Home Improvement Stores in Canada Industry Market Research Report from IBISWorld Has Been Updated
New York, NY (PRWEB) October 21, 2014 -- The Home Improvement Stores industry is characterized by its homogeneous product lines, which leads to high price competition among players. As a result, the industry is dominated largely by a few key companies that use their economies of scale to accumulate and maintain high market shares. Industry demand is mostly derived from consumers working on do-it-yourself (DIY) projects, with the remaining demand derived from do-it-for-me (DIFM) projects and professional clients. According to IBISWorld Industry Analyst Omar Khedr, "in the years prior to the recession, the industry's large players expanded their offerings to include complementary services, such as window and roof installation." These complementary service offerings helped the industry weather the worst effects of the recession.
Due to heightened price sensitivity among consumers, increased external competition and volatility across new downstream construction markets, the Home Improvement Stores industry has experienced a slow recovery aided by widening consumer incomes and an increase in residential renovation. However, the sharp reduction in housing starts during 2013 halted strong revenue growth for that year, despite an increase in residential remodelling expenditure. Nonetheless, in 2014, housing starts are expected to increase, and residential renovation expenditures are expected to rise, leading to an increase in industry revenue during the year. In the five years to 2014, industry revenue is expected to drop.
"Growing construction activity and rising consumer incomes will enable the industry to grow during the next five years," says Khedr. In addition, the aging baby boomer generation is expected to increase the demand for complementary services as they increasingly switch from the DIY market to the DIFM market. The industry's multinational players are expected to continue expanding their market shares as they leverage technological developments to reduce cost (through inventory tracking and automated checkout) and drive demand (through customer purchase tracking).
For more information, visit IBISWorld’s Home Improvement Stores in Canada industry report page.
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IBISWorld industry Report Key Topics
The Home Improvement Stores industry sells a broad range of home repair and maintenance goods, like hardware, tools and electrical goods, as well as lumber and structural material for construction and renovations. Operators purchase goods from domestic and international manufacturers and wholesalers and sell them to end users, such as do-it-yourself consumers and professional contractors. Stores that focus on a specific area, like flooring or wall coverings, are excluded from this industry.
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 and Canadian 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.
Gavin Smith, IBISWorld Inc., http://www.ibisworld.com, +1 (310) 866-5042, [email protected]
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