Mattress Firm looks to raise about $100 million in IPO
New York City — Mattress retailer Mattress Firm Holding Corp. expects to raise about $100 million in an initial public offering to pay down its debt, the Associated Press reported.
The company is offering 5.6 million shares, and expects them to price from $17 to $19 each. After expenses the company anticipates net proceeds of about $90 million.
Most of the proceeds will go toward repaying $84.4 million in debt outstanding under a loan.
Mattress Firm and its franchisees run 757 stores in 25 states.
Boston private equity firm J.W. Childs currently owns about 77% of the company.
Deloitte Survey: Shoppers expect discounted prices
New York City — Excitement over unexpected in-store deals has diminished as discounted prices become an anticipated part of the consumer products shopping experience, according to the Deloitte/Harrison Group annual American Pantry Survey.
For nearly one-third (30%) of consumers, at least seven of 10 items in their shopping cart is discounted. Additionally, 80% of them say they do their own research and have a pre-determined price point and a potential savings amount in mind before they step into a store. Furthermore, two-thirds (66%) of consumers shop when they know products will be on sale.
“Shoppers today expect to get a deal on the products they purchase,” said Pat Conroy, vice chairman, Deloitte LLP and consumer products sector leader. “With this mindset it is critical that consumer products companies take measures to enhance brand loyalty by connecting early and often with key audiences in environments outside of the store.”
Three-quarters (75%) of survey respondents assert that that they are smarter shoppers than they were a year ago, and nearly nine in 10 (86%) believe they are getting more precise in what they buy.
Additionally, eight in 10 (80%) consumers say they have become more efficient at getting in and out of the store in 2011.
Nine in 10 shoppers know what they’re buying before they arrive at a store, and more than eight in 10 (83% ) have a set of brands in mind that they will consider. And, eight in 10 (80%) shoppers indicate that the recession has caused them to realize what brands they care about and which ones they don’t.
In other findings, 490% of shoppers say they are no longer interested in trying private labels or store brands. Furthermore, 90% shoppers assert that they have already figured out which store brands and private labels work for their families – and which ones do not – while nearly the same amount (88%) of consumers claim they have established which store brands and private labels are good, and which ones are not.
Gap introduces Google Wallet in San Francisco area stores
San Francisco — Gap Inc. announced that shoppers at more than 65 of its stores across the Bay Area can now use Google Wallet to pay with a single tap of your phone.
Google Wallet supports most Citi PayPass eligible MasterCard credit cards and the Google Prepaid Card.