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Why do furniture stores rely so heavily on the advertising gimmick of “going out of business” sales?

It's obvious that they aren’t actually going out of business, but are just trying to drive traffic to their store. I can understand why they might do this, but the real question is, why is this so prevalent among furniture stores and no other industries?

It seems the same principles that apply for furniture could apply elsewhere, but I only see these with furniture stores. I’m guessing the answer has to do with some furniture industry pioneer and his lasting legacy.

2 Answers

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  • Dan B
    Lv 7
    5 years ago

    Furniture stores seem to have a problem staying in business. Going out of business might not mean closing its doors and turning off the lights, but simply selling out to another furniture dealership with new owners. People tend not to buy furniture every 5 years (as they might with a car). Appliances tend to last about 10 years before needing replacement. Furniture tends to be a long-term between buy cycle (ours is in good shape and have had it for over 20 years). The Federal gov't has a database that tells you how many people in a town or neighborhood is needed to keep a business in business. For example (not real numbers), it may take a population of 10,000 people to keep a grocery store profitable, but 40,000 people to keep a furniture store profitable and only 3000 people to keep a gas station profitable. If you own a bar, maybe one or two die-hard alcoholics would be enough to keep you in business.

  • gerald
    Lv 7
    5 years ago

    there's a jewelry store near us that's had a closing down sale 5 years all 9ct crap as a leading jeweller once remarked

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