Industry Analysis & Industry Trends
In the five years to 2016, industry revenue is expected to rise. This growth is largely due to the industry's recovery from recessionary lows as well as the overall health of the economy. Rising confidence in the economy and higher incomes have encouraged households to make bigger purchases, and housing starts are expected to increase. With higher disposable income and increasing housing units, consumers and professionals have undertaken more home improvement projects boosting industry revenue growth. As the US economy continues to strengthen, the Home Improvement Stores industry is well positioned to experience continued growth over the next five years. The number of housing starts is expected to increase, further boosting demand for home improvement supplies... purchase to read more
Industry Report - Industry Investment Chapter
In 2016, for every dollar spent by operators in the Home Improvement Stores industry on wages, $0.09 will be allocated toward depreciation costs. As a result, the industry is labor intensive, and exhibits only a low degree of capital intensity.
Home improvement store operators must invest in fixtures and fittings, cash registers and point-of-sale (POS) systems. Over the past 10 to 15 years, the industry has undergone considerable change with the implementation of computer scanning technology, which has reduced inventory, minimized the level of human error in processing purchases, and simplified labor tasks, freeing up labor to do more value-added work. POS.. purchase to read more