Tiling and Carpeting Services in Australia Industry Market Research Report Now Updated by IBISWorld

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Divergent investment trends in key building markets over the past five years have contributed to the Tiling and Carpeting Services industry's subdued performance. For this reason, industry research firm IBISWorld has updated its report on Tiling and Carpeting Services industry in Australia.

IBISWorld Market Research

IBISWorld Market Research

The current upswing in new housing construction is expected to continue in the short term, supported by continued low mortgage interest rates and solid housing demand driven by growth in population and household discretionary income.

The Tiling and Carpeting Services industry generates revenue from installation work on most types of building projects. According to IBISWorld industry analyst Anthony Kelly, “the divergent investment trends in the key building markets over the past five years have contributed to the industry's subdued performance.” The industry has also faced competition from unskilled DIY home renovators. Demand for industry services is influenced by trends in household discretionary income and the outsourcing of household services. Industry revenue is projected to average flat growth (0.0% annualised) over the five years through 2014-15, to total $3.9 billion , influenced by the minor contraction in the value of total building construction (particularly non-residential buildings) and the weaker than average growth in household discretionary income. The housing construction and non-residential building markets have displayed wide cyclical fluctuations. These fluctuations initially stemmed from the global financial crisis and the subsequent tightening of investment into building projects. They were also influenced by the injection and withdrawal of government stimulus spending on institutional buildings and first home owner grants.

During 2014-15, the industry is projected to record revenue growth of 2.7% in response to the improved demand conditions in the downstream housing and non-residential building markets. This is expected to lift direct employment to 21,300 people in 2014-15 in 13,850 enterprises (the addition of 265 jobs). The industry's performance is forecast to improve over the next five years. Investment into the commercial and industrial property market is expected to strengthen as the economy gathers momentum and business confidence is restored. “The current upswing in new housing construction is expected to continue in the short term, supported by continued low mortgage interest rates and solid housing demand driven by growth in population and household discretionary income,” says Kelly.

The Tiling and Carpeting Services industry has a low concentration of ownership, with the four largest contractors generating much less than 10% of annual industry revenue. The industry is characterised by its many small-scale contractors, which typically comprise just the working proprietor and partner. The industry has a highly fragmented structure. Few contracting firms operate in more than one state or territory and these firms do not hold a dominant position in the market. The majority of enterprises have no paid employees (68.7%) and operate mainly as sole proprietorships or partnerships. Only 0.2% of contractors employ more than 20 people. Similarly, about 80% of businesses generate annual revenue of below $200,000 and less than 2% generate more than $2 million.

For more information, visit IBISWorld’s Tiling and Carpeting Services industry in Australia report page.

The industry consists of operators mainly engaged in laying or setting wall or floor tiles. Wall and floor tilers lay ceramic, clay, slate, marble, glass and other types of tiles on external and internal walls and floors to provide protection and decorative finishes. The industry also includes businesses mainly engaged in carpet or carpet tile laying.

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IBISWorld industry Report Key Topics

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.

Recognised 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 Australian 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 Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.

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Gavin Smith
IBISWorld
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