People are spending more to replace furniture in their homes' public spaces, the leader of an Atlanta-based furniture company said Tuesday.
Haverty Furniture Companies is focusing on customers who have older living room furniture that needs replacing after noticing that people are increasingly willing to spend -- and spend more -- to keep those areas looking fresh, president and CEO Clarence Smith said in a company conference call.
"That customer is finally willing to spend some money," he said.
Smith added that shoppers are spending on leather sectionals, larger dining room sets and higher-priced items when they shop.
In the past, Havertys focused on customers that were buying furniture for new homes, but has started an ad campaign that focuses on the replacement shopper. The company is also expanding its focus on accessories, hoping to double sales to 5 percent of its business in the coming years.
While Smith said it is still a difficult environment for selling furniture, he said the company is expanding its presence in its biggest markets, including metro Atlanta, where it will relocate a store in McDonough. The company will open three new stores in 2012.
Havertys also saw an increase in bedding sales and casual dining room furniture. Its custom upholstery business also improved.
The company's sales were up for the year. Its profits, which rose 83 percent in 2011 to $15.5 million, were helped by a tax benefit.
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