Floors, Flooring, and More and Carpet Too! » Carpet Prices http://www.floortalk.com Carpet and Flooring News, Reviews, and Views From ACWG Thu, 12 Aug 2010 12:29:09 +0000 en hourly 1 http://wordpress.org/?v=3.0 Carpet Prices and The Price of Oil! http://www.floortalk.com/discount-wholesale-carpet/carpet-prices-and-the-price-of-oil/#utm_source=feed&utm_medium=feed&utm_campaign=feed http://www.floortalk.com/discount-wholesale-carpet/carpet-prices-and-the-price-of-oil/#comments Sun, 13 Sep 2009 12:54:09 +0000 Jerry http://www.floortalk.com/?p=467 Some of the logic of the new carpet price increases is that the price of a barrel of oil has more than doubled in the last 5 months. While that statement is true, 5 months ago oil was at about $36 a barrel, down from
around $140 a barrel in the fall of 2008.  All of 2008 we had unprecedented price increases on carpets by all manufacturers. As oil fell to the $36 mark, there wasn’t mass price reductions on carpet to account for the record increases just a few months before.

More logic to the latest carpet prices increases “record low levels of demand for carpet”, as one manufacturer put it. I am not an economist, but it seems to me that a sure way to reduce demand further is raise prices in an unstable economy. Carpet has lost a tremendous amount of market share to hard surface flooring such as laminate flooring, hardwood flooring and luxury vinyl tile products. I suspect with higher prices more of the market share will be lost.

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