Bassett Furniture Industries (BSET) Water Tower Research Insights Conference summary

Revenue growth strategies

• Focus on increasing sales in existing corporate and licensee stores, leveraging a 124-year-old brand and recent product introductions, including whole home collections and the HideAway Dining program.

• Upholstery, representing 75% of sales, is driven by the True Custom program, offering extensive customization and quick delivery within 30-45 days.

• Outdoor furniture branding consolidated under Lane Venture for stronger recognition and expanded market presence.

• Emphasis on leveraging fixed occupancy costs by maximizing store productivity.

Store expansion and capital investment

• Acquiring licensee stores where succession plans are lacking, with recent activity in the Philadelphia market and expectations for more.

• Opening two new corporate stores in Cincinnati and Orlando, with significant capital expenditures planned for these and a Long Island store relocation.

• Targeting a long-term cadence of two to three new stores per year, though not expected next year due to current commitments.

E-commerce and omni-channel development

• Shifted from a marketing-focused website to an aggressive e-commerce approach, launching a new platform in 2023 and achieving 25% growth last quarter.

• Building a seamless omni-channel experience, enabling delivery to all 48 contiguous states and supporting sales growth in underserved regions.