In developed nations like Singapore, the mattress industry has always been one of steady growth. This slow but steady growth camouflaged the need for any serious market study in the dynamics of the industry. Intrinsic to Singapore is a considerable number of full-blooded outlets of foreign mattress manufacturers. This creates the perception that mattresses are typically not locally produced and therefore not a local product. The comprehensive study of the dynamics of the mattress stores Singapore, its marketing strategies, and gauging the potential market for a local SME came from a perceived gap in the market. There were no accurately archived national statistics of mattress per capita consumption. As both a necessary essential and a lifestyle product, the aim of this paper is to empathetically locate a more comprehensive understanding of the dynamics of mattresses and their importance in today’s society. The potential market size of demand was found to be increasing. However, it was fueled more by the rising commodity prices than a sudden change in the sleeping habits and sociodemographic landscapes of the locals.
Introduction: A global understanding of the mattress industry in today’s society should begin with an enunciation of the fact that a relatively great proportion of an individual’s life is spent in bed. This in itself connotes the importance of sleep and the various aspects of sleep in today’s high-stress working society. Higher expenditure and outflow of money in lifestyle products and shopping for the latest fad are synonymous with an increase in the disposable income of a group of people. The first aspect of sleep – the mattress – has had brushings with incremental changes. Variations are attempting to address the inherent commoditized issue of sleep. Proper sleep and related products are paramount in the hearts of medical professionals, parents, body-care companies such as gyms, sports, and newspapers. Experts argue that the demand for premium mattresses is expected to rise in the future as never before. Thus, it is paramount, with such findings of latent needs, to execute strategies that connect manufacturers with the rising demand for premium mattresses. The aim of the article, emphasized earlier, is interdisciplinary along the soft periphery of Corporate Social Responsibility, lifestyle, and marketing management strategies, via a comprehensive understanding of the impacts of the demographics of society and the sociodemographic landscape of a nation’s inhabitants. We also aim to derive a comprehensive understanding of the mattress market in Singapore. Since our qualitative study, we continue our research into the segments of the market. However, due to a paucity of data and archival issues, this study is severely qualitative in nature. We also begin our research with an overview of the operations of the existing big players in the industry.
Background of the Mattress Industry
The mattress industry has changed significantly since the production of the first mattress. The concept of the industry, which focused only on manufacturing the mattress as a single product sold through stores, has evolved through production methodologies and selling channels. The mattress sector has undergone great changes in the production and design of products. Most of these changes take the form of technological advancements, heralding a decline in technological complementarity and product specificity for new products. Therefore, it leads to active discussions on the interpretation of the transition in the mattress industry. It was viewed as the successful replication of product-specific technological capabilities by late modernizers. Two streams of literature remain divided and exist.
From this perspective, it is extremely important to analyze the historical background or the root of mattress production as well as its transformation. Since a variety of mattresses that provide comfort and luxury are constantly changing, it is meaningful to consider when this process began. The manufacture of the modern mattress is perhaps the most important component of the sleeping sector, and it has seen the largest price performance, with retail price indexes for beds and bedding rising significantly over the years, more or less tracking home furnishing costs. This local marketplace played a vital part in the growth of the industry over the years and solidly introduced mattress businesses. The marketplace has been a driving force for domestic manufacturers of mattresses to gradually develop revenue. As a consequence, the marketplace today is a crucial venue for marketing the different varieties of mattresses with various systems to meet the desires and aspirations of sleepers. Meanwhile, local and foreign firms became involved in the marketing, delivery, and introduction of mattress models spread throughout the market. The use of transfer methods for potential clients will help market the features of an impressive array of mattresses. Manufacturers may use innovative techniques to enhance the significance of potential shoppers by presenting the latest furnished mattresses to consumers at marketplaces. A physical improvement of mattresses can be used to develop their appearance. The latest and most practical as well as stylish kinds of mattresses for the market may be offered by introducing these types of marketing, including new kinds of mattresses. Providing new varieties of mattresses in this direction and collecting testimonials from prospective consumers is essential. Attending mattress fairs is important for the creation of a mattress. By getting involved with bed store and participating in some of them, the corporation can draw the community’s attention to different varieties of mattresses. By controlling the messaging around the mattress, the corporation will maintain its market impact. The firm needs to organize in advance the layout of feature promotions as well as their design. The producers disclose the availability of numerous mattresses by arranging this event. This should be approved by three inputs in bedding. The markets have an open perspective and anticipate the presence of purchasers at the display. Clients can readily get to know the most current editions of the models and many amenities in which the mattresses arrive. The upholstered beds are partially funded by the company to sell the mattress attractively. In its business, the company adheres to ethics and integrity. Products that enhance the beauty and comfort of the mattress are marketed commercially.
