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Five Facts You Should Know About the Home Improvement Industry

The home improvement industry is huge, with thousands of dollars being invested into it every year. It is an umbrella term for services such as renovations, repairs, maintenance, and remodeling. Homeowners are investing more and more into projects that increase the value of their homes. If you are thinking of making an entry into this market, either by pursuing house-building franchise opportunities or starting your own independent business, here are some key takeaways that you should keep in mind about this industry:

1. The home improvement industry is growing more than ever.

Anyone interested in investing in this sector would be pleased to know that the industry is growing at unprecedented rates. According to Harvard’s Joint Center, Americans spend a whopping 383 billion dollars each year on home improvement alone. Still, it is growing at a rate of six percent every year. This makes this sector lucrative for many business owners hoping to make an entry. According to these statistics, remodeling and maintenance are the two biggest and fastest-growing segments within the industry. Some reports say that people are also starting to take an interest in lighting innovations. Much of this growth is driven by women consumers, who spend 50% more than male consumers on home improvement projects, and they are only spending more day by day.

2. Boomers and millennials have different home improvement goals.

The emergence of millennials as a large market segment has also left its marks on the home improvement industry. The spending and investment habits of millennials are different from those of baby boomers. It can be seen that boomers are more interested in large-scale, luxurious remodeling projects such as basement renovations and pool installations. These are things they expect will add value to their retirement homes. On the other hand, millennials are more likely to pursue DIY types of projects, and they also invest in smaller home improvement projects for their starter homes. They are more interested in different types of remodeling such as those that add sustainability or artistic and creative appeal to their homes.

3. Smart home technologies are becoming increasingly important.

Workers preparing paint for the house

It turns out that technological advances are shaping almost every business sector. The home improvement industry is one of the early adopters of novel technology. Young professionals are spending thousands of dollars on turning their homes into “smart homes.” These are fully automated homes that support a number of intelligent devices such as lights that turn on and off on their own, fridges that alert you to low quantities of food, and heaters that turn on when the electricity bills are at their lowest. Smart technology relies on seamless wireless integration. This means that people are spending money on upgrading their devices. Overall, it increases energy efficiency in the house.

This is a booming industry for those thinking of starting a business. There are many niche sections arising such as tiny homes, sustainable homes, and homes made of interesting materials. These are all potential markets to tap into if you are feeling bold.

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