rotate

Filed under: Business and Industry News — pavel-buyeu @ 5:33 am

Pay close attention. This column gets kind of confusing. Sorry about that. A few years ago, Bob Hellyer was president of Simmons and then the company made some changes and said he was leaving and that Simmons didn’t need a president after all. Hellyer was out of the industry for a couple of years.

Meanwhile, Jim Nation was president and CEO of Spring Air, where he did a great job. And then, in the summer of 2007, Spring Air was unified under one ownership structure and the company announced that, well, Nation was out as CEO but would remain as president.

And the new CEO of Spring Air was … Bob Hellyer. And then a month later Spring Air announced that Nation had resigned as president. So Hellyer was back in the saddle and Nation was out.

And then, a couple of weeks ago, Spring Air announced, suddenly, that Hellyer had resigned and that a new office of the chairman had been created to head the company. No reason for Hellyer’s departure was given. There seldom is in situations like that. And with that, Hellyer was out of a job again.

Meanwhile, bedding’s No. 3 producer, Serta, got on a hot streak and began gaining share on its biggest rivals, Sealy and Simmons. Serta President Bob Sherman made some smart moves, including opportunistic hires of strong executives who became available as bedding’s big league players shuffled their lineups. And then, just the other day, he plucked one of the biggest plums for Serta. Yes, Jim Nation, who had been in the bedding wilderness, was back. He was named president of sales development at Serta, a new position. He reports to Sherman.

And that, dear readers, is where the bedding ball game stands. The tables that had turned against Jim Nation suddenly turned against Bob Hellyer, almost at the same time that they turned back toward Jim Nation. Got all that?

This just goes to show that things can change quickly and unexpectedly in the mattress business, especially when companies have demanding private equity owners.

It also shows how Bob Sherman is willing to make big moves. How many presidents would bring in the former president and CEO of a major rival? Now bedding’s hottest producer has two top leaders of considerable ability. They are said to get along well together. This looks like a powerful team.

Meanwhile, Spring Air, which once had Hellyer and Nation on its team, now has neither.

Welcome to the topsy-turvy world of mattress management. Which reminds me: Where is Dave McIlquham these days? I hear there’s an opening at Spring Air.

Room & Board To Open Atlanta Store

Filed under: Business and Industry News — pavel-buyeu @ 5:30 am

Room & Board, a 25-year-old family-owned company offering comfortable, modern home furnishings that are well-designed and long lasting, announced that it will open a new store in Atlanta in spring 2009. The store, located in the Westside Provisions district, will be Room & Board’s first location in the Southeast and only store in Atlanta.

The new store, located at 1170 Howell Mill Road Northwest, is part of a mixed-use development that includes the reuse of a 1910-era meatpacking building. The three-level, 34,000 square foot store brings together historic and new construction. It will employ 20 design associates on the store’s sales floor and 15 at its distribution center.

Room & Board recognized Atlanta as the most appropriate market for its new store after strong demand and positive feedback from its customers. Atlanta customers opted in to be a part of an insider panel and were able to provide Room & Board with insights into the city’s neighborhoods. The Westside Provisions district was the ideal choice because of its similar specialty boutiques and restaurants, and the historic neighborhood’s pedestrian-friendly retail core.

“We’re very excited to expand upon the relationships we’ve already developed with customers in Atlanta by bringing our unique furniture and philosophies to this area,” said John Gabbert, founder and president of Room & Board. “From the day we created our company more than 25 years ago, our vision has endured — unique, well-designed furniture can be affordable and long-lasting. We are proud to create furniture that people will live with and love for a very long time.”

Atlanta-based development company White Provision, in conjunction with Jamestown Properties, has been instrumental in the revitalization efforts of the Westside neighborhood, mixing historic and new construction. Inspired by New York’s Chelsea neighborhood, the architect set out to create a similar pedestrian-friendly retail core in Atlanta that featured small retailers instead of large chain stores. The new renovations complement the building’s existing shell, reflecting Room & Board’s design sense, while respecting the integrity of the surrounding neighborhood.

