Week 10: 10 Positive Developments for Home Improvement

  • Categories:

    COVID-19 Response

  • Date:

    May 22, 2020

Week 10: 10 Positive Developments for Home Improvement

COVID-19 Response

We’ve made it to the end of Week 10. Of course, if you’re responsible for marketing in the home and building category — or almost any industry — it may feel like Week 100. Market shifts and pandemic news come fast and furious, and keeping up with it all is enough to exhaust even the strongest, most quick-thinking brands.

But just as businesses begin to reopen and consumer confidence strengthens, so does the outlook for home improvement and the economy. That light at the end of the tunnel? It’s still shining, and it’s getting a little brighter every day. Here’s a quick rundown of the week’s positive developments (for a closer look, download a free copy of our latest weekly POV).

As of May 22:

  1. Homebuilder confidence is up seven points (to 37) in May. (LBM Journal)
  2. All Housing Market Index (HMI) indices also posted gains in May: Current sales conditions increased six points (to 42), sales expectations in the next six months jumped 10 points (to 46), and traffic of prospective buyers rose eight points (to 21). (LBM Journal)
  3. In March, single-family permits were up 19% year over year. (National Association of Home Builders)
  4. Year to date, the total number of multifamily permits issued nationwide is 1.6% ahead of the March 2019 level of 107,248. (National Association of Home Builders)
  5. The worst may be behind contractors: They’ve seen certain areas level off and even some positive signs of activity. (The Farnsworth Group)
  6. Online purchases continue to increase among residential contractors. (The Farnsworth Group)
  7. The percentage of DIYers doing projects continues to hold steady. (The Farnsworth Group)
  8. Home Depot and Lowe’s are doing well despite COVID-19, according to Q1 2020 earnings calls. In particular, online growth for both companies approached 80%. (Business Insider)
  9. The decline of in-store purchases has leveled off, while online purchases continue to increase. (The Farnsworth Group)
  10. In the U.S., 34% of consumers expect an economic rebound within two to three months. (McKinsey)

As a reminder, on a weekly basis, Wray Ward will continue to publish timely information, trends and advice related to the coronavirus.*

If you have questions or want to discuss specific next steps for your brand, please feel free to contact me.

*All statistics as of May 22, 2020.

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