NKBA/John Burns Kitchen & Bath Market Index (KBMI) – Q4 2022

NKBA/John Burns Kitchen & Bath Market Index (KBMI) – Q4 2022

The NKBA/John Burns Kitchen & Bath Market Index (KBMI) is a quarterly gauge of current and future market conditions within the kitchen and bath industry. A total of 474 industry professionals participated in the study from the four primary industry sectors – Design (38%), Building & Construction (21%), Manufacturing (22%), and Retail (19%). The report includes key measures used to identify industry trends, strengths, and weaknesses. Additionally, the report demonstrates the latest adjustments in the market and provides valuable insights into the ever-changing opportunities for growth within the industry, as well as the challenges that industry professionals are experiencing.

Key Takeaways

• The industry, once again, continues to see a deceleration as the KBMI and two of the three component measures registered slight declines compared to Q3.
• When looking at results year over year, the KBMI and all component measures have realized significant declines.
• The prediction is for smaller projects in 2023. Planned projects are being broken down into smaller, more affordable ones by clients. Projects with higher budgets are most at risk of being postponed or canceled.
• Future conditions rating has seen a slight increase in Q4 compared to Q3 in 2022, and industry professionals expect Q1 2023 to increase by 2.7% from Q4. This outlook, coupled with industry headwinds and increasing risk, tells a story of increasing confidence in the future.
• Despite project cancellations and increasing economic challenges, most K&B professionals report a 6.5% increase, on average, in year-over-year project completions.

Additional Topics Covered

• Measures taken to prepare for the possibility of a downturn
• Top challenges and concerns industry professionals are currently facing
• Expectations and outlook of the kitchen and bath industry by segment
• Kitchen and bath price expectations for 2023