An Overview of the Global Luxury Bedding Market
In the Luxury Bedding market, you’ll find everything from down comforters and duvet covers to silk and cashmere sheets and duvet covers, all the way up to organic cotton and wool duvet covers and pillowcases. Consumers have an easier time sifting through the vast amount of luxury bedding on the market now that they’ve become more accustomed to shopping on the internet and through online channels such as Amazon.com and eBay. Super-soft bed covers and sheets, as well as bedding made of luxurious materials, are all part of the luxury and premium line. Colorful, bold, and solid patterns, rich textures, sophisticated prints, and intricately embroidered unique beds are boosting customer feelings. The way Americans react to their sleep—and the objects they sleep on—is changing. And that has opened up a big opportunity for mattress and textiles entrepreneurs.
In 2016, half of the six fastest-growing e-retailers in the Top 500 were mattress startups: notably, Casper, Saatva, and Leesa. These businesses and others in the bedding and textiles industries have raised millions of dollars in venture money and are recording significant profits.
Casper rakes in roughly $100 million per year, while Saatva aspires for around $50 million in annual sales. Luxury mattress business Parachute posts $1 million in sales each year. These businesses are steadily cutting into the $24 billion mattress market and $22 billion home textiles sector, respectively. Already, internet mattress merchants have seized around three percent of the market. In the process, these bedding businesses are redefining luxury and pioneering a multi-million dollar market. Here are the aspects contributing to their success.
The Rising Emphasis On Sleep
Americans are increasingly worried about the impact sleep plays on their health. People are understanding that investing in their personal welfare is money well spent. And that means there’s been an increasing demand for quality mattresses and bedding textiles—and an increase in the number of people who are willing to pay for them.
The Rise of E-commerce In Luxury Bedding
Even as other businesses experienced the upheaval of e-commerce, for years the mattress and textiles industries remained unscathed. That has changed with the rise of clever companies such as Casper and Saatva (on the mattress front) and Parachute and Boll & Branch on the textile side. These firms recognized a number of inefficiencies in the traditional sector and have sought to demolish them via the power of the internet. Powered by sophisticated (but cost-effective) internet marketing campaigns and no longer plagued by large costs for brick-and-mortar storefronts, mattress companies cut out a lot of middlemen. This allows them to sell quality items at lower prices than what consumers will find in a regular mattress store. Similarly, textile companies are able to minimize their markups by eliminating away the middlemen between manufacturers and brick-and-mortar retailers, including bedding brokers, license fees, and distribution. Their direct-to-consumer strategy also appeals to luxury bedding shoppers, who increasingly prefer to shop online. The e-commerce trend allows mattress and textile entrepreneurs to purchase products directly from the producer and sell directly to the consumer. This allows for a huge drop in the price of luxury products. And that means the Global Luxury Bedding Market is becoming increasingly affordable to a broader number of individuals.
The Plea For Transparency
There’s been a drive for conscientious consumption across industries. And this is particularly true in the bedding business. People desire the purchases they make to benefit other people in some way (or at least limit any potential downsides) (or at least minimize any potential harms). The world’s consumers are increasingly eager to switch to businesses that promote good causes and pay extra for products from ethical enterprises. Especially when it comes to luxury things, people want to know the narrative behind the products they buy—and it better be a good one. New mattress and textiles firms are rising to the occasion. Boll & Branch, for example, provides organic linens, stresses ethical standards at every stage of its supply chain, and includes “givebacks” in its business model. Saatva sources environmentally friendly materials and implements eco-friendly construction procedures. Not only do these methods add credence to these organizations’ claims to luxury; they also create brand loyalty through transparency.
The Growing Importance of Brand Loyalty
Before startups appeared on the bedding textiles and mattress scene, there was little to distinguish one brand from another in these industries. People might go to a retailer knowing they wanted X thread count sheets or a foam mattress vs an innerspring one. But they presumably weren’t seeking out a certain brand. The new bedding and mattress sector is changing that. Startups are utilizing the same methods as traditional luxury businesses in order to build names for themselves. They’re differentiating themselves through their customer service, ethical supply chains, brand transparency, and the selling of a certain lifestyle (not simply a product) (not just a product). And it’s working. Increasingly, people are recognizing and seeking these brands out by name. (Very few millennials haven’t heard of Casper, for instance.) Each of these themes is informed by the overarching evolution of “new-luxury goods”. America’s middle-class is increasingly willing to spend extra for high-quality goods. When such products are conveniently acquired, ethically sourced, and contribute to a stronger sense of wellbeing, customers will create brand loyalty even in industries where this emotional attachment was lacking. When it comes to Luxury Bedding Market Trends, these trends are merely the beginning of a large new market.
