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CHANDRA RUGS BUILDS REPUTATION
BASED ON BOUTIQUE THEORY
Ravi Tiwari, left, and Chandra Tiwari in front of the temple on the grounds of Chandra Rugs headquarters in Adairsville,GA.
By Janet Herlihy
ADAIRSVILLE, GA -- While many rug vendors want to be all things to all people, Chandra Rugs has established its reputation based on the "boutique" philosophy of doing business.
"We are a niche vendor, and we keep looking for new niches to fill," said Chandra Tiwari, president and founder of the three year-old company. "I'm always looking for new ideas and new constructions and fibers."
Tiwari stressed that today's competitive marketplace makes specialization a must. "20 years ago, there were 10 good importers in the rug business. Now there are hundred of them. We've got to work hard and be unique in order to get our share of the market," Tiwari said.
During its three years in business, Chandra has also built a reputation for delivering a wide variety of well styled, quality rugs at value prices.
Tiwari began his namesake company in 2005, after leaving Surya, where he had served as president since 1983.
With his son, Ravi serving as vice president, the father and son team has grown the company based on unique styling and quality manufacturing from a core of about 25 suppliers in India.
“We want to promote high fashion and affordability. We are a value supplier,†Ravi Tiwari said.
“In addition to our core group of rugs, we are working with designers who are well known in the home furnishings and textiles businesses, including Janelle Jarous-Lampp, Thomas Paul, Kathryn Dougherty and Lost Link Design," Tiwari explained.
"We want to be different. There are 53 collections for online viewing, and more than 700 designs," according to Ravi Tiwari. "And it keeps growing."
Young consumers are a big target for Chandra Rugs. “We are focused on a youth-oriented audience in their 20's to 40's. Our customers are urban and want a rug with style and personality that is moderately priced,†Tiwari noted.
The Chandra styling philosophy got a big boost and national recognition at the January market when the company took home the America’s Magnificent Carpets award in the under $12 per sq. ft. handmade category.
Chandra Rug which won Americas Magnificent Carpet Award in the under-$12 sq. ft. handmade category.
While most Chandra collections are contemporary or transitional, there is a significant presence of classic Oriental patterns. “There is a good, solid customer base for traditional,†stated Tiwari.
Chandra rugs are primarily made of natural materials—wool, jute and leather—range at retail from $225 to $470 in 5 x8. While Chandra rugs are value priced, there are no compromises with quality, Tiwari stressed, and most of the hand-tufted rugs are made of New Zealand wool.
Chandra targets specialty furniture and floor covering stores and online retailers. “Chandra is available at about 40 online sites,†Ravi said. "We think that channel is growing in importance."
While returns are a big issue with many online selling, it's been kept to minimum levels of 5% to 7% for Chandra, according to Tiwari. “We minimize returns with good photography,†he stressed.
Rug Studio, the online division of Houston-based Oriental Rug Gallery of Texas, has virtually all Chandra rugs available. “We try to offer a wide variety of rugs,†said company principal Tom Munroe. “Online, it’s all about choice. Chandra has a good assortment and does a good job with drop shipping. I’ve known Chandra Tiwari a long time.â€
Chandra's customer base also includes approximately 1,200 bricks and mortar retailers that are a mix of furniture, gift and national chains, according to Tiwari.
“We maintain a $2 million inventory of approximately 35,000 to 40,000 rugs in our 72,000 sq. ft. warehouse adjacent to the company’s headquarters in Adairsville, GA,†he said. With 60% of the line in stock, most drop ship orders are filled the same day, said Tiwari.
Lately, contract work for private label lines is increasing. In addition, custom business is increasing. “Every month, we do 10 to 15 custom projects, working directly with the design community,†Tiwari said.
The company, which shows at the Atlanta Rug Market, High Point and Las Vegas World Market Center, is determined to continue the growth pattern established so far.
Chandra is opening a new 3,500 sq. ft. showroom in Atlanta this Summer and a 4,000 sq. ft. showroom on the eight floor of the Las Vegas World Market Center's new Building.
"We will continue to have temporary space at the Showplace venue in High Point, but our main focus is on Atlanta and Las Vegas, where we see approximately 80% of our customers," noted Chandra Tiwari.
In April, Michael Heath was named national sales manager. “He has a good background in fashion and worked for Angela Adams Design in regional and national sales positions. He manages all rug sales primarily with the brick and mortar customers,†Tiwari explained.
Ravi Tiwari with the sign that proclaims Chandra's
business philosophy.
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The Temple in the Front Yard
Chandra Tiwari built Hindu temple seven years ago. The company's corporate office is steps away, the 80,000 sq. ft. warehouse is behind the corporate center. A community center is next to the warehouse. The Tiwari family compound is across the street.
Driving on the rolling back roads of northern Georgia, the last thing you'd expect to see is a Hindu temple, complete with a colorful heroic sculpture depicting the three faces of God as generator, organizer and destroyer.
The small, serene brick building was erected seven years ago by Chandra Tiwari, founder of Chandra Rugs. People come from miles around to visit the temple and about 200 people gather every Sunday for worship services conducted by Tiwari. He welcomes followers of the Hindu faith as well as tourists and curiosity-seekers. "The only rule is that there are no shoes worn inside," said Tiwari.
The temple was built because Tiwari felt that God deserves a place in our everyday world. "I don't care which religion you believe in, we should give God time in our daily lives."
A 10,000 sq. ft. community center has also been built on the Chandra campus. "People are invited to take advantage of the space, and we have hosted events with up to 1,000 people," said Tiwari.
And you thought the rug business was boring. Ha. -- Lissa Wyman
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06.18.08 |