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"Unit shipments Have been slowing since the first quarter of this season, also ISPA's October prediction forecasts unit shipments will be basically flat in 2006, rising only 0.5 percent over full-year 2005 unit shipments of 42.8 million. This represents the lowest annual increase rate since 2001," ISPA found.

 "It is a tight Year-a hard year-coming off important material increases from foam and metal, not to mention petroleum-based products," explained Gerry Borreggine, president of Ther-a-Pedic. Queen size futon mattress - futon mattress queen size

"Manufacturers had to tighten their belts to maintain price points"

 In order to solve this Problem, some manufacturers think about cutting the production costs while the others take them out of the generating procedures.

 In September, it's Reported a 9.9% down in unit prices, so a lot of futon mattress vendor have to slash the price so the amount of earnings could be made better.

 "The innerspring Guys, as early as two to three weeks ago, have reduced their pricing," said Patrick Flippin, president of Kingsdown. However, he cautioned, this is very risky.

 "The furniture Industry has committed suicide from the import situation and lower-price merchandise. Less clients and less revenue equals less profit," Flippin said.

 "The furniture Industry hasn't figured out that," he continued. "I believe they're going to die because of that doctrine. We are likely to see huge effects of that in the first half of'07," Flippin cautioned.

 According to Flippin, Kingsdown will focus on creating new stations, so they will not rely too much on the dwindling furniture shop account base. "Together with our DormoDiagnostics,'' [the question is] the way to take our success with our present traders to new stations. We've got a brand new sales staff, sales management." In addition, he expects the amount of sales increase in the double-digit scope for 2007-2008.

 On the other hand, Futon mattress manufacturers have different point of view.

 "We Simmons Have enjoyed an extremely good year, with large gains in market share, which you will see when we publish our earnings Nov. 10," explained Charlie Eitel, Simmons' chairman and chief executive officer. "We're having an superb year in unit growth and earnings growth, but we are not average."

 Simmons has currently Applied three approaches to manage this issue. To begin with, through lean production, Simmons may lower its cost structure. "Second, providing product values which are leading, and as a result we're competing across more cost points. queen size futon mattress read more information

And third, we've enabled our sales managers to make decisions on the place about gaining discuss on traders' floors, so we've moved toward more decentralization," Eitel said.

 While some Beautyrest Are provided at $5,500, Simmons also offers a wide array of heavy sleep beds with cost from $299. "Simmons has been quite strong from $899 to $3,000, but we are really powerful now from $299 to $5,500. We are really powerful at every price point," Eitel said.

 "You do expect for Changes in the economy," explained Ther-a-Pedic's Borreggine. "In the meantime, it's incumbent on each producer to become more competitive, to give the retailers more ammunition-it's a battle. We've got to give them better values, a more compelling reason to purchase.

 "We have attempted to be Very competitive in price points under $1,000. It's too early to tell [if it is working]. We are out there, others are pursuing the same rabbit," he said.

 The earnings of Mattresses and futon mattresses in 2006 is reported to grow. Extrapolating the third-quarter data to the entire industry, ISPA expects 2006 wholesale revenues to grow by 7.5 percent to $6.8 billion. "Wholesale revenues have risen every year since 2001, primarily because of greater demand for high-end products priced above $1,000, and other favorable economic and demographic trends," the report said, signaling the effects of cost inflation and increases.

 Actually, specialty Sleep like non-innerspring, foam and atmosphere products has bright spot. In the survey of ISPA in September, the quantity of innerspring mattresses and futon mattress decreased while non-innerspring products reported that the development of over 25 percent, in contrast with all the 3rd quarter of 2005.

 "The Specialties-like Select Comfort and Tempur-Pedic-are experiencing enormous growth, 20 to 30 percent earnings growth, not just top-line, but bottom-line expansion, and I applaud them for this," said Kingsdown's Flippin.

 Added Simmons' Eitel: "I think the growth in the business is coming from Simmons, Select Comfort and Tempur-Pedic. The three of us combined represent at least 75 percent of the growth." best futon mattress reviews read more information

 Additional in 3rd Quarter of 2006, 17% increase is unveiled by Tempur-Pedic in net sales, up to $240.9 million, while earnings increased 66% to $28.9 million from $17.4 million in the 3rd quarter of 2005.

 The futon and mattress mattress Vendors believed this was the signal for a lively development in the bedding industry in 2007.

 "In 2007, I expect The sector to be intensely competitive," Eitel said. "With the Significant share gains we've appreciated, we expect intense rivalry. This is Most likely the biggest share profit in the background of Simmons, dependent on the numbers."