Significance of the Study
In any industry, it is crucial that manufacturers and retailers understand what the market needs. This is vital to them, as with such information, they will be able to produce the specific needs of potential consumers. Thus, such information points them towards the right path, which results in profits while staying competitive. For consumers, the information obtained from such surveys will promote them towards making more informed decisions about available products. It is with the same principle that the mattress industry needs to find out what and how the market trends work. As such, this study would very likely benefit many, namely manufacturers, retailers, consumers, future researchers, and regulators.
The findings of this study are anticipated to give insights into the preferences of consumers. The data collected will summarize the type of mattress preferred and the underlying reasons. Qualitative responses obtained can be used in developing the marketing strategy and, in this fast-moving world with ever-changing consumer demands, help industry players to innovate and stay ahead. Concomitantly, changes in consumers’ perceptions may provide opportunities for newcomers in the mattress industry. Furthermore, we also contribute to the existing academic research in consumer behavior and business. Additionally, the study provides information representing the preferences of a nation that promotes rest, sleep, and well-being. Quality sleep is strongly connected to health and the satisfaction of human needs; therefore, developments in this industry based on the results from the study have a holistic relevance. Thus, the study on the mattress industry brings national benefits.
Market Analysis
With a population of 5.85 million, the Singapore mattress market is projected to grow at a rate of 7.19% on a year-on-year basis due to an increase in consumer preferences for superior quality mattresses. The entire APAC (Asia-Pacific) mattress market is expected to grow with a CAGR (compound annual growth rate) of 7.0% up to 2023, driven mainly by product innovation, technological advancements, increased spending on home furnishings, increased construction activities, and increased real estate investments. The mattress industry is considered the post-maternal market of the entire mattress industry, a small division of the mattress industry. Consumer buying trends and behavior are influenced by several factors such as age, household size, income, location, percentage of the population living in urban areas, internet access, and online shopping. Singapore is considered a highly developed market, with millennials being the primary drivers for new and existing trends.
The population of Singapore is largely concentrated in urban areas where people live an affluent lifestyle. About 90% of the country’s population are internet users, and the younger population has the best access, with their working styles more linked to modernization. Online transactions alone are expected to balloon to a compound annual growth rate (CAGR) of 12.7%, reaching US$6.61 billion by 2023. 18 to 32-inch mattresses are the primary attraction of this line of items. On the other hand, younger Singaporean homeowners and renters prefer to shop for larger, premium, customized, and more colorful mattresses. The population of Singapore mainly includes people aged 20–39 years. This age group has the highest proportion of internet and social media users in Singapore. Most individuals aged 20 to 29 years lived independently in 2019.
Overview of the Mattress Market in Singapore
The sleeping mattress is an essential need for each and every living individual. They are primarily used for bedding and have been witnessing significant market growth on a global scale. In the local case of Singapore, the mattress market holds several traits discoverable through numerous trend analyses. Recognizing the wide array of mattress materials available, innerspring and foam mattresses have been identified in this report as globally preferred mattress choices for consumers due to their unique ability to cater to specific needs. In addition, future market segments indicate emerging niche markets for eco-friendly mattresses and specialized luxury mattresses such as organic latex and high-end innerspring.
