|
Despite uncertain economic times, Carls Patio continues to grow and has expanded its presence in California.
Written
Sharon Sanders Photography by Jon Gorr
Florida’s housing crisis and the economy may be taking their toll on consumer spending, but the sun always seems to shine on Carls Patio, based in Coconut Creek, Fla. A little over 15 years ago, Carls Patio opened its first showroom in Palm Beach, Fla., and it has grown steadily to include 11 retail stores on the state’s Gulf Coast and four in Southern California. Founder and President Gary Ecoff says that smart business sense and a solid reputation have given Carls Patio the staying power it needs to ride out any economic storm.
 |
Gary Ecoff, founder and president of Carls Patio, plans to double the size of the company in the next five years. |
 |
Carls Patio has been a leader in South Florida for over 15 years and has recently expanded into California. |
 |
Bright and airy showrooms are sources of inspiration for customers. |
In 1993, outdoor-furniture veteran Gary Ecoff approached Fred Friedman, then president of Carls Furniture, with the idea of opening a patio store in Palm Beach, Fla. Ecoff was confident that it would be the perfect venture for the 50–year-old indoor-furniture giant. “The patio-furniture market was taking off in metropolitan markets across Florida, like Miami,” Ecoff says. “I knew it could be something big.”
Friedman was sold on the idea, and three months later, Ecoff was moving sets of tubular aluminum furniture into a newly remodeled 10,000–square-foot showroom in a strip mall owned by Carls Furniture. “They took the chance on the concept, and it has paid off big time,” he says.
According to Ecoff, the venture was successful from day one. Carls Furniture had such strong name recognition in the market at the time that people stopped by just to check out the new patio store. “Once they walked through our front doors, my job was to impress them,” he remembers. Carls Patio was unlike anything that the sleepy Palm Beach market had ever experienced, from its high-end products to its professional merchandising and personal service.
For the first several years, the focus was on dining sets. Ecoff had big dining programs, featuring lines from top manufacturers such as Woodard, Lloyd/Flanders, Brown Jordan and Lane Venture. “Over the years, we’ve all grown together and supported each other,” Ecoff says. He reports that he still works with most of his original manufacturers today.
As the business has expanded, Ecoff and his team have developed a formula that sets its showrooms apart from the competition. The company only opens stores in prime locations (with high visibility) that reflect the company’s upscale image. Every Carls Patio showroom is open and airy, with lots of windows, greenery and color reminiscent of the outdoors.
Furniture vignettes are meticulously merchandised and are stocked with a deep and wide selection of furniture, from teak to all-weather wicker. “We provide people with the choice and inspiration they need to create a backyard retreat,” Ecoff explains.
Ecoff has invested time and money in his sales-and-management team, which has become the heart and soul of Carls Patio. The company has an extensive sales-training program that has turned out some of the best salespeople in the industry.
Ecoff is proud of the fact that a large percentage of his staff has been with the company for over 10 years, and that his right-hand man, Paul Otowchits, was the first person he hired. Ecoff notes, “He’s grown with me from day one, starting as a salesperson and moving up to general manager of the whole organization.” All of his staff members “make a really nice living; work good hours; and enjoy health insurance, 401(k) plans and paid vacations. That’s why they stick around,” Ecoff says.
Ecoff is excited about the company’s recent expansion into Southern California and the growth potential that it brings. The California division is headed by Lyle Ecoff, a 20-year veteran of the casual-furniture industry and Gary’s brother. In April 2005, the company acquired Saddleback of San Diego in Carlsbad, Calif., a favorite shopping spot for local San Diegans for nearly 30 years.
In May 2005, Ecoff expanded north to Los Angeles, acquiring the Berks luxury outdoor-furniture business based in Santa Monica, Calif. Known as the patio-furniture shop to the stars, Berks has been an institution in the Los Angeles area for over five decades. Ecoff has opened two more Berks showrooms in California in 2008: in Agoura Hills in February and in Laguna Beach in June.
Acquisitions such as these have become an important part of the company’s growth strategy. Ecoff says that he’s always looking for opportunities that make sense for the business. “Acquisitions need to have intrinsic value, like a long-standing reputation and a loyal customer base,” he explains. “Otherwise, you are better off just finding a location in a spot where you want to be and opening a store. It’s much harder to undo what’s been done than to start from scratch.”
 |
| Carls Patio’s upscale image has led to its unprecedented success in the outdoor-living market. |
The softening of the economy over the past 18 months has not slowed Ecoff’s plans to double the size of the company in the next five years. “We’re in the real-estate business just as much as we are in the furniture business,” he explains. The recent slowdown has made properties available that he couldn’t touch in the past.
“That’s how strong companies take advantage of weakness in the marketplace,” he adds. He admits that he is concerned about sales, but is confident that his customer base (made up primarily of retirees and of women over 35), for the most part, is still going to buy. “My core customers don’t have subprime mortgages and are not worried about losing their jobs. They are concerned when the stock market drops 500 points,” he says.
As Carls Patio continues to grow and thrive, Ecoff often looks back to the early days and marvels at how far it has come. “I took this little business and turned it into a chain of stores,” he says. “In my mind, there was no scenario other than to be successful.”
PHPR July/August 2008
|