Lounge Lovers opens Adelaide store as part of national expansion
Furniture sales are booming in the wake of the COVID-19 pandemic – so much so that a previously online-only store is opening its first SA showroom.
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National furniture and homewares retailer Lounge Lovers has opened its first showroom in Adelaide as demand for home furnishings surges in the wake of the COVID-19 pandemic.
The retailer, which describes itself as selling “designer furniture without the design store price tag”, opened the store on Monday, taking the place of Matt Blatt furniture on Morphett St in the city.
Matt Blatt closed its network of stores in March during the onset of the COVID-19 health crisis, and later collapsed into administration.
While it no longer has a bricks-and-mortar presence, the brand continues to be sold online after its intellectual property was acquired by online retailer Kogan in May.
Lounge Lovers was initially established as an online-only store in 2011, later expanding with the opening of eight showrooms across Sydney and Melbourne, and new sites in Adelaide and Brisbane.
Chief executive Derek Kerr said a resurgence in in-store spending gave the company confidence to open new bricks-and-mortar stores despite the economic challenges posed by COVID-19.
“With home improvements surging this year due to consumers focusing more on their homes, we were able to go ahead with the new store openings as planned despite the challenges,” he said.
“Customers are doing more research online, particularly this year, and are also tending to favour retailers with a strong digital presence, offering the best value, service and availability of items in stock.
“These things are very important to us and over the past two months that’s been reflected in our sales which are up 85 per cent and 100 per cent respectively.”
Mr Kerr said four staff members who had lost their previous jobs due to COVID-19 closures had been employed in the Adelaide showroom.
Furniture and online retailers including Kogan, Nick Scali, Temple & Webster and Adairs have reported strong sales growth in recent months as COVID-19 restrictions cause consumers to redirect their spending away from travel and entertainment and towards household items.
Nick Scali reported that orders were up more than 70 per cent in May, June and July, and recently completed a $6.6m acquisition of the former home of Kimberly James Furniture on Anzac Highway, where it will open a new flagship Adelaide store later this year.
Lounge Lovers currently allows one customer per every 20sq m of floor space across its network of stores, and also offers private showroom appointments and virtual tours.