Preparation of bed, bath & beyond has unexpected demand due to cold

Sao Paulo-the sharp drop of temperature in the South and Southeast regions even before the arrival of winter has changed the industry plans to bed, bath & beyond. The industry had to adjust production to meet unexpected demand from retail, who arrived to liquidate stocks of past Collections.
According to the Director of the consultancy Iemi-market intelligence, Marcelo Prado, the winter this year was able to "make the wheel spin" for the entire chain.
"Retailers still had stocks of 2014, but had to order more for the industry that, in some cases, also had something in store. So, despite the economic difficulties, it was quite positive, "analyzes Prado.
He explains that thanks to the good performance in sales this season, retailers feel more confidence to increase their stocks for the next collections, including the summer of 2017.
According to the expert, the expectation for this year is to sell everything that is available in store. "Certainly there will be some good orders for next year. Contrary to what happened last year to this, there will be no stock. That''s why this cold that came before and should still last longer [July and August] was so positive for this industry, "he notes.
A study of the Iemi points to 3.5% growth in the production of products for bed, bath & beyond in 2016, when compared to last year. The industry can produce up to 730,879 million pieces by the end of December.
Ability
The Clothing Company of the region, Micheletto of Ibitinga (SP), reached its maximum limit in recent times. According to the company''s owner, William Micheletto, requests for duvets, representing a third of its total production, grew 20 percent since mid-May. In the same period of last year, operated with 20% fall in the segment.
"I''m serving customers at my limit. It may be that this production will reach 12 1000 pieces, but to do that I need to reallocate labour, taking focus from other items, "says the Manager.
The Micheletto manufactures 30 1000 pieces per month and retailers in the States of São Paulo, Rio de Janeiro and Rio Grande do Sul.
Micheletto, who is also President of the Union of industries and Commerce of Embroidering of Ibitinga (Sindicobi), adds that need to increase production, "but is afraid to hire, produce and, if cold doesn''t last a long time, being forced to quit and stay with stock stopped".
The President of the Brazilian Association of Textile and Clothing Industry (Abit), Rafael Cervone, explains that in recent years the sector has had to work with a few days of winter and the sudden change in temperature.
"Some industries were with little stock and had to adjust production to meet orders," he said, noting that, due to a history of previous years, there is a concern in expanding activity. "Stock is cost and everyone was afraid to cook too much," he says.
Cervone assesses, however, that the cold before the time "was an encouragement" to the sector which has been penalized by the weak pace of domestic economy.
The perception of Coteminas, Mario Vice-President Sette, is the same. According to him, the sector forecast was more moderate, but the low temperatures raised bets that the winter sales will be "positive".
In the case of Coteminas, account Executive that there is concern about the need to raise the ability according to the extra demand, since the company is able to react quickly to the increase of orders.
"For sure we will have good results for the industry, especially in a year of economic adjustment," said the spokesman for the company that controls the Springs Global, owner of the brands Rtspk, Artex, Santos and Phyllis.
Last year, the Springs Global recorded net revenues of R$ 2.267 billion, up 8.4 percent on 2014, with gross margin of 26.9%-the highest in the last five years.
Exports
In addition to the internal market, Coteminas has outside and it''s a great brazilian exporter of textiles. "Is that dictates the pace Coteminas of exports," says Marcelo Prado, Iemi.
He estimated that this year, the Brazilian shipments of articles of bed, bath & beyond will grow 10.4%, reaching 30,596 million pieces.
"It''s an industry that has ability and tradition to sell to other countries for its quality", says Prado. In his view, an improvement of the political and economic framework can contribute to other manufacturers become competitive abroad.