Home Remodeling Market size in the U.S. is anticipated to reach over USD 450 billion by 2027, according to a new research report by Global Market Insights Inc.
Rapid industrialization and increasing growth of population in developed cities create moderate crisis for affordable housings in the U.S., which will drive the home remodeling industry growth. Moreover, achieving longevity by restructuring and remodeling aging buildings will boost the home improvement market across the states.
Home improvement activities are gaining popularity across the U.S. in recent years owing to attractive appearances and multiple functionalities along with numerous designs. High-end finishing and structuring of the existing buildings create multiple scopes for the architects, developers, and homeowners to carry out the projects. The aging housing stock requires renovation and restructuring to add the latest amenities, replace old components, and reduce energy consumption, which will certainly contribute to the industry expansion. Furthermore, increasing price of new housing and high costs associated with the transfer of ownership will create a demand for home improvement activities.
The ongoing COVID-19 pandemic has restricted the U.S. home remodeling market growth due to production halting, high costs of construction materials, and the shortage of skilled labor. Major cities of California, such as San Francisco & Los Angeles, are severely affected by the spread of coronavirus. Additionally, fluctuating prices of essential materials will further restrict the market revenue. The work from home policy considerably broadens the scope for industry expansion with the rising demand for office & gym spaces and recreational activities.
Browse key industry insights spread across 650 pages with 209 market data tables & 37 figures & charts from the report, “U.S. Home Remodeling Market Size By Project (DIY, DIFM), By Distribution Channel (Direct Selling Through Online, Direct Selling To Consumer, Wholesale To Retailer, Wholesale To Consumer, Wholesalers Selling Online), By Wholesale (Residential Trade, Residential Showroom, B2C), By Application (Windows & Doors, Kitchen Additions & Improvements, Bathroom Additions & Improvements, Landscaping, Flooring, Roofing, HVAC, Pools/Hot Tubs, Electrical Construction, Other Room Additions & Alterations), COVID-19 Impact Analysis, Growth Potential, Price Trend, Competitive Landscape & Forecast, 2021 - 2027” in detail along with the table of contents:
The DIFM segment will proliferate the market size by 2027
The Do-It-For-Me (DIFM) segment is anticipated to grow at a significant rate and is predicted to hold over 60% of the U.S. home remodeling market share in 2027. Rapidly growing consumer demand for high-end operations, quality finishing, and high convenience will stimulate the segment growth. DIFM project professionals are highly capable to execute complex and expensive projects effectively. However, the supplementation of the existing skillset with additional expertise along with technological advancements such as 3D modeling will proliferate the market statistics.
Direct selling through online will have a considerable market share
E-commerce platforms across the States have significantly developed over the years. Manufacturers and producers are focusing to reach customers directly through online platforms to offset third-party members. Many domestic service providers are also engaging themselves to provide home improvement solutions as per customer requirements without any human involvement. The direct selling through online segment surpassed around USD 70 billion in 2020 on account of its multiple advantages including customized delivery, numerous options, and flexible buying hours. Convenient options to compare products and respective prices result in improved customer satisfaction and higher sales.
The B2C segment will contribute to the wholesale market growth
The B2C wholesale segment is set to cross USD 100 billion revenue by 2027. Growing incorporation of e-commerce platforms among wholesalers will propel the B2C segment through 2027. Easy delivery options, quality packaging, and lower delivery time are significantly contributing to the expansion of businesses in new geographical areas. E-commerce offers wholesalers a better inventory control system to track inventory movement across the channels. Supportive state policies and regulations on e-commerce businesses will provide a positive outlook for the U.S. home remodeling market share.
Growing preference toward bathroom additions and improvements will boost the market share
Growing demand for luxurious bathroom spaces coupled with functional amenities is likely to influence the industry demand. The bathroom additions and improvements segment is poised to observe growth rate of nearly 4.2% up to 2027. States including Colorado, California, Alabama, Alaska, Tennessee, and New Hampshire are noticeably improving in this segment. The rapid adoption of advanced bathroom & plumbing fixtures including designer cabinets, utilitarian spaces, hidden showers, in-built media units, etc., will sustain the market growth. In addition, the installation of these facilities will reduce future expenditures, water consumption, lower the chances of risks, and enhance the comfort level. Rising living standards and high purchasing power of numerous homeowners will fuel the market growth.
Economical products will gain competitive advantages
The U.S. home remodeling market is highly competitive and major market players are continuously focusing on different business strategies, such as planned investments and new product developments, to gain competitive advantages. For instance, in January 2020, Kohler announced to launch five new kitchen & bathroom products including Moxie showerhead & smart speaker, Aquifer Refine water purification system, etc., to strengthen its foothold in the market. Key market players in the market are Andersen Corporation, APCO Industries, Ferguson Enterprises, ABC Supply, The Sherwin-Williams Co., JELD-WEN, Masco Corp., Kohler Co., Pella Corporation, etc.