Throughout Asia, the bed and mattress market is in a stage of advanced growth due to improving standards of living and increased consumer discretionary spending on interior spaces. For the Singapore mattress market to signify the Asia Pacific region, a rising number of office workers and an increasing trend for high-tech, luxury sleeping products have made way for imported beds to increase in appeal. The largest mattress product segment is in the foam mattress category and is expected to retain the trend over time. Retail trends indicate the rapid shift in purchasing behavior from physical stores to online marketplaces and smaller e-commerce platforms. Although this has afforded local manufacturers a stronger platform to launch their mattress products and expose their innovative designs, it has also hastened the decline of traditional bed retailers. Furthermore, shifting patterns have also shown that the physical attractions of suburban consumers and their central counterparts differ. It was interesting to note that the central wellness centers were more likely than suburban mattress shoppers to prefer viewing the mattresses in person first. For a few years, the Singapore mattress industry has been gradually slowing down. Measurements have shown the sixth year-on-year decrease in the sale of staples. The millennial choice for multi-functional mattresses and eco-friendly mattresses has provided room for international companies to enter the Singapore mattress market. Increasingly, the advance of online platforms is changing the way in which mattress purchases occur.
Key Players and Competition
Key Players and Competition: The mattress industry in Singapore is less fragmented than the global market, with brand owners having domain over market demand and supply as well as setting the prices. Major brands found in Singapore include ErgoSleep, Abiten, Hästens, Latexco, and Tempur. Manufacturers and retailers can serve distinct markets. The latter being primarily for the high-end market, with their retail prices starting from $3,000 and going upwards to $500,000 for the limited edition products, intend to attract brand-conscious customers. It is estimated that the market for double and single mattresses can be split by a 60-40 ratio. The Singapore market is characterized by strong brand presence, with more than 70% of the industry’s revenue generated by local brands, as well as several brand collaborations that occur at a B2B level.
At the international front, the competition is between small, retail-focused national brands and large global multinationals. Regional supply chains, as projected, leave the cosmetics in the hands of a small elite and crossover partnerships. The large multinationals, having their products manufactured in lesser-developed countries, have not managed to take complete control over the market, owing to consumer expectations of the multinationals. In Singapore, key market players or partners work in collaboration to maintain better control over both the supply chain and wholesaling. High barriers to entry and lack of economies of scale required for new production facilities and new store outlets act as barriers to entry for new competitors. Innovation processes in retail business and product differentiation are the engines of expansion, and entry into the mattress market is governed by innovation as well. Routine craftsmanship under viable conditions can transform local capabilities into a commodity, such that a low-wage competitor easily enters the market, even if it means long-term loss. Due to the requirement of certifications, this is especially hard in the mattress industry. Strategic alliances are a common way of managing competition. Dynamic competition becomes asymmetrical and intense as multinational companies reposition themselves across the board against each other. Ongoing and upcoming collaborations and partners worldwide shall be seen on a B2B and B2B2B2C level, with exclusive products as differentiators.
Consumer Behavior and Preferences
The study and analysis of consumer behavior and preferences play a crucial role in any market as it aids the estimation of market demand. Prices, product quality, brand, location, and time play a major role in influencing consumers’ purchasing decisions. Alternatively, consumers might prefer a particular product because of its comfort. The type and characteristics of the mattress people opt to buy may vary according to individual preferences. The majority of respondents share their preference for comfort spring mattresses with a thickness above 8 inches and a hardness level of 5 to 8. Specifically, more than 50% of the respondents are not too brand-conscious but prefer good quality and affordable mattresses. People are more comfortable purchasing new mattresses at the hypermarket or supermarket compared to doing so from the manufacturer’s shop or showroom.
According to respondents’ demographics, the characteristics of the target group are generic shoppers with a majority preference for inclusive service and prices ranging from $101 to $400. A major preference for spring mattresses with a thickness of 6 to 9 inches is recorded. As for comfort level, the majority of the respondents prefer ‘medium comfort spring’ and are likely to look for promotional prices during Super mattress on sale, followed by mattress promotions that are only above a certain amount. Many of the respondents were influenced to purchase a certain mattress based on their respective family members. The practical implications of this paper are aimed at producers and retailers to understand consumer preferences for mattresses in the mature market, which is vast with a variety of preference levels. Hence, the design of mattresses should cater to different consumers. Organizations are to be more relevant in their pitch and be efficient in allocating resources to highlight the most sought-after or preferred mattresses to ensure a faster conversion rate.
