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AMERICAS BATHROOMS ARE GOING UPSCALE
Di Nancy Mc Keon (The Washington Post)
The Pottery Barn catalog is selling toilets. Restoration Hardware
leads off its winter catalog with a $3,600 cast iron tub. And
the ethereally elegant Waterworks bath store in Georgetown plans
to triple its current size this spring.
Those are just the tip of the bath-retail iceberg. Expo Design
Center is the fancy- schmancy kitchen-and-bath offspring of
home-improvement behemoth Home Depot. Sears, Roebuck & Co.
is on the trail as well: It will roll out 11 of its new Great
Indoors super-showrooms-bath, kitchen and furnishings targeting
a slightly less affluent customer than Expo - around the country
this year. And the Washington mecca for high-end bath fixtures
and fittings, Union Hardwares Decorator Center, says its
bath business has skyrocketed over the past four years, showing
a double-digit increase in sales each of those years.
Whats going on? Not since Watergate has there been so
much ado about plumbers. Is there room for all this activity
in the smallest room in the house? Downturn or no downturn,
retailers seem to be counting on it, based on projections and
the seemingly insatiable American appetite for improvement of
both self and home, which in this material culture are often
fused.
This week, Harvards Joint Center for Housing Studies announced
that remodelling expenditures by U.S.homeowners in 2000 amounted
to $101.9 billion. Thats up only 2.7 percent from the
previous year, evidence of the slowdown weve been hearing
about. But its on top of growth of almost 21.5 percent
since the end of 1995, says Kermit Baker, director of the centers
Remodeling Futures Program, which produces the numbers. Based
on the detailed information available for the year before, probably
15 percent of that money was for bathroom projects.
Case Design/Remodeling Inc. of Bethesda, Md., created a bath
division in 1997 to handle the uptick in bath traffic it was
seeing. "I sort of equate it with fancy cars, "says
Bruce Case, vice president and head of the bath division. "Over
the past two years, weve seen people wanting to spend
more. With two people working more hours, they just want to
pamper themselves."
To make things happen fast for its customers, Case developed
a "pull and replace" bath program, complete with on-site
bath trailers packed with the materials for each project. Cost
of a simple pull-and-replace on a standard 5-by-9-foot bath:
from $7,000 to $25,000, depending on finish materials. Bigger,
more-elaborate jobs are handled by Cases design-build
group, but the bottom line for the bath division last year was
20 remodels per month, a big increase over 1999s tally.
Its no mystery where all the remodelling money is coming
from: Many homeowners who arent rich have houses that
are. Tapping their equity has caused Dumpsters to sprout like
dandelions at urban and suburban curbsides while homeowners
bump up, add on and generally "rethink" their intimate
surroundings.
Everyone knows it costs a bundle to redo a kitchen, even when
we turn a blind eye to those seductive high-end, high-style
appliances at $4,000 and $5,000 a pop. But in recent years,
the plain-Jane bathroom has been enhanced with doodads of its
own.
Bathtub? Please. Trophy homes are not the only ones that now
instead feature a $3,500 whirlpool bath, or maybe a soaking
tub. Shower? Make that a hand-held shower head with pressure-balanced
thermostatic controls plus body sprays installed in newly replumbed
walls. Plop a hand-thrown ceramic "vessel" on top
of the solid cherry vanity (instead of a sink, of course! Where
have you been?) and now youre cleaning up.
As one might expect, Jack Suvak, director of research for faucetmaker
Moen Inc., watches faucet sales pretty closely. And he says
the number of homeowners installing four or more new faucets
in a bathroom project has increased by a third since 1995.
And those faucets - by which Suvak also means shower heads and
body sprays - cost their weight in chrome-plated solid cast
brass. Add up the components for a relatively modest Gnutti
Sebastiano shower system purchased recently at Expo Design -
thermostatic valve, $299.25; volume control, $84; two body sprays
at $45 each; hand-shower and wall-mounted bar, $186; and wall
supply outlet, $21.75. With tax, youve reached $800 before
youve even found a plumber to install it.
