Cruising on: The industry is expected to benefit from new housing construction

The Paving Contractors industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.


Market Share of Companies
There are no companies with a dominant market share in this industry
Industry Statistics & Market Size
Annual Growth
Annual Growth

Industry Threats & Opportunities

  • Low interest rates will keep borrowing costs low and encourage new housing construction
  • The residential market provides a substantial amount of business and accounts for an even larger portion of demand
  • The commercial segment is expected to be the largest source of potential industry growth
  • Industry Analysis & Industry Trends

    At the aggregate level, over the five years to 2017, low interest rates, favorable tax breaks and more affordable prices have helped the housing market improve following the financial crisis bolstering the need for pavers to complete driveways for new homes, benefiting demand for industry services. As the residential and nonresidential markets continue to improve, IBISWorld estimates revenue for the Paving Contractors industry to increase during the five-year period. The five years to 2022 will be characterized by a more organic period of growth, with the residential segment slowing considerably while commercial segments shake off the effects of poor corporate profit levels. Low interest rates will keep borrowing costs low and encourage new housing construction.

    Industry Report - Industry SWOT Analysis Chapter

    The Paving Contractors industry is in the mature stage of its economic life cycle. The industry is characterized by a stable product segment and an established customer base. Industry value added (IVA), which measures an industry's contribution to the overall economy, is expected to increase at an annualized rate of 2.8% over the 10 years to 2022. In contrast, US GDP is projected to grow at an annualized rate of 2.0% over the same period. While this industry is expected to grow faster than the overall economy, the growth is skewed due to the industry's dependence on the residential construction sector, which was more adversely affected than the general economy during the recession.

    The industry provides paving services for the residential and commercial segment. Cus

    Additional Insights for the Paving Contractors Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Paving Contractors Industry are

  • Having links with suppliers
  • Provision of superior after sales service
  • Ability to expand and curtail operations rapidly in line with market demand
  • IBISWorld analysts also discuss how external factors such as Housing starts and Number of businesses in the Paving Contractors industry impact industry performance..

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    Industry Products

    What is the Paving Contractors Industry?

    This industry comprises establishments that specialize in the paving of residential and commercial driveways and parking areas. Establishments in this industry typically use asphalt, concrete or brick when performing their paving services. Excluded from this industry are operators that pave streets and highways; these services are part of the Street and Highway Construction industry (IBISWorld report 23731a).

    Industry Products
    Industry Activities
    Paving residential driveways
    Paving commercial parking areas
    Applying sealants to enhance pavements appearance
    Repairing cracks in driveways and parking areas

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Housing starts
  • Number of businesses
  • Private spending on home improvements
  • Value of private nonresidential construction
  • Value of residential construction

  • Current Performance
  • Housing markets
  • Commercial demand lags that of residential
  • Profit and industry landscape
  • Chart: Revenue Growth

  • Industry Outlook
  • Complete recovery
  • High-end driveways
  • Profit increases
  • Table: Paving Contractors Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Paving Contractors Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Land Development
  • Home Builders
  • Apartment & Condominium Construction
  • Industrial Building Construction
  • Commercial Building Construction

  • Key Selling Industries
  • Asphalt Manufacturing
  • Cement Manufacturing
  • Clay Brick & Product Manufacturing
  • Ready-Mix Concrete Manufacturing
  • Stone, Concrete & Clay Wholesaling

  • Products & Services
  • Asphalt
  • Concrete
  • Other
  • Chart: Paving Contractors Industry Products and Services Segmentation

  • Demand Determinants
  • Residential market
  • Commercial market

  • Major Markets
  • Single-family homes
  • Commercial
  • Multi-family residences
  • Chart: Major Market Segmentation for the Paving Contractors Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent and depreciation
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Paving Contractors

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Paving Contractors Industry

  • Industry Globalization
    Major Companies
    There are no major players in this industry
    Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Paving Contractors Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Paving Contractors Industry
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Value of private nonresidential construction (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Jargon & Glossary
  • Sand, gravel or crushed stone materials, which are combined with cement and water to create concrete.
  • Agitator
  • A device that mixes cement, sand or gravel and water to form concrete. More commonly referred to as a cement mixer.
  • Sealer
  • A substance that is applied to paving materials to repel water and prevent UV degradation.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Paving Contractors:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Paving Contractors market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Paving Contractors, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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