Page 27 - July 2020

Uncompromising

Excellence

A vertically integrated company that has been in operation
for 88 years, Ethan Allen is a leading specialist in the creation

of liveable luxury. Here, RLI sits down with company
Chairman and CEO Farooq Kathwari as he explains to us

the origins of the brand and where it stands today.

“Today we have 200 design centres in North
uch more than a retailer, Ethan Allen designs The company has found that personal service has become “While North America is our major market and our
and builds most of what they sell. This began incredibly important in these unusual times and combining main focus, we have a strong international presence with America and 100 outside North America that are
in 1932 with the manufacturing of furniture this with technology is critical and has even allowed Ethan a very interior-led design focus in locations such as South spread across Europe, Middle East and Asia”
Min saw mills in places such as Vermont, New Allen to maintain business reasonably well considering the Korea, Philippines, Taiwan, Thailand, Dubai, Oman and Jordan,”
York, Virginia and North Carolina. stores were closed. explains Kathwari. When considering the reasons behind Ethan Allen’s long
The two entrepreneurs who founded the company had Over the last 88 years the company has built a solid Over 30 years ago, current President and CEO Farooq term success, Kathwari explains that to be around for such a
a unique concept that people should be able to see how reputation across North America with strong brand Kathwari put in place ten leadership principles to define the length of time, you have to constantly work on the basics and
furniture would look in a room before they bought it. In the recognition and a reputation for delivering quality with company’s commitment to excellence and equity in every truly discover the principles of being a good leader to help
years that followed they established Ethan Allen galleries in excellent service. The focus of the brand in recent times has part of their enterprise. It is these principles which have steer a company in the right direction.
leading department stores such as Macy’s before moving been to make classic products that have a modern design driven the company forward, built trust with customers “Crisis creates opportunity and I believe this is a great
onto having their own stores, which they call design centres. and perspective. and maintained momentum internally and externally as the opportunity for us because we are very well positioned, we
“Today we have 200 design centres in North America and Portfolio expansion is always on the horizon for Ethan Allen, business continues to grow. have motivated people and I feel the best way for me personally
100 outside North America that are spread across Europe, but the nature and size of their design galleries are changing. The power of technology and social media has played a to help the business is to remain deeply involved and hands-on
Middle East and Asia,” says Farooq Kathwari, Chairman and In years gone by, stores would be more than 20,000sq ft key role in how the business has evolved and the company with the day-to-day operations,” explains Kathwari.
CEO of Ethan Allen. “About 60 per cent of these stores are because there was more competition in the furniture sector has embraced it every step of the way. “Technology has “I’ve felt that a leader has to be entrepreneurial and
company operated and of the 200 in North America, around and the majority of products needed to be displayed in-store. played a tremendous role in all areas of the business. All of disciplined, those are the two most important elements.
70 per cent have been deliberately relocated.” However today, because of the implementation of elements our designers are more proficient in 3D and augmented Moving forward we have to balance being entrepreneurial and
The ‘new normal’ has required Ethan Allen to review all such as 3D-room planning technology, 3D augmented reality reality and it has influenced our store spaces, which are disciplined, and ensuring we always maintain quality and the
aspects of its business and look closely at the combination and live chat with design consultants, the size of the stores smaller today because of the increase in technology across company values. Finally, you must always be relevant; I have said
of technology and personal service, since their entire North has decreased. An example of this is a recent re-launch in the portfolio. Products we have previously had to display on for a long time that if you are not relevant, you are not going
America store network closed in March due to the Covid-19 Green Bay, Wisconsin which re-opened at 6,000sq ft when it a shop floor can be presented through tablets and large TV to be around so being relevant is tremendously important for
outbreak and only now are stores beginning to re-open. was previously a 15,000sq ft space. screens,” says Kathwari. Ethan Allen today and tomorrow,” he concludes.

26 RETAIL & LEISURE INTERNATIONAL JULY 2020 JULY 2020 RETAIL & LEISURE INTERNATIONAL 27