“Room & Board is a natural fit for this urban project that has a central focus on home furnishings and decorative arts,” said Michael Phillips, principal at White Provision Development Co. “Room & Board helps make this development a complete urban destination community.”

Ikea bags disposable bags

Filed under: World News — pavel-buyeu @ 5:29 am

CONSHOHOCKEN, Pa. — Ikea, which launched a “bag the plastic bag” campaign in 2001, officially goes cold turkey today.The Sweden-based home furnishings giant said it will no longer offer plastic or paper bags at any of its U.S. stores. Now, customer will be offered reusable bags.

“With the introduction of its leadership ‘bag the plastic bag’ … Ikea set a goal of reducing its U.S. stores’ plastic bag consumption by 50%, from 70 million to 35 million plastic bags in the first year,” the company said. It suggested customers buy and use its blue bags for 59 cents or “don’t use a bag at all.”

If that wasn’t acceptable, customers could purchase plastic bags for five cents, with all proceeds going to American forestry organization to plant trees to restore forests and reduce carbon dioxide emissions. Since the bag the bags program began, Ikea has raised enough money to plant 516,000 trees.

The program has cut plastic bag use by 92%, exceeding the retailer’s expectations.

“The success of this program clearly demonstrates that like Ikea, our customers care about our global home,” said Pernille Spiers-Lopez, president, Ikea North America. “They have let us know, that they’re looking at ways to be environmentally responsible in their everyday lives. Plus the huge increase in our reusable blue bag sales, tells us that our bold step to end plastic bag sales has been welcomed by our customers across the nation.”

Top Ten Things Furniture Retailers Need To Know About Lighting

Filed under: Talk about furniture — pavel-buyeu @ 5:27 am

Ten ways to improve your displays, save on your electricity costs and avoid the most common lighting mistakes.

1. The rate per kilowatt-hour that shows on your utility bill is meaningless because all charges need to be considered and paid. Determine your real electricity rate by dividing the bottom line, how much you owe, by the number of kilowatt hours you used. That is the blended rate and the only one that matters. The examples that follow use 10 cents per kilowatt-hour because it is an easy number to adjust to any rate.

2. If your electric bill is $100.00 then $20-$25 is due to lighting. That 20-25% for lighting is easily addressed to reduce direct and indirect lighting costs. One watt of electricity in a furniture store costs 40 cents per year assuming a rate of 10 cents and 4,000 operating hours.

3. Each watt of electricity used by a light bulb generates a watt of heat. Heat needs to be handled by the HVAC system so there is an indirect cost. It follows that If we reduce the heat generated, we can lower the load on the HVAC. A 40-watt fluorescent tube generates 40 watts of heat. A 40-watt light bulb in a table lamp generates 40 watts of heat. A 40-watt halogen generates 40 watts of heat. Watts is watts.

4. It costs twice the bulb cost to change a light bulb. Even when replacing the bulb in a table lamp, one has to consider the time it takes to recognize the problem, get the bulb, make the change, and dispose of the failed lamp. Getting the ladder to change a fluorescent in the ceiling, including moving and repositioning merchandise adds more time to the process.
Fluorescents should be changed all at once, a technique called group relamping, to reduce labor cost by 30-50%.

5. Fluorescent light can (and should) be used in showrooms to provide ambient or background lighting. Fluorescents now have excellent color rendering and service life. Modern fluorescent light scores about 85 for color rendering on a scale of 0-100. The old tubes, cool white-warm white, score 60-65. We can see a big difference in color at 85 compared to 60. The difference between a fluorescent at 85 and a fluorescent at 95 is hardly noticeable.

6. Incandescent light scores 100 for color rendering on the 0-100 scale. It may seem strange but the crisp, white light of halogen gets 100, as does the dirty, yellow light of a 130-volt incandescent. The reason is that color rendering, the scale of 0-100, is determined by the color temperature of the light source. Halogen is about 3000 degrees Kelvin and the incandescent is at 2700 degrees. On the Kelvin scale, 3000 is cooler than 2500. This has nothing to do with heat. Warm light contains proportionately more red while cool light contains more blue.

