Pergo: The Rise Above "Ordinary Laminates"

Category: Household Furnishings & Appliances
Brand/Client: Pergo
Lead Agency: Fitzgerald+CO

State of the brand's business

It's a tough category, laminate flooring. Especially when you invented it, as Pergo did. So much so that people use Pergo's name generically. The Kleenex of laminate flooring, if you will. But there's only one Pergo – high-quality, durable, innovative laminate that demands a premium price. Pergo always had to work hard to keep the upper hand against scores of manufacturers offering cheap, me-too laminate. But never harder than when the recession struck.

The Great Recession hit at a time when Pergo, the inventor and category leader in laminate flooring, and its key competitors – Armstrong, Mohawk, Dupont, Bruce and Quik-Step – were already facing challenging head winds. Consumers' appetite for flooring languished, especially for higher-priced brands. Lowe's and The Home Depot, our biggest sellers, which accounted for almost 50% of 2011 laminate sales1, took advantage of industry over-capacity and introduced low-priced private labels of their own. Not a good time for Pergo. But not for anyone else either.