Mattress Manufacturers
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 325 mattress manufacturers in the US produce mattresses and related sleep products. Primary products include innerspring and foam mattresses, sleep systems (flotation and adjustable), sleep sofa mattresses, and foundations. Mattresses are sold primarily through licensed dealers, company owned stores, furniture stores, department stores, wholesale clubs (Costco) and manufacturers’ websites.
Competition from Low-cost Imports
Domestic mattress manufactures compete in the US market against imports that are often priced at below-market values.
Competition from Smart Beds
The majority of firms produce traditional mattresses, but are experiencing increased competition from health and technology conscious customers moving to smart beds that biometrically track sleep.
Industry size & Structure
A typical mattress manufacturer operates out of a single location, employs 77 workers, and generates about $23 million annually.
- The mattress manufacturing industry consists of about 325 companies which employ about 25,000 workers and generate about $8.2 billion annually.
- Customers include furniture and mattress stores, hotels and motels, healthcare facilities, furniture manufacturers (sofa beds), furniture wholesalers, wholesale clubs (Costco) and department stores, and the US government (shelters, public housing, military barracks).
- The industry is concentrated with the 20 largest firms representing 76% of industry revenue.
- Large companies include Tempur-Sealy, Serta Simmons, Sleep Number (Select Comfort), and Corsicana. Large firms may also have foreign operations.
Industry Forecast
Mattress Manufacturers Industry Growth
Recent Developments
Sep 19, 2024 - Shipments, New Orders Fall
- New orders and shipments for furniture and related products manufacturers, including mattress manufacturers, fell in June 2024 compared to a year ago, according to the US Census Bureau. New orders were down 0.5% in June 2024 year over year and were down 4.7% month over month while shipments were down 1.8% year over year and up 1.3% from the previous month. Furniture and related product inventories declined 1.3% in June 2024 compared to a year ago and were up slightly from the previous month. Sales at furniture and related products manufacturers, including mattress manufacturers, declined 14.8% to $16.2 billion in Q1 2024 compared to Q1 2023. Sales were down 5.6% from the previous quarter.
- According to the International Sleep Products Association, mattress manufacturers will need to adhere to a new law in New York regulating flame retardants going into effect in December 2024. Part of the Family and Fire Protectant Act, the new regulations prohibit the sale of new mattresses and upholstered furniture that contain the following flame retardant chemicals: halogenated, organophosphorus, organonitrogen, and nanoscale flame retardants. Mattress manufacturers cannot “intentionally add” the listed chemicals to a new mattress sold in New York. Manufacturers must provide written certification that the products comply or fall under one of the exceptions. The New York Department of Environmental Conservation is expected to set the levels of allowable covered flame retardant chemicals to be used by manufacturers.
- A $4 billion acquisition by mattress manufacturer Tempur Sealy of retailer Mattress Firm has been blocked by the Federal Trade Commission, due to competition and pricing concerns, according to the Wall Street Journal. In July, the FTC issued an administrative complaint and authorized a lawsuit in federal court to stop the deal. According to the FTC, “The proposed vertical acquisition would merge Tempur Sealy’s manufacturing and supply operations with Mattress Firm’s vast retail footprint, giving the combined company enormous power at multiple parts of the mattress supply chain.” Tempur Sealy expressed confidence in the deal and noted that Mattress Firm holds only a small percentage of US storefronts selling bedding products. In addition, the company said in a statement that it is open to divesting stores to complete the deal if necessary. Tempur Sealy expects it could still complete the deal by the end of the year or early 2025 if it pursues a successful litigation process, per the report.
- Consumer confidence levels increased in August 2024, according to data from The Conference Board. The Conference Board’s consumer confidence index was 103.3 in August 2024 from 101.9 in July 2024. Dana Peterson, chief economist at The Conference Board, noted that confidence was the highest among those over age 35 and those in the income category of over $100,000. Plans for large appliances and smart phone purchases rose on a six-month average basis. Plans to buy a home dropped to a 12-year low while plans for car purchases improved on a six-month average basis.
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