Are all Levin furniture stores closing? That’s the question on the minds of many people who frequent the popular furniture franchise. Rumors have been circulating for weeks regarding the potential shutdown of all Levin stores, causing concern and confusion among customers and employees alike.
Levin Furniture has been a staple of the furniture industry for over 90 years, with several locations throughout Ohio and Pennsylvania. For decades, the company has provided high-quality furniture and excellent customer service to those looking to furnish their homes. However, recent news has brought uncertainty to the retail giant, prompting many to wonder what the future holds for this beloved brand.
As consumers, we depend on businesses like Levin Furniture to provide us with the products and services we need. It’s not just about buying a new couch or bed; it’s about finding a place that we trust to make our homes feel like home. So, are all Levin furniture stores closing? The answer remains to be seen, but the impact of their potential closure will undoubtedly be felt throughout the industry.
Levin Furniture Company History
Levin Furniture Company, headquartered in Smithton, Pennsylvania, is a furniture retailer that began as a small furniture store in Mount Pleasant, Pennsylvania in 1920. It was founded by Sam Levin, a Russian immigrant, and his sons, who later expanded the business to nearby communities. In the years that followed, the company continued to grow, opening several additional stores throughout Pennsylvania and Ohio.
The Levin family has been instrumental in establishing the company’s reputation for quality products and exceptional customer service. Levin Furniture Company has won numerous awards and accolades, including being named the number one furniture retailer in the Pittsburgh area by the Pittsburgh Business Times in 2020.
Levin Furniture Company Expansion and Acquisitions
- In 2006, Levin Furniture acquired Wolf Furniture, a Pennsylvania-based furniture retailer, adding six new stores to its portfolio.
- In 2012, Levin Furniture entered the Cleveland market by acquiring the Ohio-based furniture retailer, Goldsteins Furniture.
- In 2019, Levin Furniture opened a new flagship store in Monroeville, Pennsylvania, which was the largest single-store furniture showroom in the area at the time.
Levin Furniture Company Today
Despite the challenges faced by brick-and-mortar retailers in recent years, Levin Furniture Company continues to thrive. The company has 34 stores throughout Pennsylvania and Ohio and employs over 1,000 people. Levin Furniture Company is known for its commitment to its customers, offering a wide range of high-quality furniture at affordable prices.
Moreover, Levin Furniture Company is committed to giving back to the communities it serves. The company has a longstanding tradition of supporting local charities and organizations, including the Make-A-Wish Foundation and the Pittsburgh Parks Conservancy.
Are All Levin Furniture Stores Closing?
There have been concerns about the closure of Levin Furniture stores due to the bankruptcy of its parent company, Art Van Furniture, in 2020. However, Levin Furniture Company was not part of the Art Van Furniture bankruptcy and remains open for business. While some stores have closed due to the COVID-19 pandemic, the company has no plans to shut down its remaining locations.
| Number of Stores | Locations |
|---|---|
| 18 | Pittsburgh and surrounding areas |
| 16 | Cleveland and surrounding areas |
Levin Furniture Company is a successful and thriving furniture retailer with a rich history and a commitment to customer satisfaction. It continues to be an important part of the communities it serves, offering high-quality furniture at affordable prices.
Reasons why furniture stores close
Furniture retail is a highly competitive industry, and it’s no secret that many furniture stores go out of business. Here are several reasons why this might happen:
- Poor cash flow management: This is a major reason why furniture stores go out of business. If a store is not generating enough revenue to cover its expenses, it will soon run out of money and be forced to close its doors.
- Competition: The furniture industry is highly competitive, with many businesses vying for the same customers. Larger chain stores with more buying power and online retail stores can offer lower prices, making it harder for smaller local stores to keep up.
- Location: The right location can make or break a furniture store. If a store is in a low-traffic or high-crime area, customers are less likely to visit. Additionally, if a store is located in an area that is undergoing significant changes, such as a new highway being built nearby, it may become difficult for customers to access the store.
- Changing consumer preferences: As trends and styles change, so do consumer preferences. If a furniture store does not keep up with these changes, it may become outdated or irrelevant.
