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
Jul 12, 2024 - Sales, Prices Decline
- According to the latest data from the Census Bureau, 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. Producer prices for mattress manufacturers fell 1% in May 2024 compared to the previous year, per the latest data from the Bureau of Labor Statistics (BLS). Employment for furniture and related products manufacturers declined almost 4% in June 2024 compared to a year ago. Meanwhile, wages at furniture and related products manufacturers rose 3% year over year in June 2024, reaching $23.16 per hour.
- 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.
- The US mattress manufacturers industry is projected to grow at a CAGR of 0.55% between 2024 and 2028, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is slower than the overall economy's anticipated growth. Factors that continue to limit consumer spending are higher price levels and interest rates, though both are expected to improve in 2024. Post-pandemic, consumer spending has shown slower gains of 2.5% in 2022 and 2.2% in 2023, supported in part by savings compiled by households from federal pandemic relief programs. The report noted that consumer confidence levels are expected to improve in the forecast window, which bodes well for durable manufacturing industries. Additionally, consumer sentiment has seen a degree of improvement following sustained lower levels.
- Consumer confidence levels fell in June 2024, after an uptick in May, according to data from The Conference Board. The Conference Board’s consumer confidence index was 100.4 in June 2024 from 101.3 in May 2024. Dana Peterson, chief economist at The Conference Board, noted that confidence was the highest among those under age 35 and those in the income category of over $100,000. Plans for large appliance and smart phone purchases rose on a six-month basis, while plans for car purchases stalled.
Get A Demo
Vertical IQ’s Industry Intelligence Platform
See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.
Build valuable, lasting relationships by having smarter conversations -
check out Vertical IQ today.