7. The color temperature thing in #6 is really important. Just as with the different appearance of halogen and incandescent light, fluorescent bulbs can have the same color rendering (0-100) but colors will appear different. A fluorescent at 3000 degrees has more red than a fluorescent at 4100. Think of a blacksmith heating iron. As the iron gets hotter it goes from red to blue to white. The Kelvin scale is based on that concept. Incandescent light, including halogen, heats a filament, same as the blacksmith, so incandescent color temperature matches the Kelvin scale. Fluorescent light has no filament so color temperature is more difficult to determine. Fluorescent light is correlated to the Kelvin scale. When we say a fluorescent is 3000 degrees we are really saying, it falls into a range called 3000 degrees rather than giving an absolute value of 3000.

8. Years ago stores had only fluorescent light. Then we switched to incandescent reflector floods to improve the color of products. The next switch was to halogen because it was more efficient than incandescent. Stores were track only at this point. Efficiency was a consideration because electricity rates were increasing. Halogen bulbs cost more than incandescent reflectors but use less electricity and last longer. Fluorescent light with improved color rendering was added back into the lighting mix because track only stores are very dark compared to most shopping experiences.

9. Clearly there are differences in light sources. You can make shadows with halogen light because it is a point source. Light (and lots of it) is generated at the single point of a filament.
Fluorescent light is generated along the entire surface of the bulb and is a diffuse source. You cannot make a shadow with fluorescent Light. For this reason fluorescent light should not be used in track lighting to accent merchandise. There will be no accent. The appearance of a fluorescent only store is like an old K-Mart.

10. The best practice for a good looking store is to provide an adequate level of ambient light from a fairly uniform, fluorescent layout and accent lighting from track to provide visual interest to the sales floor. The amount of ambient light and accent light should depend on the price points and the type of merchandise. The rule of thumb is, The higher the merchandise price, the lower the ambient light level. Merchandise appearance is the key issue.

Top Five energy saving Ideas

1. Replace every incandescent bulb on the sales floor with a compact fluorescent. The typical bulb in a table lamp is a 40-watt, standard incandescent. All it needs to do is illuminate the shade and a little of the tabletop. Replacing one lamp, 40 watt incandescent to 9-watt compact fluorescent, saves 31 watts, worth $12.40 per year. The payback on this investment is less than 3 months and your merchandise displays will look the same. If you like the brighter look of 60-watt bulbs in table lamps, then use a 13-watt compact fluorescent. Savings: 47 watts or $18.80 per lamp, per year.

2. Replace every downlight with a fluorescent. Downlights are typically recessed cans in the ceiling that provide general illumination to an area or hallway. They may have reflector or halogen bulbs. Don’t replace those with the compact fluorescents that you used in table lamps ( twists or spirals). Downlights call for a reflector style compact fluorescent to direct light out of the fixture and withstand the heated environment inside the can. Savings are typically 62 watts or $24.80 per year, per can.

3. Audit your track lighting. Take a good look at (1) the placement of track heads, (2) bulbs being used and (3) whether the bulb is aimed properly. Heads should NOT be evenly placed on a track. Heads should be moved as necessary to illuminate each display. Some displays take more heads while some need fewer heads. You will probably find that 10% of your track heads are underemployed and can be removed. My rule of thumb is to use 4 or 5 track heads per room group. If you are using more than that, check the bulb. You may have 130-volt bulbs, which do last longer but have lower light output than the 120 volt bulbs. Often, retailers will ad more bulbs (read that as more cost is added) to compensate. The result is that a long lasting 130 volt bulb costs more money, heat and labor.

4.Replace incandescent reflectors or conventional halogen bulbs with Infrared Coated (IRC) bulbs. The incandescent reflector went out of favor because it is inefficient and produces a yellowish light. The incandescent reflector replacement was halogen. Halogen was an improvement, but IRC technology makes it even better. Inside every halogen bulb is a capsule about the size of the tip of your thumb. That capsule contains a filament and halogen gas. By coating the inside of the capsule with a material that reflects infrared heat back onto the filament, the filament becomes hotter and produces more light. By recycling waste heat, more light for less energy is produced. Service life is 4,200 hours on the Philips bulb we recommend so that means fewer changes compared to the standard, 2,500-hour lamp. More light, less labor, and a savings of $10-$12 per year per track head.

