They might not be a household name—at least not yet—but NSP Panels is certainly laying the groundwork to establish a foothold in the burgeoning wall paneling market in the U.S.
Via its newly minted U.S. headquarters and manufacturing facility located in Mullins, S.C., NSP Panels specializes in wall paneling (both acoustic and non-acoustic) for residential and commercial applications alike. Panel materials range from solid wood—including heat-treated solid wood panels for exterior applications—MDF as well as aluminum slats for use in highmoisture areas. Products run the gamut from 10mm to 19mm in total thickness, and the company also offers digital printing capabilities via its partner in Austria, FN.
Travis Bass, 45-year flooring industry veteran whose experience includes long stretches with Swiss Krono and Georgia Pacific, un-retired two years ago and was brought in as sales consultant to the start-up. Franz Neuhofer, Marco Seitner and David Pritchard are partners in the venture.
“It’s fun to be in on something again on the front end and watch it go from a concept to reality,” Bass told FCNews. “I certainly had no idea when I retired from Swiss Krono that I’d be doing this again, but I’m very thankful for the opportunity. These guys know what they’re doing, and they’re not afraid to invest where there’s an opportunity.”
In fact, Bass first came to know Neuhofer, Seitner and Pritchard (whose initials combine to form “NSP” in NSP Panels) via industry trade shows as well as his business dealings with the trio as an executive with Swiss Krono. “We’ve been friends for 25 years, so I know them very well,” Bass said. “When they decided to bring this product to the U.S. and start it up, they called me and said, ‘Would you go to work for us?’ We hammered out a consulting deal, and that’s worked out great. They’re good people to work with.”
The strength of those relationships, according to Bass, is what helped NSP Panels get off to a fast, seamless start. Apart from helping scout out a site for the 140,000-square-foot manufacturing facility, Bass was tapped to leverage his vast industry experience to gain access to dealers and explore different avenues to market. This included developing relationships with high-volume retailers as well as attending trade shows and conferences to gauge interest for the product. Bass reported particularly strong interest at industry events such as Surfaces and the International Builders Show (IBS).
NSP Panels is also actively seeking to develop private-label programs with potential distribution partners. “Some distributors have been hesitant to pull the trigger because it’s an unknown,” Bass stated. “It’s a new product for them and it’s quite an investment for a distributor to take on. However, we get a lot of positive feedback from the distributor’s customers. They really like the product. They see it as a fit in flooring because it doesn’t require a display. Because the product is designed to mount on the wall, it’s an easy product to showcase.”
With panels measuring 2 x 8, it’s also a very easy product to install, according to Bass. That makes it ideal for the DIY market. “Using just six black drywall screws, three on each side of the panel, you can go right in through the felt padding between the slats,” he explained. “The panels only weigh 13 to 15 pounds depending on the size you get, so you can screw it right into drywall. You don’t need to hit a stud. It’s easier than painting.”
Moreover, end users can get creative in how the panels are installed. “I’ve seen some installations where they do an entire wall, especially if you want more noise reduction,” Bass explained. “Then you have some people who use the panels as a headboard behind their bed. You can outline it with molding to make it like a picture frame. I’ve even seen the product on the ceiling!”
The product is also suitable for commercial applications— especially when you consider the possibilities available with custom digital printing capabilities. “If you think about hotel or hospitality spaces, there are all kinds of commercial uses with this product,” Bass said. “There’s a lot of untapped opportunity here.”
Beyond the obvious decorative applications, NSP Panels also provide add-on profit opportunities for specialty retailers. Bass estimates retailers can easily sell an average 2 x 8 panel for somewhere between $100 and $125 each. When you consider the average job entails at least seven panels, it adds up quickly. Orders could go even higher depending on the allotted wall space. “Some people do an entire room or entire level of a house, which shoots up the ticket big time,” Bass said.
Blue skies ahead
Given the many applications for the product—combined with only a handful of players in the wall paneling arena—NSP Panels said the potential for success is seemingly unlimited. “We have plenty of room to grow our capacity and [a strong] appetite for investment for products like this as well as related products that FN makes in Europe,” Bass said. “I think we have a lot of blue skies ahead.”
In the meantime, NSP Panels is looking to continue to build on both its product development and overall manufacturing capacity, with the goal of producing a million panels per year. “Once we begin to expand our footprint here, we will be flexible with the sizes and colors we offer,” Bass said. “We are finding out some of those things as we gain more experience. But we’ll certainly have the ability to adapt if the right opportunity comes along here in the U.S. market.”
