By Ken Sakamoto, Star-Bulletin
Bill Indich of the Indich Collection sits on a stack of rugs
in his recently opened Ward Avenue store. A large version
of the best-selling Hawaiian rug, the Monstera leaf design,
is hanging over his right shoulder.

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Isle rug seller
finds success
by design

The popularity of Hawaiian rugs
has given his business a big lift

By Heather Tang
Star-Bulletin

BILL Indich's handmade Hawaiian rugs are sending him on the carpet ride of his life.

Since introducing the locally designed rugs, company profit has increased 20 percent annually, said Indich, owner of the Oriental and Hawaiian rug seller, the Indich Collection. Growing demand has even yielded a recently opened second store for the 20-year-old Oahu company.

"I'm sitting on my dream, own my own property and sell carpets. I love this business," said Indich.

What began in February 1997 as a small venture aimed at meeting demand for a simple alternative to Persian carpets has grown into the company's most popular line. Hawaiian rugs comprise about 50 percent of total sales at the company's Gentry Pacific Design Center and recently opened Ward Avenue locations. They provide an informal and affordable product for customers, says Gwen Nagata, the company's general manager

Indich said he set out to develop a contemporary rug for Hawaii residents.

"Local folks didn't like the Persian rugs because they were too formal. The market was already flooded with Chinese rugs, so we focused on creating a Hawaiian rug, something local people could relate to," he said.

Sales in the first six months were lackluster. Advertisements listing them as "tropical design rugs" drew poor response. However, due to space constraints for the heading of a newspaper advertisement, the name was re-worded to "Hawaiian rugs."

The response was amazing, says Indich. The next few days had "the phones ringing nonstop. People started calling like crazy," he said. "The name change was pivotal. "

Since that shipment of 12 Hawaiian rugs, the company now sells about 100 of the Nepalese-produced rugs a month, according to Indich.

Hawaiian rug prices range from $180 for a 2-by-3-foot rug to $5,000 for a 10-by-14-foot rug. Customers also can choose from 25 different designs and 60 different color variations.

Local graphic designer Kathleen Sato and Indich's wife, Susan, create motif designs including Hawaiian flora, animals, petroglyph, and tapa.

The most popular rug is a $957 5-by-7 foot laua'e (Monstera leaf) design, with Indich selling about 10 a month.

The success of the rugs enabled Indich to reach his long-term goal of opening a second store in April.

Hoping to satisfy mainland and overseas demand, his company also plans to sell via the Internet.

Dealing without a middleman for importing and manufacturing helped the company maintain sales during Hawaii's economic slump.

"We're able to cut costs through big volume and big capital. Modern communication also makes it easier," said Indich who maintains daily contact with his buyer in India and factory in Nepal. Two hundred workers in a Nepalese factory exclusively produce Indich's Hawaiian carpets.

"It's a very labor-intensive business that comes down to approach. Whatever it takes, we serve the customer," said Indich.

Such a commitment to customer service seems to be working. Repeat buyer, Meg Moore, recently furnished her home with five Hawaiian rugs.

"I like their authenticity. I can walk outside and see a maile leaf and then an exact replica on my rug. It's like bringing the outdoors inside," said Moore, an eight-year Maui resident originally from Connecticut.

According to Nagata, most rug buyers are first-time homeowners looking for modern, affordable rugs. Hawaii transplants as far away as Japan and Canada, such as Bette Midler and NFL football players, also like the rugs. Indich also sells rugs to Japanese stores and has furnished the sets of "Magnum P.I." and MTV's "Real World Hawaii."

Indich, a New York City native, and his wife started the business in 1979, selling their stock of 40 carpets out of their Kailua home.

From such humble beginnings, Indich, holder of a doctorate in philosophy from the University of Hawaii, gradually went from an antique collector to owner of a successful business.

"He does everything from vacuuming to taking out the garbage, to finding the best sources for rugs," said Nagata of Indich's hands-on approach.

Today, Indich has an inventory of 5,000 carpets and a staff of 14, including two buyers in China and India.

Asked what he would do if offered millions of dollars for the business, he replied, "I'd just buy more rugs."