- Ineffective marketing: Even the best furniture store can’t succeed if nobody knows it exists. If a store has poor marketing strategies, it may not be able to attract enough customers to stay afloat.
High overhead costs and low profit margins
One of the biggest obstacles that furniture stores face is high overhead costs. In order to run a brick-and-mortar store, owners need to pay rent, utilities, and staff salaries. On top of that, furniture inventory can be expensive to keep in stock, especially if it’s high-end or designer items.
Unfortunately, these high costs often result in low profit margins. In order to make a profit, stores need to mark up their prices significantly. However, these higher prices can make it difficult to compete with other retailers that offer lower prices or more discounts.
Here’s an example of how high overhead costs can affect a furniture store’s bottom line:
| Expense | Amount |
|---|---|
| Rent | $5,000 per month |
| Utilities | $1,000 per month |
| Staff salaries | $10,000 per month |
| Inventory | $50,000 |
| Total expenses per month | $66,000 |
| Average monthly sales | $80,000 |
| Profit margin | 20% |
| Monthly profit | $16,000 |
In this example, the store’s profit margin is 20%, which is fairly typical for the furniture industry. However, even with this margin, the store is only making a profit of $16,000 per month. This might seem like a lot, but when you consider the high expenses, it’s easy to see why many furniture stores struggle.
Online furniture shopping trends
Over the past decade, online furniture shopping has gained immense popularity among customers. With the rise of digital technologies and increased access to the internet, customers have grown more comfortable with online shopping, including furniture shopping.
Here are three online furniture shopping trends that are currently shaping the industry:
- Mobile shopping: With the majority of customers using their smartphones to access the internet, it’s no surprise that mobile shopping is on the rise. In fact, according to a recent study, 55% of online furniture shoppers use their mobile devices to make a purchase. This trend has forced online furniture retailers to improve their mobile interfaces and make the shopping experience more seamless for customers.
- Virtual showrooms: One of the biggest drawbacks of online furniture shopping is the inability to see and touch the furniture before purchasing. To address this issue, many online furniture retailers have started to create virtual showrooms. These virtual showrooms allow customers to see and experience the furniture before making a purchase, giving them a better idea of how the furniture will fit in their homes.
- Augmented reality: Another trend that is gaining traction in online furniture shopping is the use of augmented reality. With augmented reality, customers can use their smartphones or tablets to see how furniture will look in their homes before making a purchase. This technology has the potential to revolutionize online furniture shopping and has already been adopted by some of the biggest names in the industry.
While these trends are still relatively new, they are expected to shape the future of online furniture shopping. As customers become more tech-savvy and demand a more seamless shopping experience, online furniture retailers will need to adapt and innovate to stay ahead in the industry.
To see how some of the biggest names in online furniture shopping are using these trends, check out the table below:
| Online Furniture Retailer | Mobile Shopping | Virtual Showrooms | Augmented Reality |
|---|---|---|---|
| Wayfair | ✔ | ✔ | ✔ |
| Ikea | ✔ | ✔ | ✔ |
| Ashley Furniture | ✔ | ✔ | ✔ |
| Overstock | ✔ | ✔ | ✔ |
As you can see, some of the biggest names in online furniture shopping are already using these trends to stay ahead in the industry. By adopting these trends, they are able to provide customers with a more seamless shopping experience and compete with traditional brick-and-mortar retailers.
Impact of COVID-19 on furniture industry
The COVID-19 pandemic has affected several industries across the globe, and the furniture industry is no exception. With the pandemic forcing people to spend more time indoors, there has been a surge in demand for furniture items that cater to home offices, online school setups, and comfortable living spaces. However, the pandemic has also created several challenges for the furniture industry, which we will explore in this article.
Supply chain disruptions
- The furniture industry heavily relies on imports and exports, and the pandemic has disrupted the supply chain by causing factory shutdowns, reduced port operations, and widespread transportation restrictions.
