Sleepy's

Sleepy's, LLC

Company type	Private
Industry	Mattress retail
Founded	1 January 1931 (1931-01-01) in Brooklyn, New York City, United States
Founder	Louis Acker
Defunct	January 1, 2017 (2017-01-01)
Fate	Acquired by Mattress Firm; rebranded
Headquarters	Bethpage, New York , United States
Area served	Northeastern, Mid-Atlantic, and Midwestern United States
Key people	David Acker (President from 2001)
Products	Mattresses (including private-label lines)
Parent	Mattress Firm (from 2015)

Sleepy's, LLC operated as a mattress retail chain with over 1,000 outlets, predominantly serving the northeastern U.S. Established in 1931 in New York City by Louis Acker, the business experienced substantial growth over the years. In December 2015, Mattress Firm acquired Sleepy's for $780 million, subsequently rebranding all locations under the Mattress Firm banner by January 1, 2017. The Sleepy's online platform remained active until 2018. Currently, Mattress Firm utilizes the Sleepy's brand name for its private-label mattress products.

Business history

Louis Acker, who acquired mattress-making skills in France, launched the first store in Brooklyn in 1931. Following his passing in 1955, his sons Harry and Melvyn assumed control of Bedding Discount Center, which was officially incorporated in 1957. The chain was renamed Sleepy's by Harry in 1975. By 1977, Sleepy's operated eight stores and relocated its corporate headquarters to a 20,000-square-foot site in New Hyde Park, New York. Subsequent headquarters moves included Port Washington in 1986 and later a larger facility in Bethpage by 1994.

Expansion was driven through acquisitions such as Kleinsleep (1993), Mattress Discounters (1996), and Rockaway Bedding (2007), broadening Sleepy's presence throughout New York and New Jersey. In 2001, David Acker—Harry’s son—became president and directed further growth initiatives including opening a new 211,000-square-foot distribution center in Robbinsville, New Jersey (2002). Additional acquisitions included Mattress Firm stores in Connecticut and Massachusetts (2003), Dial-A-Mattress International and 1-800-Mattress Corp. assets (2009), as well as Better Bedding (2010). The company expanded into Chicago in 2013 and celebrated its 1,000th store opening by 2014.

Sleepy's launched its e-commerce site in 2009 to complement its physical retail network. The company's mascot—a character clad in red and white sleepwear—was introduced as part of its branding efforts in 1976.

The company’s strategy combined extensive retail operations with targeted acquisitions to establish a leading regional footprint prior to its acquisition by Mattress Firm.

Acquisition by Mattress Firm and rebranding

In December 2015, competitor Mattress Firm (MFRM) purchased Sleepy's for $780 million. Throughout 2016, Sleepy's locations were systematically rebranded as Mattress Firm stores, finalizing the transition by January 1, 2017. Sleepy's continued functioning as an online retailer until 2018, after which Mattress Firm repurposed the Sleepy's name for their own mattress line.

On October 5, 2018, Mattress Firm filed for Chapter 11 bankruptcy, announcing plans to close between 500 and 700 stores—including former Sleepy's outlets situated near existing Mattress Firm locations. The company successfully emerged from bankruptcy protection in November of the same year.

Business operations

Sleepy's carried well-known mattress brands including Sealy, Serta, Simmons, Beautyrest, Posturepedic, Tempur-Pedic, King Koil, and Stearns & Foster. Similar to other major retailers, Sleepy's offered exclusive mattress lines available only at their stores, which limited direct price comparisons with competitors.

The chain’s retail footprint was concentrated primarily across the Northeastern, Mid-Atlantic, and Midwestern United States—in states such as Connecticut, Delaware, Illinois, Indiana, Maine, Massachusetts, Maryland, New Jersey, New York, Pennsylvania, Virginia among others—with many stores located in close proximity. Nationwide shipping was provided through their online platform.

By 2009, Sleepy's earned recognition as the fastest-growing furniture retailer nationwide and ranked eleventh in growth among U.S. retailers by 2014.

Complaints

In 2004, Sleepy's reached a settlement with the New Jersey Division of Consumer Affairs concerning deceptive practices related to exchange policies, refunds, and advertising. As part of the agreement, the company paid $750,000 in restitution and costs. Additionally, Sleepy's pledged to implement clearer advertising standards, streamline refund procedures, and improve customer service.

Following an investigation into approximately 300 consumer complaints over a three-year period, Sleepy's resolved deceptive sales allegations in New York in 2007 by paying $200,000. The settlement covered penalties, restitution, and included a commitment to adhere to state and local regulations through revised company policies.

In April 2011, Connecticut Attorney General George Jepsen officially cleared Sleepy's of accusations regarding bed bug infestations and the resale of used mattresses.

Despite these settlements, Sleepy's was ranked last among 15 leading mattress retailers in a 2014 Consumer Reports survey based on feedback from 6,105 shopping experiences, repeating its position from the 2012 evaluation.