Factors Influencing Purchase Decisions
Key insights: The price sensitivity of consumers will directly affect their decision on whether to buy a mattress after identifying a need. In addition to price, the features of the available mattress will also be evaluated, including memory foam, latex, preferred comfort level, and the presence of a topper for pressure relief. The purchase decision will also depend on whether there is a guarantee of change, return policy, and warranty. Consumer loyalty towards a brand will also influence their decisions concerning the type of mattress and whether to visit the same store for a repeat purchase. For new consumers, mattress brands often evoke competency, and their judgments will also include manufacturer trust and attributes. Trust in a good manufacturer persuades the price-conservative consumer. Successful emotional branding has a lead-to-bond effect because emotional appeals are effective marketing tools given their ability to trigger best buy ratings through heightened emotional engagement among consumers. The resulting emotional effect differs across various demographic segments like age, gender, or marital status. The purchase of consumer durables can be pushed by a need or desire, and this may depend on whether there is a problem arising from a current product. Factors influencing the purchase decision include the following:
1) price sensitivity,
2) product feature sensitivity,
3) desire for good brand names or store services,
4) consumer purchasing evaluations,
5) consumer repeat behaviors, and
6) the continual introduction of new products influencing the purchase decision.
Consumer buying behavior is the process of assessing and considering pre-purchase motivations, ongoing activities, major consolidating or habitual behavior decisions, purchase events, emotional attachments, post-purchase evaluation and character, and disposition. These elements will be affected by various external influences like information gained, people expected to phone, warranties, and the display in a store or promotional brochure. Marketing and branding strategies are made with a knowledge of consumer behavior and the ability to predict these judgment-making components. Given the costs of mattresses, high involvement with a luxury product occurs, and so any touchpoints which contribute to the consumer decision-making system vary from rational to psychological factors.
Trends in Mattress Shopping
Over the years, mattress shopping in Singapore has shown significant shifts in consumer behavior, thus shaping shopping trends. There has been an evolution of the marketing approach where retailers focus on reaching their target audience. Generally, this approach reflects the development in technological advancements; here, retailers can find out more about the psychological behavior of their customers and align their businesses accordingly. Furthermore, Singaporean customers in the current scenario are looking for a rewarding buying experience. They are demanding unique options, with improved services and convenient accessibility. Retailers are strategizing on ways to present an engaging and enjoyable experience to their potential customers, combined with a purchase that feels right.
One recent shopping trend involves the use of the internet. For instance, a significant percentage of local shoppers relied on the web to make informed decisions. They placed their interests on products that grabbed their attention and helped relieve stress as part of their daily lives. This number is expected to increase over time as retailers create impactful content and a simplified shopping experience. Consumers are expecting specifications on technology included in mattresses, such as what materials are used, what characteristics are desirable, and the warranty purchased during the after-sales. This type of consumer is a risk avoider and is constantly looking for reviews before purchasing products, which in a marketing sense may be considered as how trustworthiness creates a psychological nudge to purchase. Additionally, retailers need to identify and tackle information asymmetry regarding how mattresses work, the correct type of mattress one should sleep on, and thus co-create a marketing campaign to generate word-of-mouth that features testimonials shared by a demographic group. Following the shifts in customer behaviors and trends, there is also a rise in brands using omnichannel marketing strategies to traverse the online-offline divide in response to consumer behavior.
Online vs. Physical Stores
When it comes to shopping preferences, many consumers nowadays still prefer the convenience and wider selection of products that online shopping offers. Making comparisons between different stores is also made easy since consumers have the freedom to search for product reviews on different brands. It is important to many consumers because getting a good mattress is an investment – this is linked to having an investment in rest, sleep, and comfort, and what the mattress industry must have in order to compete more easily. Yet, a comfortable and easy shopping experience is very important to consumers who know what kind of mattress they need, particularly those with busy schedules. So too will the return policy, which will help to ensure quality even if purchasing a mattress would turn out bad.
On the other hand, many customers would want a firsthand feel of the mattress and be able to test it out, or some may need it urgently and will want a mattress that is available for immediate purchase. For many consumers, the psychological effects of the retail store environment are also very important. Since many view this as a store experience, some consumers will feel that good customer service is better experienced at a physical store than at an online store. In-store sales interactions will prompt consumers to think harder or consider alternatives to the intention to purchase. As such, both types of mattress shopping methods do have their own advantages and disadvantages. However, in response to consumer feedback, there are a lot of physical and online stores that are evolving.
