According to the National Kitchen & Bath Association (NKBA), kitchen and bath dealers remain undeterred following a challenging quarter across various industry market conditions including showroom visits, sales volumes, remodeling budgets and revenue. The NKBA Kitchen & Bath Market Index (KBMI), which forecasts the confidence of kitchen and bath dealers on a scale of -60 to +60, is +21 for Q3 2011. While positive, the +21 KMBI is down slightly from +33 and +37 during the second and first quarter of 2011, respectively.
That's a sharp contrast with recent builder and remodeler indices, which have found them to markedly negative about current and future market conditions.
“Despite relatively flat market conditions during the second quarter, the kitchen and bath dealers did report positive increases in revenue quarter-over-quarter and year-over-year, which certainly helps encourage cautious optimism,” stated Bill Darcy, executive vice president of the NKBA. “However, the reality of high unemployment and low consumer spending suggest that the kitchen and bath industry along with many others will continue to face a tough road in the near future.”
NKBA KBMI Methodology
The NKBA KBMI is determined by averaging expectations of NKBA member kitchen and bath dealers during the next quarter based on expected increases (+1), decreases (-1) or no change (0) in each market condition. That total is divided by the number of dealers surveyed and multiplied by 10, which gives the KBMI a range of -60 (pessimistic) to +60 (optimistic). The NKBA KBMI surveys approximately 150 kitchen and bath dealers across North America each quarter.
NKBA KBMI Highlights
- Showroom visits
- Down 18 percent from previous quarter; up 15 percent from previous year
- 51 percent anticipate an increase in Q3; 5 percent anticipate a decline
- Kitchen remodels sales volume
- Up 1 percent from previous quarter; up 21 percent from previous year
- 55 percent anticipate an increase in Q3; 4 percent anticipate a decline
- Kitchen remodeling prices
- Up 11 percent from previous quarter; down 6 percent from previous year
- 18 percent anticipate an increase in Q3; 7 percent anticipate a decline
- Bathroom remodel sales volume
- Up 2 percent from previous quarter; up 7 percent from previous year
- 44 percent anticipate an increase in Q3; 2 percent anticipate a decline
- Bathroom remodeling prices
- Down 13 percent from previous quarter; down 15 percent from previous year
- 18 percent anticipate an increase in Q3; 6 percent anticipate a decline
- Kitchen and bath revenue
- Up 6 percent from previous quarter; up 8 percent from previous year
- 49 percent anticipate an increase in Q3; 8 percent anticipate a decline
Related Stories
Harvard Says Remodeling Spending Downturn to Slow
Could the drop in remodeling spending from post-COVID levels regulate soon?
The Latest Data on Construction's Workforce
To close the housing deficit in the United States, the industry needs more skilled workers. Here's where construction's workforce stands
The Remodeling Market Could Turn in Q4, Says Harvard
Repair and remodeling spending could see an uptick at the end of the year
Building Materials Show Stability in 2023
Although supply chain bottlenecks have eased in recent months, shortages of some key materials persist.
Design Trends to Watch in 2024
What’s in and out for the upcoming year? Remodeling designers share insights
Remodeler Sentiment Remains Positive
Surveys reveal a strong outlook, and how the aging population will lift remodeling
Next Year to Challenge Remodeling, Says Harvard
The latest LIRA report predicts greater decrease in home improvement and remodeling spending
Top Siding and Window Colors for 2024
A recent survey identifies the top siding and window color choices for American homeowners
What Does the Past and Present of Remodeling Tell Us About the Future?
On this episode of Remodeling Mastery, industry advisor Mark Richardson shares bits of his keynote presentation at The Pinnacle Experience, highlighting different elements that shape the immediate future of the remodeling market
Remodeling Loan Data Reveals Geographical, National Trends
An analysis of loan data shows the most popular, and least popular, states for home improvement