Mattress Firm was once the largest mattress retailer in the United States, with over 3,500 stores across the country. However, in 2018, the company filed for bankruptcy and closed hundreds of stores due to financial struggles. The bankruptcy was a shock to many, as Mattress Firm had been a popular and successful chain for decades.Mattress Firm
Mattress Firm
Sleepy's was another major mattress retailer that went bankrupt in 2018. The company had over 1,000 stores in the United States and was known for its wide selection of mattresses and competitive prices. However, Sleepy's struggled to keep up with online competitors and ultimately had to file for bankruptcy.Sleepy's
Sleepy's
Sealy is a well-known mattress brand that has been around for over 130 years. The company was acquired by Mattress Firm in 2012, but after Mattress Firm filed for bankruptcy, Sealy also experienced financial troubles. The brand was eventually sold to another company, but the bankruptcy of Mattress Firm had a significant impact on Sealy's sales and operations.Sealy
Sealy
Serta is another popular mattress brand that was affected by the bankruptcy of Mattress Firm. The company had a partnership with Mattress Firm, and when Mattress Firm closed hundreds of stores, Serta also saw a decline in sales. However, Serta was able to recover and continue operating independently.Serta
Serta
Simmons is a well-known mattress brand that has been around for over 140 years. The company was also a partner of Mattress Firm and saw a decline in sales when Mattress Firm filed for bankruptcy. However, Simmons was able to bounce back and continue operating independently.Simmons
Simmons
Tempur-Pedic is a luxury mattress brand known for its high-quality memory foam mattresses. The company was acquired by Mattress Firm in 2012, but after Mattress Firm filed for bankruptcy, Tempur-Pedic also saw a decline in sales. However, the brand was able to recover and continue operating independently.Tempur-Pedic
Tempur-Pedic
Mattress Discounters was a discount mattress retailer that was popular for its low prices and sales promotions. However, the company struggled to compete with online retailers and larger chains like Mattress Firm. In 2014, Mattress Discounters filed for bankruptcy and eventually closed all of its stores.Mattress Discounters
Mattress Discounters
Mattress Giant was a mattress retailer with over 100 stores in the United States. The company was known for its wide selection of mattresses and competitive prices. However, in 2012, Mattress Giant filed for bankruptcy and was later acquired by Mattress Firm. The bankruptcy and acquisition had a significant impact on the company's operations.Mattress Giant
Mattress Giant
Mattress World was a regional mattress retailer with stores in the Pacific Northwest. The company offered a variety of mattresses from different brands and had a loyal customer base. However, in 2016, Mattress World filed for bankruptcy and eventually closed all of its stores. The bankruptcy was a result of increased competition and changing consumer preferences.Mattress World
Mattress World
Mattress Warehouse was a popular mattress retailer with over 250 stores in the United States. The company offered a wide selection of mattresses and competitive prices. However, in 2018, Mattress Warehouse filed for bankruptcy and closed several stores. The bankruptcy was a result of financial struggles and increased competition from online retailers. In conclusion, the bankruptcy of these top 10 mattress store chains has had a significant impact on the mattress industry. It has shown the challenges that traditional brick-and-mortar retailers face in the era of online shopping. However, it has also paved the way for new and innovative mattress companies to thrive in the market. Only time will tell how the mattress industry will continue to evolve in the future.Mattress Warehouse
Mattress Warehouse
The Downfall of a Mattress Giant: The Bankruptcy of Mattress Firm
The Rise of Mattress Firm
In the world of mattresses,
Mattress Firm
was a household name. With over 3,500 stores across the United States, it was the largest specialty mattress retailer in the country. The company was founded in 1986 and quickly expanded, acquiring several other mattress chains and becoming the go-to destination for customers looking for a new bed. However, after years of success,
Mattress Firm
shocked the retail world by filing for bankruptcy in October 2018.
The Reasons behind the Bankruptcy
Many factors contributed to the downfall of
Mattress Firm
, but one of the main reasons was its rapid expansion. In an attempt to dominate the market, the company opened hundreds of new stores, often in close proximity to one another. This led to oversaturation, causing a decline in sales and profitability. Additionally, the rise of online mattress companies, such as
Casper
and
Tuft & Needle
, posed a significant threat to
Mattress Firm
's traditional brick-and-mortar business model.
Another major factor was
Mattress Firm
's high debt load. In 2016, the company was acquired by South African retail conglomerate Steinhoff International Holdings, which also owned numerous other retail brands. However, Steinhoff's financial troubles, including an accounting scandal in 2017, had a ripple effect on
Mattress Firm
, making it difficult for the company to refinance its debt.
The Aftermath of the Bankruptcy
In the months following the bankruptcy filing,
Mattress Firm
closed hundreds of underperforming stores and renegotiated leases with landlords to reduce costs. It also received a $225 million loan from its parent company to continue operations during the bankruptcy process. In November 2018,
Mattress Firm
announced that it had emerged from bankruptcy with a plan to focus on improving its online presence and revamping its in-store experience.
The Lessons Learned
The bankruptcy of
Mattress Firm
serves as a cautionary tale for retailers looking to expand rapidly without a solid strategy in place. It also highlights the importance of adapting to changing consumer preferences and competition from online retailers. Only time will tell if
Mattress Firm
can successfully recover from its financial troubles and regain its position as a leader in the mattress industry.
