Swimming Pool Equipment Stores in the US Industry Market Research Report from IBISWorld has Been Updated

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The combined effects of the real estate market collapse and declining disposable income during the recession adversely affected demand for aboveground pools, chemicals, equipment and recreational pool items, which led to consistent industry revenue declines; in the next five years, the industry will benefit from a rebound in the construction sector and rising per capita disposable income among consumers. For these reasons, industry research firm IBISWorld has updated a report on the Swimming Pool Equipment Stores industry in its growing industry report collection.

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Rising chemical prices reduced profit and drove some operators out of the industry

In 2013, the Swimming Pool Equipment Stores industry is expected to record $5.1 billion in revenue. Over the past five years, the industry has grown a muted average annual rate of 0.6%. The combined effects of the real estate market collapse and declining disposable income during the recession adversely affected demand for aboveground pools, chemicals, equipment and recreational pool items, which led to consistent industry revenue declines. With the real estate market in the greatest downturn since the Great Depression, installations of new swimming pools and hot tubs declined significantly, leading to lower demand for the industry's retailers. The revenue decline was mitigated, however, by continued demand for maintenance and replacement parts for existing swimming pools. Moreover, in 2010, the economy and the residential real estate market turned the corner, yielding greater demand for retailers. According to IBISWorld industry analyst Caitlin Moldvay, in 2013, revenue is forecast to rise 2.5%, countering poor performance during the recession and slow recovery period.

The Swimming Pool Equipment Stores industry exhibits a low degree of market share concentration. The industry is highly fragmented. Over the five years to 2013, the number of swimming pool equipment stores is estimated to increase at an average annual rate of 0.3% to an estimated 5,523 stores. Although adverse conditions during the recession prompted a number of store closures, during the recovery period the number of pool equipment stores began to increase, given more favorable demand conditions, continues Moldvay. The largest operator in the industry is Leslie's Poolmart Inc. Most swimming pool equipment stores are privately owned and operate within narrow local and regional markets. However, intensified competition has caused an increase in merger and acquisition activity over the past five years. Leslie's Poolmart, for example, acquired four firms during the period, including Warehouse Pool and Supply in 2013. The prior year, Leslie's Poolmart acquired the retail stores of competitor Shasta Pool & Spas. In August 2011, Leslie's bought Jasper's Clear Pool Wholesale Supply Co., a Phoenix-based supplier and service firm geared toward the commercial market. In September 2010, it acquired Solutions by Self Chem, a retailer based near Austin, TX. IBISWorld expects market share concentration to increase over the next five years.

In the five years to 2018, the Swimming Pool Equipment Stores industry will benefit from a rebound in the construction sector and rising per capita disposable income among consumers. Over the five-year period, housing starts are projected to rise as low interest rates and pent-up demand foster growth in the real estate market, which will lead to a greater number of swimming pool installations. These healthy trends will cause revenue to grow over the next five years. For more information, visit IBISWorld’s Swimming Pool Equipment Stores in the US industry report page.

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IBISWorld industry Report Key Topics

Companies in this industry primarily sell aboveground swimming pools and hot tubs as well as swimming pool equipment, including pool chemicals, cleaning and maintenance equipment and recreational items intended for swimming pool use.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

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Gavin Smith
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