Tween Eye for Design

Karen Robertson is pushing her two kids and a niece out the door of BombayKids in north Dallas as fast as she can. She has narrowly escaped with her wallet intact, and it wasn't easy. Her daughter Kelsey, 10, was enthralled by absolutely everything in the store--the sequined lampshades, the frilly fairy pillows, the rugs, the window coverings and, most of all, the pink canopy bed. "Whew! I really had to get them out of there quick," says Robertson, 34.

But two days later she is back, alone, ordering an ornate daybed for $398. She also picks up a tasseled pink paper lantern for $12. "Why in the world would I need that, right?" she says, laughing. "But it just looked so cute and was so cheap." Plus, she reasons, everything will look great with her daughter's pink-and-yellow flowered comforter from Company Kids and the new desk from PBKids (part of Pottery Barn). "When I was growing up, I had to share with my four sisters and a brother. I was lucky to have a bed!" she says, exaggerating just a tad.

Once upon a time, before 10- and 12-year-olds became an outsize economic force, a kid's room was the spot for a hand-me-down chair, a serviceable desk, a throw rug and the latest pop-idol wall posters. Today it's a color-coordinated, fashion-accessorized statement of personal style. Or more precisely, personal style as interpreted by the growing number of retailers rushing to supply this fast-growing $17 billion-a-year market. Vendors, including Pottery Barn, Pier 1, the Bombay Co., Delia's and Target, are creating new products, catalogs and, in some cases, chains of specialty stores designed to capitalize on the decorating dreams of tweens and teens. "There's a kid quake going on, and spending on furniture is up," says Steve Farley, executive vice president of BombayKids, a year-old offshoot of the Bombay Co. The firm has just six kids' stores now, but it plans to have 100 in three years. At Pier 1, CEO Marvin Girouard foresees the company's new chain of Cargo Kids stores growing from 33 now to 300 over the next decade. "It's a huge underserved market," Girouard says, and he is frankly eager to brand customers while they're young. "If we get them early, they'll continue to buy from Pier 1 forever," he says.

With boomers having babies later and Gen Xers having them sooner, the market could be enormous. There are 44 million tweens and teens, ages 8 to 18, in the U.S. today--a historic peak surpassing even the baby-boomer generation. Teens alone have a whopping $170 billion to spend annually, thanks to allowances, gifts, odd jobs and part-time employment, according to Michael Wood, vice president of Illinois-based Teen Research Unlimited. "Parents are the No. 1 source of their money, but it's the kids who are choosing what to buy," says Wood. What they mainly buy, of course, is clothes, electronics, movies, CDs and games. But in the past few years, as Americans have turned inward and traveled less, kids with cash, abetted by their parents, have turned into decorating divas. WonderGroup, a market-research firm in Ohio, estimates that families spend $386 a year outfitting each child's room with furniture and electronic gear--about double the figure from a decade ago.