Advantages and Disadvantages of Each
Channel preference plays a large role in the mattress shopping experience. Understanding the reasons behind consumer shopping decisions is valuable for both retailers and consumers. When selecting a mattress, there are a variety of different options for channel procurement: online, in-store, and hybrid models combining these options. This subsection analyzes the reasons behind these choices. Each varies from the others in advantages and disadvantages. One of the main consumer shopping shifts over the past several years has been a preference for convenience and flexibility. Due to the rapid growth of internet use domestically, online and dual-channel retailers have benefited the most. Although digital retailing continues to grow as a popular option, underestimating the influence of traditional retailers would be destructive. Instead, retail is evolving and surviving by adapting. Enhanced in-store experience has been at the forefront of the retail revolution.
There are numerous advantages to shopping for a mattress online. There is no need to leave home, and vehicles may not be needed as shipping costs may be included. The consumer is also able to shop at any time, even during out-of-store hours. Many different mattresses may be perused online since there is no overhead in showing mattresses or selling space. These commonly include mattresses of different densities, synthetic or organic models, and alternative materials. Many online merchants provide mattress prices that compare favorably to store-bought options due to decreased overhead costs. However, there can be issues associated with ordering something as big and unwieldy as a mattress online. It may not be able to be tested for physical comfort, which raises the return/replacement hassle factor. Brick-and-mortar stores offer several benefits, including instant gratification, sales advice or assistance from retailers, and the capacity to try out different mattress feels such as firm, plush, etc. The biggest potential downside of purchasing a mattress from this type of store is price: overhead costs sometimes result in higher retail price points.
Case Study: Analysis of Sleep Space
Mattress production has grown to be a big industry in hard-selling Singapore. Sleep Space, a big player featured in this report, is a locally owned and managed specialty business focusing specifically on sleep surfaces. Over the years, Sleep Space mattresses have acquired a strong following. This case study aims to take a step-by-step approach to consider aspects of the business through discussions, online reviews, and verbatim publicity commentary.
Sleep Space mattresses have penetrated the newswires not for any reason in recent years owing to their strange stories and products for sale. The pitch: imported and exported queen-size and king-size mattresses to each and every bedroom and consumer budget, using everything from firm innerspring mattresses to high-tech artificial, plant-based foam hybrids available here. As the customer service representative for over 10 years, Sleep Space has witnessed many consumers entering the mattress purchasing system once again after long-term distress. Sleep retailers may be renowned for their costs, long-term name fame, or – as in Sleep Space’s instance – the groundbreaking sleep trial. What happens in the bedroom is the invested amount.
In the everyday running and drafting of answers for this case study, Sleep Space was more than fun. Sleep Space enjoys a committed customer base, of which hundreds have taken the time to make public online testimonials. Current client surveys suggest that around 75-90 percent of Sleep Space customers have advised its mattresses to their family and friends since 2011. Sleep Space has never compromised its unwavering commitment to personalized customer service; an estimate is spending better half an hour talking with potential buyers and those without prior experience in terms of sleeping surface science.
Company Overview
Sleep Space was founded in 2004. Sleep Space is a corporation that specializes in the innovation and manufacture of sleep-related products. The corporation began as a retail store before moving into the warehouse to operate as an e-commerce business. Over time, the firm has grown to be the early and only customizable mattress e-commerce company in Singapore, and it now services both the bed frame and mattress market. Sleep Space developed new models and tested them in the e-commerce markets of Southeast Asia to see how market demand responds.
In today’s market, consumers have four options for mattresses. One is to walk to the street and purchase an in-store mattress. Two is to visit your favorite furniture shop. Three is to go to a shop like Sleep Space that only concentrates on mattresses. The fourth option is to enter a mattress specialty store. The firm has differentiated itself by providing custom options. The firm’s primary assortment lies in the custom bed frame and mattress market. Each season, customizations drive these product lines. Customizable mattresses strive to give consumers the greatest night’s sleep. With personal selections of support layers and mattress covers, the corporation assists clients in creating the mattress that best meets their comfort requirements. The company’s sleep talk surface also includes a changeable adjustable bed frame.
