New Geographic Insights from the NKBA | KBIS Q2 2024 Kitchen & Bath Market Index Report
By NKBA Editorial Staff
For the first time, the Q2 2024 Kitchen & Bath Market Index report includes geographic insights by segment, offering another layer of information about emerging regional trends.
Q2 2024 sales for the K&B industry slowed across much of the country, including the Southwest (-5 percent year-over-year) and Southeast (-3 percent), with the exception of Florida (+6 percent). Modest growth was reported in the Northwest (+2 percent), Midwest (+1 percent) and Northeast (+2 percent) regions.
Other trends emerging from K&B firms across the nation included:
“Missing Middle” on the West Coast
California firms surveyed repeated the theme of a bifurcated market – demand remains strong for high-end renovations, while homeowners are more hesitant about pursuing mid-sized renovation projects right now.
Pockets of Growth in the Southwest
Southwest firms described pockets of strength for new construction K&B activity, and many expect a return to broader growth by the end of the year.
Consumer Uncertainty in the Northwest
Consumer uncertainty dampened activity in the Northwest, with high prices and interest rate pressures weighing heavily. Idaho was a notable bright spot in terms of demand.
Labor Concerns in the Midwest
In the Midwest, lack of skilled labor remains a chronic concern and a barrier to moving forward with major K&B renovations.
Northeast Remains Resilient
Northeast firms report slowing sales but continued resilience from wealthier segments. Millennials, though generally budget-conscious, are providing an unexpected boost – defying a trend seen in other parts of the country.
A Mixed Bag in the Southeast
Southeast firms report mixed conditions; some see continued strength, while others cite consumer hesitancy. High-end remodeling in Florida remained strong, perhaps fueled in part by homeowners who have recently resettled from other parts of the country.
“While market conditions and trends vary from region to region, there are some consistent themes that will probably come as no surprise to industry professionals,” said Bill Darcy, Global President & CEO, NKBA | KBIS. “Many homeowners are still being cautious about spending, and the youngest homeowners, in particular, are turning to online merchants and seeking better deals from contractors. Meanwhile, Boomers tend to be the most reliable consumers and are, in many ways, continuing to drive modest growth in the K&B sector.”
You can read more insights from K&B companies across the country by downloading the Q2 2024 NKBA/ John Burns Kitchen & Bath Market Index (KBMI) report here.
