03112015 Grund Says Gamble on Housewares Show Paid off for U.S. Rug Launch

CHICAGO - Thousands of products were on exhibit at the International Home + Housewares Show March 7 to 10, 2015, but only one space was decked out with fashion accent rugs. Grund, a 25-year-old Czech Republic-based company officially launched its line to the U.S. market at the annual housewares show "because we wanted to stand out from the competition," said Michael Twer, vice president/general manager, of Grund America, headquartered in Charlotte, NC.

"It's been awesome, a great success.  It was a stretch to come to a housewares show versus a traditional textiles show.  But we've already had success with U.S. retailers online, and now we've quadrupled our associations," he said. Since the company's soft opening in the U.S. in the fourth quarter of 2014, Grund has booked business with Amazon, Bed Bath & Beyond, Home Depot, Overstock, Wayfair and Zulily. "The rug buyers may not all have been here, but their bosses and their bosses' bosses were at the show.  This was a case of how to get noticed.  If I went down the textiles route, I would just be a number," Twer explained.

Though a handful of exhibitors at this week's show offered door mats and wellness mats, with some showing basic bath rugs, Grund stood out with color and fashion. Collections by internationally recognized designers Karim Rashid and Mel Weisweiler, which premiered at the company's 25^th anniversary celebration at Heimtextil in Frankfort, were presented at the Chicago housewares show booth. 

"I am bringing in several of his [Rashid's] designs-maybe a dozen-toward the end of April, beginning of May. We have to realize that the market in Europe is different: in the EU a total of 100 designs from Karim and Mel will be available.  The patterns and colors are beautiful, but too colorful for the U.S."

Indeed, the entire Grund line was 'Americanized' for the Housewares show launch, with three new technologies developed by the vertical manufacturing company in the Czech Republic. "At the show we are introducing a polyester bath line made with a state of the art multi layering machine; this is the only technology in the world of its kind - it's a cut-cut pile instead of a cut and loop--very soft, in two different pile heights," Twer explained.

Grund also introduced new sizes, designs and colors to its poly-acrylic line, which Twer says is the mainstay of the company's business.  "We have 25 years of experience perfecting this product line.  We have 30 different colors of fibers produced in Turkey that we spin into yarns for our rugs. This gives us the ability to guarantee they can be washed 100 times or more with a five-year warranty."  He said the rugs are fade resistant and the anti-slip will not break apart after 100 washings.

Also launched in Chicago was a new Home Rug line of accent rugs made of certified organic cotton for use in the kitchen, laundry room, utility room, as well as the bathroom.  "This is a joint venture with a factory in India-the only rugs we produce that are not made in the Czech Republic.  Organic cotton is very popular in Europe for apparel and we wanted to bring it into home textiles. The cotton is certified by GOTS, which is the world's leading textile processing standard lab, and we are offering it in good, better, best designs," Twer said.

Grund, which exports to 40 countries and is a major supplier to the European market, also showed its Mandela accent rugs. "This is our fun area rug business for moms with young kids, kids' play pads, teens and college students. These rugs are meant to be used on the floor, but they're very popular as wall hangings in dorms rooms and kids' rooms. We are introducing 20 new designs in the U.S.," Twer added. Mandela rugs retail from $50 to $130. Other rugs run from $20 to $130.

The company, which began when the Grund family bought a second home sewing machine, has sold 26 million bath mats worldwide. "We're constantly evolving, almost hourly. And our goal in the U.S. is to build our business in the next three to four years into a consumer brand so that we can build a factory in Charlotte."

03.11.15