Cotton Works Celebrates 10 Years Of Steady Growth
And Customer Satisfaction

For a 10-year-old, Cotton Works Industries, Inc. has grown up fast, transforming itself from a laid-back supplier of futons and accessories into a high-tech, service-driven enterprise that ships its products to the nation’s top 100 futon furniture retailers.

While Cotton Works has changed its location, narrowed its focus solely to futon covers and expanded its marketing reach, the company has held fast to its founding principle of providing quality products with excellent service, says CW President Jim Martin.

“We started off with about 10 customers,” Martin said. “Now, we’re in about 1,700 different futon stores. We originally started out with just futon specialty shops. As the futon industry changed, we did, too. Now we’re in the country’s leading 100 futon furniture stores and we’re doing some exporting overseas.” In 1989, Martin was called in to provide marketing assistance for a floundering Florida futon company. “I did a lot of research, went on the road for two weeks, visited stores that sold futons and recognized that it was a good company that just had shaky management skills.”

He ended up purchasing the company, sold its two retail outlets and pumped money into the manufacturing concern. One of the key steps in turning the bankrupt company around was to strengthen relationships with customers, Martin said. “We called all the customers, explained the situation honestly, and said, ‘But we’re here now and this is what we’re going to do.’ And we did what we said. Then we did the same thing with the suppliers.” The strategy paid off. “We still have our first customer,” Martin said.

“From the beginning, our emphasis was on customer service,” added Lynn Martin, Jim’s wife and Cotton Works co-owner. “We understand where the retailers are coming from. When we started off, we spent a lot of hours in the store, dealing with customers.” She knows first-hand the frustration retailers feel. “What good does it do to sell a $2,000 futon suite but then have to wait on a $50 futon cover? It makes you crazy.”

The company zeroed in on ways to streamline and enhance operations. “When we started off, we manufactured pine frames, futons and covers. We offered seven futon covers, and we only sold to Florida then,” Martin recalled. By 1991, Cotton Works had dropped production of futon frames to concentrate on futons and covers. Two years later, Cotton Works moved to Albany, Georgia, which offered a central location for distribution to the southeastern United States.

Meanwhile the futon industry itself was changing. “When we started, futons were basically viewed as college dorm furniture. The only kind of futon frames you could get were unfinished, and the futon covers lagged behind other fashion trends by three or four years,” Martin said. “And you could only buy futons in specialty stores.”

As futons entered the mainstream marketplace, customers demanded more quality and selection in futon frames, futons and futon covers. “So the industry trend has been to provide products that go more places and are appealing to more people,” Martin said.

“That meshed well with our philosophy at Cotton Works. For instance, all our futon covers use only first-quality upholstery fabrics. No seconds. And we have a 10-year warranty to back our products. That’s a rare claim in this business,” he said. “Our goal is to give good value, not to have the cheapest product.”

By 1995, Martin said, Cotton Works recognized its forte was futon covers, and began pouring all its resources into that area of its business. It closed down its futon production in 1996. Today, Cotton Works offers more than 130 futon cover fabrics, including one of the industry’s best line of tapestries. The company monitors trends to ensure it can offer the latest looks as well as traditional styles, and is presently launching a new line of leather futon covers.

Despite other changes, service has remained a top priority at Cotton Works. The company developed a solid reputation for its speed at turning around orders. “We have a three-day guarantee, and most orders actually ship within 24 to 48 hours,” Lynn Martin said. “You don’t have to place a minimum order with us. And you can fax in your orders to us toll-free 24-hours-a-day, seven-days-a-week.”

Dedication to Service

The dedication to providing premier service actually has been a controlling factor in the growth of Cotton Works, Martin said. “We have deliberately kept our growth steady and manageable. We knew some smaller specialty futon stores were afraid that our service would go downhill if we started selling to the top retailers. Well, it hasn’t, and it won’t.”

Ten years after going into business, savvy marketing and a clear understanding of customers’ needs are keeping Cotton Works on track. “In many cases we actually act as the customer’s warehouse. They don’t need to have a storeroom full of our inventory. By using our swatch rack, which is very attractive, our customers can have 100 turns a year with minimal inventory. Also, it takes up hardly any space. So it’s to our customers’ advantage to deal with someone who ships quickly,” Martin said. Cotton Works also puts technology to work. “We’re using a completely computerized shipping system, to speed shipments up and cut costs as well,” Martin said. “We also have a web site where we show a few futon covers in each group and a contact page where people e-mail us for more information. Retailers get a sales call and we send consumers to a customer’s store in their area. We do a lot of referring.”

The company has maintained a full-time presence in High Point for the past five years. “We share a permanent showroom with Largo at 150 Main Street,” Martin said. “Largo is a manufacturer of metal and wood futon frames that ship in two days. This show relationship has worked very well for both of us because we share the same company philosophy of great service and quick shipping.

Martin concluded, “From the beginning, we have tried to be responsive to changes within the futon industry, advances in technology and the needs of our customers. But the real basis of our success at Cotton Works is that we have loyal customers who share suggestions with us. We appreciate their trust in us. We don’t take any of them for granted. And with their continued support, Cotton Works expects each birthday to be bigger and better.”

FL