Report Price: $1995
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The National Kitchen & Bath Association has just completed a second revamp of its annual Market Outlook report. It reflects the latest impact of COVID-19 on the industry as well as on the overall economy. The report provides a thorough assessment of the U.S. kitchen and bath industry, including a gauge of current market size and a forecast for the entire year. NKBA commissioned the John Burns Real Estate Consulting firm to conduct the study. They used a variety of government and industry sources, internal forecasting models, and a survey of over 1,000 consumers involved in or considering a kitchen or bath remodel to arrive at their findings.
Consumers increasingly cite needing “more functional space” as a primary motivation to remodel. Not surprising as nine in 10 households who had an adult working from home during Q1 report they are still working from home “most of the time.”
Key Takeaways
- Full year K&B revenues have been revised upward to $139 billion, just 6% below 2019 and a solid improvement over the 11.7% shortfall expected in the previous revision.
- New construction is forecast to be down by 3% full year, with remodeling to drop nearly 10%.
- By remodel type, almost all of the shortfall will come from kitchens, which are projected to be off by 12% vs. under 1% for bathrooms.
- DIY projects have been rising, representing 35% of all projects in Q2, up from 25% in Q1
Additional Topics Covered
- Impact of COVID-19 by project size (low-end, mid-range, luxury)
- Consumer usage of designers during the pandemic
- Housing industry trends that affect K&B
- COVID-19 and project spending
- Current consumer K&B project motivations and obstacles
- Big ticket vs. small ticket item upgrades