- With countries imposing lockdowns and travel bans, shipping and delivery schedules have been disrupted, leading to delays and added costs for furniture companies.
- In addition, the uncertainty of the pandemic has caused fluctuations in demand and supply of basic raw materials, causing cost increases and scarcity.
Changes in buying behavior
The pandemic has also led to a significant shift in consumer buying behavior with more people shopping online instead of in-store. Customers are hesitant to physically visit stores to maintain social distancing, and this has created a surge in e-commerce sales in the furniture industry. As a result, furniture retailers have had to adapt to changing buying behaviors by implementing contactless delivery procedures and enhancing their online visibility.
Closure of furniture stores
The pandemic has also led to the closure of several furniture stores. For instance, Levin furniture stores, which have been around for almost a century, filed for bankruptcy earlier this year, citing the impact of COVID-19 on sales.
| Company Name | Impact of COVID-19 |
|---|---|
| Levin Furniture | Filed for bankruptcy citing the impact of COVID-19 on sales |
| Ashley Furniture | Temporarily closed several stores due to declining sales |
| Furniture Factory Outlet | Several stores closed due to a decline in sales |
The above table is an example of the effects of COVID-19 on some of the leading furniture retailers.
Strategies for retailers to stay afloat
With the rise of e-commerce and the changing consumer behavior, staying competitive in the retail industry has become more challenging than ever. Here are five strategies that retailers can adopt to stay afloat in the ever-changing market.
- Implementing an omnichannel approach: To cater to today’s tech-savvy customer, retailers should adopt an omnichannel approach that integrates both online and offline channels. This means having a seamless shopping experience for customers who can switch between various channels, including online, mobile, and physical stores, with ease.
- Investing in technology: Retailers need to embrace the latest technology trends, including artificial intelligence, machine learning, and data analytics, to gather insights about customer behavior and tailor their offerings accordingly. This not only enhances the customer experience but also helps retailers streamline their operations and reduce costs.
- Personalization and customization: Retailers need to move beyond the one-size-fits-all approach and personalize their offerings based on customer preferences. This includes offering personalized promotions, recommendations, and product customization options to keep customers engaged and interested.
- Cutting costs and optimizing supply chains: To stay competitive in the market, retailers need to focus on cutting costs and optimizing their supply chains. This means exploring opportunities for automation, reducing inventory levels, and building relationships with suppliers to negotiate better deals.
- Fostering a strong brand identity: In a crowded market, retailers need to foster a strong brand identity that resonates with their target audience. This involves creating a unique value proposition that sets them apart from their competitors and building a strong brand image through consistent messaging and branding across all channels.
The Importance of Implementing Strategies
Implementing these strategies can help retailers stay competitive and relevant in today’s market. For example, omnichannel retailers have been found to have a higher customer retention rate compared to single-channel retailers.
Similarly, retailers who invest in technology can provide a better customer experience while reducing costs. Personalization and customization lead to higher customer satisfaction and increased revenue, while optimizing supply chains can improve profitability.
Finally, a strong brand identity allows retailers to differentiate themselves from their competitors and build long-term relationships with their customers.
| Benefits of Implementing Strategies | Examples of Retailers implementing Strategies |
|---|---|
| Higher Customer Retention | Amazon, Walmart, Target |
| Better Customer Experience | Apple, Sephora, Nordstrom |
| Increased Revenue | Coca-Cola, Starbucks, McDonald’s |
| Improved Profitability | Zara, H&M, Uniqlo |
| Strong Brand Identity | Nike, Adidas, Levi’s |
Overall, implementing these strategies can help retailers stay ahead of the competition and thrive in today’s ever-changing market.
Consumer behavior during furniture store closures
As furniture stores across the country are forced to close their doors due to the COVID-19 pandemic, consumers are experiencing a shift in their buying habits and behavior. Here are some key findings:
- Online shopping skyrocketed: With physical stores closed, consumers turned to online shopping for furniture and home goods. Online sales in the furniture industry surged and retailers with strong e-commerce platforms benefited the most.
