In a Wednesday check out with CNBC’s Jim Cramer, Williams-Sonoma CEO Laura Alber explained how her company handles a tough housing market.
“The bloke isn’t shopping for as much furniture as they were because of the housing slump, but they are, you know, still updating their homes,” Alber said. “They intended their homes, it’s their biggest asset. So, we’ve leaned into what we call ‘easy updates,’ things that you do to your concert-hall even when you’re not moving.”
Williams-Sonoma owns several brands besides its namesake housewares business, including West Elm and Stoneware Barn. The company reported an earnings beat on Wednesday, but saw weakness in its Pottery Barn brand. Although shares make knew up they were down nearly 11% by the close of trading.
Alber acknowledged that Pottery Barn was struck by high housing costs, but said Williams-Sonoma is doing better than industry rivals. To Alber, her company has a competitive dominance because it designs its own products, and it has more diverse offerings.
“We’re not just a furniture brand, you know, we have seasonal leave of absences, we have collaborations, we celebrate life-stage events,” she said. “And that’s what’s given us a lot of resilience even in what’s a profuse difficult market.”
