Surviving for over 100 years as a retailer takes both luck and incredible skill. Very few brands have survived that long because lasting for over 100 years requires either having products so iconic that demand persists even as tastes change or being nimble enough to adapt to meet changing consumer needs.
A company founded in 1904 literally made it through the Great Depression, two world wars, multiple times where swing dancing was inexplicably popular, the housing crash of 2008, Covid, and that year when everyone was enamored with “Who Let the Dogs Out?”
Related: One more retail chain files Chapter 11 bankruptcy, closes stores
Ultimately, while it’s easy to vaguely blame the economy for a bankruptcy, many of the recent slate of retail bankruptcies can be attributed to Covid. That’s especially true of the spate of furniture companies that have filed for Chapter 11 bankruptcy before moving quickly to a liquidation.
During the lockdown period of the pandemic, people were spending money on their homes. That pulled forward demand for items used in the home including connected fitness devices, appliances, and furniture.
In theory, that was good news for furniture companies, but many did not anticipate that pulling forward demand would mean a period of slower demand afterward. Just like people stopped buying Pelotons because anyone who might have wanted one had already bought one, consumers stopped buying furniture because they had bought what they needed during the pandemic.
That, coupled with consumers looking to spend more on experiences rather than things created the market conditions that forced Mitchell Gold + Bob Williams, Z Gallerie, and many regional furniture chains into bankruptcy and/or liquidation. Now, that trend has claimed another victim.
If you bought a couch during the Covid pandemic, you probably won’t need a new one for a few years.
Image source: Shutterstock
Furniture chain had a proud history
Despite its unfortunate name that has been a source of giggle for multiple generations of teenage boys, Badcock Home Furniture & More has a deep history.
“Henry Stanhope Badcock founded the W.S. Badcock Corporation in 1904. An immigrant from England, Henry founded the first Badcock store in Mulberry, FL,” the company shared on its website.
He operated that single store for 16 years until his son Wogan bought it from him in 1920.
“Business continued to grow until the land boom/bust of 1929. The Depression hit the country hard, and Badcock was no exception. Finding it increasingly difficult to sell the merchandise he had on hand, Wogan began to sell merchandise through consignment at various stores in the area, offering a share of the profits if they sold the merchandise,” it posted.
Wogan Badcock was an innovator who helped keep his family business alive while developing new methods of operating that many other retailers later used.
Related: Historic beverage brand files Chapter 11 bankruptcy
“Wogan also established the idea of the route salesman, who would use small trucks, traveling designated routes, to sell the Badcock merchandise. This laid the groundwork for the dealer model, which is still the foundation of Badcock’s business model. At the same time, Wogan introduced the practice of selling furniture to customers on credit, and collecting on installment accounts from these customers,” the company added.
That model succeeded for roughly 100 years, but the company has begun to wind down operations after its parent company, Conn’s filed for Chapter 11 bankruptcy and decided to close all of its stores.
Furniture chain closing after 120 years
Badcock Furniture confirmed that all of its stores across eight states would be closing on its Facebook page. It also has posted going-out-of-business sales on its website. The company has not shared a timetable for full closure of the 550 stores it owns between the Conn’s and Badcock brands.
Conn’s purchased Badcock Furniture in 2022. At the time of its sale, Badcock had 64 corporate locations and 310 independent dealer-owned stores, according to RetailDive.
Banners on the Badcock website advertised the going-out-of-business sale, offerings deals as much as 50% off.
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In the parent company’s Chapter 11 filing in the United States Bankruptcy Court in Corpus Christi, Tex., Conn’s said that it had approximately 3,800 full-time employees and 150 part-time employees in the United States. The company operated 553 retail stores in 15 states and 22 distribution and service facilities.
The company asked the court for permission to pay bonuses to workers in its stores who stay through the going-out-of-business sale.