5. Audit your fluorescent lighting. If you find fixtures containing T12 fluorescents in your store it is time to upgrade your lighting. T12 fluorescents are 1.5 inches in diameter and will be stamped with F40T12 or F34T12 if they are four feet long or F96 if they are 8 footers. The time has come to replace T12 fixtures because they are inefficient and are no longer allowed in new construction. A typical 2×4, four-lamp, T12 fixture will use between 160 and 180 watts and can be replaced by a three lamp, T8 fixture using 82-87 watts. Your investment in a new fixture is paid back in less than three years.

Furnitureland South’s International Sales Team Books over $7 Million In International Orders

Filed under: Talk about furniture — pavel-buyeu @ 5:26 am

Furnitureland South, the world’s largest home furnishings showplace, sold more than $7.6 million in furniture to international customers in 50 different countries over the past two years.

Three new international wins from Cyprus, Bermuda and the United Arab Emirates total more than $379,000 and reinforce Furnitureland South’s global presence and strength in an industry struggling during hard economic downturn. Furnitureland South’s international sales team will coordinate shipping to the three countries to complete the orders.

Due to the company’s ability to ship large orders internationally, global customers have turned to the retailer to outfit whole homes and furnish new businesses. Customers represent countries throughout world, including the Kingdom of Saudi Arabia, Germany, Spain, Taiwan, Australia, Kenya and Costa Rica, among many others.

“We are delighted to see such growth in our international sales division,” said Jason Harris, executive vice president, Furnitureland South. “Furnitureland South’s international sales and shipping teams offer unparalleled service to clients all over the world. We greatly value our customers everywhere and will continue to expand our international capabilities as we strengthen our reputation as a global brand.”

Furnitureland South’s experienced international sales team guides global clients throughout the purchasing process, beginning with assistance in planning their trip to the Furnitureland South campus outside of High Point, N.C. Prior to arrival, customers are matched with a professional on-site interior designer, specially trained in international sales, to assist them in planning the layout and design elements of their space.

“Working with our international clients is both a challenging and rewarding experience,” said Debbie Kennon, international sales and design consultant, Furnitureland South. “We have to design homes from floor plans that are in the metric system. It takes a lot of patience to make sure that the design we create will fit into the space. But, the relationships we have developed with our international clients are truly special and often lead to additional international business.”

After the order has been processed, it is placed on a container and sent directly from Furnitureland South’s new $15 million distribution center. The new distribution center allows for the Furnitureland South international sales team and shipping team to process orders more quickly and respond to customer service issues directly.

Recent international sales include:

Socrates and Xenia Metaxas of Limassol, Cyprus spent a week with their four children at the Furnitureland South campus in August. The family purchased $179,000 worth of furniture for their homes and business. They have asked Furnitureland South to help with furniture design for the re-modeling of the cafeteria at Xenia Tsolaki Metaxa Private Institute (XTMPI) in Limassol.

Bassam Hamade of Dubai recently purchased $100,000 in bedroom sets for both personal and business use.

Susan Fairhurst of Bermuda purchased more than $100,000 worth of furniture to re-furnish her home after it was destroyed by a hurricane. She is planning to build a home in South Carolina and will consult Furnitureland South designer Sherry Needles to furnish this home as well.

“Designing your home at Furnitureland South is a truly unique experience,” said Xenia Metaxas of Cyprus. “We came all the way from Cyprus with a design concept in mind, but without the amazing selection, design expertise and personal care of the Furnitureland South team, we couldn’t have created the home we had in mind when we arrived.”

Furnitureland South offers unique services to international clients who travel to the Jamestown, N.C. campus for purchasing to ensure their experience with Furnitureland South is positive and unmatched among competitors. The company offers shuttle service to and from the airports and can arrange special accommodations through local hotel partners. Furnitureland South also offers to set up child care services for clients who bring family.

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