- Delayed purchases: With uncertainty around the economy and personal finances, consumers delayed their purchases of big-ticket items like furniture. Many consumers are holding off on making any large purchases until they have a better understanding of the impact of the pandemic on their financial situation.
- Increased interest in home décor: With more time spent at home and emphasis on creating a comfortable and stylish living space, consumers have shown an increased interest in home décor. Retailers selling home décor items, such as bedding and pillows, have seen a spike in sales.
According to a survey conducted by Deloitte, 43% of respondents said they would shop less frequently for non-essential items, such as furniture, after the pandemic subsides. On the other hand, 33% of respondents said they plan to spend more on home improvement and renovation projects, which could lead to increased furniture sales.
The pandemic has also highlighted the importance of having a strong online presence and offering virtual services, such as online consultations and virtual design tools. Retailers that were able to quickly adapt and pivot to a more digital model were better equipped to serve their customers during the closures.
| Consumer behavior during furniture store closures | Key Findings |
|---|---|
| Online shopping | Sales in the furniture industry surged and retailers with strong e-commerce platforms benefited the most. |
| Delayed purchases | Consumers are holding off on making any large purchases until they have a better understanding of the impact of the pandemic on their financial situation. |
| Increased interest in home décor | Consumers have shown an increased interest in home décor. Retailers selling home décor items, such as bedding and pillows, have seen a spike in sales. |
The closures have also forced retailers to innovate and find new ways to connect with customers. Many have offered virtual design consultations and online shopping events. These changes show that retailers who are able to pivot quickly and adapt to the changing landscape are more likely to survive and thrive.
Future outlook for brick-and-mortar furniture stores.
With the rise of e-commerce giants and the ever-increasing popularity of online shopping, it’s natural to wonder what the future holds for brick-and-mortar furniture stores. Here are some key points to consider:
- While online shopping has experienced incredible growth in recent years, it still accounts for a relatively small percentage of overall retail sales. In 2019, e-commerce sales represented just over 10% of total retail sales in the United States. This suggests that brick-and-mortar stores still play an important role in the retail landscape.
- However, there is no denying that the trend is towards increased online shopping. A survey conducted by Furniture Today found that 40% of consumers prefer to shop for furniture online, compared to just 29% who prefer in-store shopping.
- One way that brick-and-mortar furniture stores can compete with online retailers is by offering a superior customer experience. This might include a wider selection of products, personalized advice from knowledgeable staff, or the ability to physically touch and interact with items before purchasing them.
Overall, the future of brick-and-mortar furniture stores is uncertain. There are certainly challenges to be faced in a retail landscape that is increasingly online-focused. However, it’s important to remember that there will always be a segment of the population who prefer to shop in person. By focusing on providing a great customer experience and adapting to changing trends, brick-and-mortar furniture stores can continue to thrive and succeed.
Are all Levin Furniture Stores Closing?
Here are 7 FAQs to help you get a better understanding of the situation:
1. Is it true that all Levin Furniture stores are closing?
No, not all Levin Furniture stores are closing. The company has filed for bankruptcy, but they are planning to continue operating some of their stores.
2. How many stores are closing?
Levin Furniture has not announced how many stores they will be closing yet.
3. Are all Levin Furniture employees losing their jobs?
No, not all employees will be losing their jobs. The company is currently working on a plan to keep some of their employees.
4. Is Levin Furniture still accepting orders?
Yes, Levin Furniture is still accepting orders online and in-store.
5. What will happen to orders that have already been placed?
For now, Levin Furniture plans to fulfill all orders that have already been placed.
6. Will there be any discounts on furniture during this time?
There is no official announcement from Levin Furniture about discounts or sales at this time.
7. Is there any timeline for when more information will be announced?
Levin Furniture has not released a timeline for when more information will be announced, but they have stated that they are working as quickly as possible to make decisions.
Closing: Thanks for Reading!
Thanks for taking the time to read about the situation with Levin Furniture. Remember, not all stores are closing, and the company is working on a plan to keep some of their stores and employees. Keep an eye out for any updates from Levin Furniture, and we hope to see you again soon!