The company has expanded and enhanced its product range to cater to various types of clients. The Sleep Space company differs from others in that it provides a diverse array of frames with compatible adjustable mattresses. Today, the firm delivers mattress bases separately. The option of purchasing a mattress base is available for select products in the shopping cart. The firm solves this problem and broadens its market access. As a result, a greater number of people were located on the website. As a means of differentiation, the company has created an innovative product, the crystal mattress, supplementing its traditional product range. Crystal mattresses will be available on the e-commerce sites of all South Asian nations. The Gungun mattress will be available in China in three months in order to evaluate market demand. In a quarter, new product launches constitute 30% of demand. The size of the firm’s transactions is unpredictable. We also strive to always provide maximum customer comfort. As a corporation.
Marketing Strategies
In the current competitive mattress industry in Singapore, the success of any brand should not solely depend on its product offerings. The emphasis on having a meaningful story behind the brand or a lifestyle that resonates with its customers is more of the norm. Sleep Space has followed the industry trend and has built a Singapore-centric brand identity. This subsection will report on Sleep Space’s main marketing strategies.
Perhaps one of Sleep Space’s main strengths lies in its capability of being adaptive to market trends and accurate in reading customer interests. The company is headquartered in the heart of Orchard Road and, as such, has its fingertips on the pulse of the retail industry in Singapore. This is evident in their launching of the newly implemented marketing strategies that respond to current consumer tastes and retail industry trends at large. To give or renew a meaning of a community, it created the Sleep Space Tribe in 2021. New products and promotions rollouts are also dependent on customer feedback received. This shows how deeply customer engagement activities have been intertwined with the brand’s overall expansion and marketing efforts.
The company’s brand name and its market must align, or else its own expansion is limited. Being an incarnation of a well-known eco-conscious homegrown brand in Singapore, Sleep Space promotes a compelling ‘made in Singapore’ sentiment that has been winning the hearts of Singaporeans and their desire to support local talent even more. A slew of promotional campaigns crafted are a testament to its resonance with the consumer base. The marketing strategies adopted were later evaluated as effective.
Customer Reviews and Satisfaction
This is the most critical section as it gives an overview of customer reviews and the level of customer satisfaction. This data will show the organization’s reliability posture and will be the face of the organization. Since the company cannot have any direct sales touchpoints, the only source of the consumer’s feedback is through online channels and our direct feedback method. Singapore has high internet penetration, with 91 percent of individuals accessing the internet, primarily through smartphones. Most people also turn to various online review sites when looking for reviews. In the past year, only 1% of customers have left a bad review on these channels. 27% of all feedback is between 3 and 4 stars. 72% of buyers also provide positive feedback.
This section specifies only the unbiased data. We received data from special efforts conducted by our team on top of the analytics below. The following are the themes found from the reviews: Comfort is the number one reason they came to our site. Affordability came in second. 75% of all visitors gave feedback concerning it. 20% gave feedback on comfort, claiming that the costs could be low only due to dropping the quality. 12% of users clicked on exactly how much the comfort level was, scrolling down the page until they saw it. 11% left feedback about the customer service experience. Through the feedback form on the site, 42% of users provided feedback, and all provided positive responses!
When receiving feedback on their brand, merchants should ensure that one out of four customers who give negative feedback is contacted to prevent word-of-mouth consequences. What threats or opportunities were generated for the business as a result of the feedback? Because of this feedback, the company gained an advantage from the reviews; 72% of individuals who wrote a review became repeat buyers. Only with regard to the NPS and CRR will you specify figures. Negative feedback concerns denting the morale of staff. Because different purchasing trends are playing together in Singapore, the Net Promoter Score and Customer Return Volume will determine our position within the marketplace through comparison analysis among the different competitors. Only genuine reviews are useful for emboldening a brand and making it more resistant because regardless of negative or positive reviews, the number of purchasers will increase. Buyers will be led to believe that only good reviews show that the brand is lying. Inversely, patrons will believe that if they see an unsatisfied customer, good reviews exist because the brand is real. Moreover, consumers will be more inclined to absorb negative feedback if we disclose it to first-time buyers. Customers who were made aware of the criticism of the firm ahead of time were more inclined to check out and buy from the company due to the negative feedback. Insufficient transparency helps shield many businesses.