"People who come into the (bath) market after five, six,
seven years can be surprised at all the styles available now
- and at the prices," says Suvak. "But theyre
more willing to spend, to get more enjoyment out of the bath."
Its impossible to research this evolving bath culture
without reading that to the overworked, multitasking American
the bathroom has become a haven, an oasis, a private retreat.
Pooh! Its just one more area whose manufacturers have
adopted the rhythms of fashion (yearly introductions of shapes
and colors) and technology (the annual upgrades). In short,
the bath has become one more American shopping opportunity.
And never mind the great American sport of keeping up with the
Joneses: Part of all the upgrading going on is people trying
to keep up with the Gateses - or at least with glossy shelter
magazines.
Another motivation is fear of losing that all-important resale
value. No matter that you take showers, not baths; what if,
when you go to sell your house a few years from now, the lack
of an air-jet tub tips your buyers toward a competing property?
Recriminations of the plumbing variety are sure to ensue.
The Kohler Co. put bathrooms in the fashion business back in
1965, when the "Bold Look of Kohler" slogan was born.
And its lush colors and lavish print ads have captured annual
sales of $2.3 billion for the privately held firm and 8 percent
of the fitting market, according to the Freedonia Group Inc.,
a Cleveland.based industrial market research firm.
But it was Home Depot that turned the bathroom into an exercise
in black-belt shopping. First, through sheer muscle and influence
on manufacturers, it offered consumers sinks and toilets and
the like that were once available only through plumbing contractors.
Then, in 1991, the company "has an inkling" it could
develop the niche market for the high-end decorator-level stuff
and spent a few years tweaking the formula, says Melissa Watkins,
public-relations manager for what became Expo Design Center.
Some upscale vendors .- manufacturers of $800 faucets and $1,500
dishwashers - had to be convinced. "They would fly them
to the Miami store," says Watkins, to show them the concept
as it emerged between 1995 and 1997.
That concept flew, and Expo estimates it had sales of $600 million
in the 15 stores that were open in 1999. And this big box thinks
big: It currently has 26 stores, and it expects to have 200
in the next four years and sales of $10 billion.
The Expos and Depots "have definitely driven design,"
says Christopher Lohmann, vice president for Kohler fixtures
marketing, which also sells its products at SearsGreat
Indoors stores, "because seeing the better things inherently
makes people want better design."
But instead of customers having to stretch their wallets to
buy some exquisite $3,500 "melted glass" pedestal
sink, Lohmann contend, there has been the "Pottery Barn
effect: You can start buying some pretty good design at
a lower price."
For its part, Pottery Barn is "getting aggressively into
bath and kitchen," says Celia Tejada, vice president for
product development. The company launched a separate Bed &
Bath catalog last May. But the "Classic Toilet" and
sinks offered in the first couple of catalogs may have been
too hard-core: "We did sell some, "says Tejada, "but
the logistics were more than we wanted to deal with. "The
catalog has retreated to the safe retail harbor of medicine
cabinets, chrome shelves and other accessories.
Restoration Hardware, in catalogs and stores, hasnt backed
off yet. "The growth in the bath area has been tremendous
for us in the last two, three years, "says marketing director
Dave Glassman, "with consumers buying three or four sets
of towel bars" at a clip. Look for more collections of
towel racks and toilet-paper holders, more shower heads, faucets
and sinks, he says. And, yes, that $3,600 bathtub and other
big ticket items.
But all the talk of high prices shouldnt obscure reality.
Says Lohmann, "The mid-range is what makes Polo (Ralph
Lauren); its what makes money."
Suvak chimes in that while the average price of a faucet has
been going up for the past five years, its now just over
$100 per installation. The median faucet price has gone from
$79 to $89, he says.
Says Bruce Case: "You dont find too many Taj Mahals
in a 5-by-9 bathroom. The bath divisions clients are value-conscious.
But typically, "he adds, "theres one or two
things they fall in love with. And those theyre willing
to splurge on."
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