Phoenix-based Tuft & Needle mattress company merges with industry giant
Aug 23, 2018, 10:35 AM | Updated: 1:10 pm
(Facebook Photo/Tuft & Needle)
(Facebook Photo/Tuft & Needle)
PHOENIX — Tuft & Needle, the Phoenix-based mattress company that gained prominence promoting its independent status, announced this week it was merging with industry giant Serta Simmons Bedding.
Tuft & Needle was a pioneer in the now-crowded field of online mattress sales when it launched in 2012.
The company’s marketing has featured intriguing billboards in the Valley and select national markets bearing the message “Mattress Stores are Greedy. Learn the Truth. TN.com.”
News of the merger with Atlanta-based Serta Simmons, the world’s largest mattress manufacturer, didn’t go over well with many of Tuft & Needle’s customers.
Numerous commenters on a Facebook post announcing the move expressed their displeasure.
In the post, the company maintained that it “will remain a distinct, independent brand” with its headquarters in Phoenix and the “merger solidifies Tuft & Needle’s everlasting permanence.”
After starting with an investment of $6,000 from its founders, the business surpassed $170 million in sales last year, the post said.
The company has showrooms in Scottsdale and Gilbert, but its foam mattresses can only be purchased through mail order.
Prices range from $350-$750, depending on size, for the standard models, and $650 to $1,050 for the deluxe Mint mattresses.
According to a news release issued Tuesday, the merger was expected to be finalized within 60 days. Terms of the deal weren’t disclosed.
“Tuft & Needle is the original disrupter in the direct-to-consumer mattress industry and is a rare example of an economically healthy, fast growing start-up,” Michael Traub, Serta Simmons CEO, said in the release.
