Chad Lundeen – Saatva

The decision to buy a luxury mattress often begins with a simple desire for better sleep but quickly transforms into a journey of indulgence, comfort and craftsmanship. For those seeking more than just a place to rest, a luxury mattress offers a blend of tailored design, premium materials and cutting-edge sleep technology. As a customer explores the world of high-end sleep, the mattress becomes more than a necessity—it is an investment in a person’s well-being, where every layer is carefully engineered to elevate the art of rest to an unparalleled experience.

Chad Lundeen | Saatva | VP, Real Estate

That unparalleled experience is exactly what is promised by Saatva, the Queens, New York-based luxury mattress maker known for its high-end mattresses and premium buying experience at its locations in major markets across the U.S.

As the company’s vice president of real estate, Chad Lundeen is front and center as Saatva expands to more upscale neighborhoods designed to give more people a luxury experience buying a luxury product.

“We’ve proven the model,” Lundeen tells Blueprint during an interview in August. “We’re growing at a rapid pace without sacrificing quality in our product, and we’re able to take it a step further and give back to the communities we serve.”

The right markets

When Lundeen first spoke to Blueprint, the company had just opened its sixth viewing room in Chicago. It has 19 now and plans to open its 20th location—in Tampa, Florida—in late October and additional locations slated for 2025.

The Tampa location is at 1050 Water Street in the city’s Channelside district, home to Amalie Arena, high-end shopping, fine dining and several top-tier hotels. It is exactly the type of real estate Lundeen looks for when scouting locations for the next Saatva viewing rooms.

“Every location has a unique vibe. Understanding those market conditions drives our decision-making process when looking for dynamic and engaging retail spots,” Lundeen says.

The goals for expansion continue after Tampa, Lundeen says. Four more locations are already in the pipeline with leases signed for the next year as the company plans to open between six and eight stores annually. Lundeen’s role involves leading Saatva’s self-funded viewing rooms program, a strategy allowing ample flexibility and patience in choosing prime locations for the brand. This approach ensures that each new store aligns perfectly with the company’s ethos and the preferences of its customers.

Lundeen’s patient and meticulous nature shines through. An upcoming store in Austin, a market known for its tight real estate, is a testament to his tenacity. Numerous offers were made until a prime spot in the Northside section of the city was secured—the location is set to open at the beginning of 2025. Other bustling locations like Phoenix, and Palo Alto and Pasadena, California, are also on the horizon.

“California is a colossal market with immense potential on top of our already successful viewing rooms in West Hollywood, Union Square in San Francisco and San Diego,” Lundeen says.

The Midwest isn’t off the radar either, with locations being scouted in areas like Birmingham, Michigan, a suburb of Detroit, and Columbus, Ohio. These efforts underscore the significant investments Saatva is making to enhance customer experiences in their viewing rooms. By creating relaxing and calming spaces, customers can make well-informed choices on products that offer proven health benefits and have a lifespan of six to 10 years.

A luxury customer experience

Saatva’s roots trace back to around 2010, when the company transitioned from an e-commerce brand to a well-known name in the direct-to-consumer business. Lundeen emphasizes that the company’s founders were committed to preserving a high-quality customer experience, resisting the urge to distribute through traditional retail. This strategy allowed them to narrate their story, owning every facet from manufacturing to customer service. In-house “sleep guides” further personalize the process, ensuring customers receive the Saatva product that best meets their needs and sleep preferences.

“When you order a mattress, it isn’t pulled off a shelf and put on a random truck somewhere. Every mattress we sell is made-to-order specifically for that customer,” Lundeen explains.

That customer experience is enhanced by the technology the company deploys at locations nationwide. One of those vendors that provides technology and services is Practical Logix, a premier US-based provider of custom software design, engineering, and consulting services. Its expertise and commitment to delivering innovative and efficient solutions have made it a trusted partner for numerous prestigious clients, including Saatva.

Practical Logix has been a key collaborator for Saatva for many years, developing tailored solutions for their retail operations and online blog platform. Through nimble processes and a highly skilled team, they address Saatva’s evolving engineering challenges, acting as a seamless extension of their business.

In a landscape favorable to Saatva’s growth, the founders initially invested in infrastructure rather than immediate marketing blitzes. This vision built one of the largest manufacturing and distribution networks in the mattress industry, with every mattress produced after the customer orders it—they are also backed by a one-year trial guarantee—a commitment deeply embedded in the company’s DNA.

Despite around 20 percent of mattress customers being consistent online purchasers, the decision in 2019 to brick-and-mortar locations was a strategic move to capture the remaining 80 percent of the market. This transition has been fueled by an incredible support engine, making each viewing room a unique experience. Lundeen says that Saatva’s “Smarter Luxury Sleep” tagline encapsulates the company’s premium yet thoughtful approach to sleep solutions.

The future of high-end sleep

Saatva is moving forward with more flagship stores in prime markets, but Lundeen is already thinking about the next steps: smaller formats in markets that cannot support a large flagship location. There is a planned opening for Coral Gables, Florida, in March 2025 and a new spot in Seattle that showcases how steadily the brand is expanding, often finding high-value locations at competitive rents by staying attuned to market dynamics.

Saatva’s CEO, Ron Rudzin, put the .com outside of Saatva’s buildings, turning each location into a freestanding advertisement. This strategy is paying off, as evidenced by increased market penetration and share of voice. Lundeen says that about 85 percent of store visitors strongly intend to buy, a statistic bolstered by non-commissioned sleep guides and informative kiosks at every bed.

With meticulous care for the customer experience, Lundeen exemplifies the strategic growth and customer-focused ethos that have become the bedrock of Saatva’s expansion.

“When you locate and create spaces focused on your customer, only good things will come,” he says.

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