flexiblefullpage - default
interstitial1 - interstitial
Currently Reading

2023 Game Plans: Modest Growth Expected in Bathroom Remodeling Market

Advertisement
billboard -
Business

2023 Game Plans: Modest Growth Expected in Bathroom Remodeling Market

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year


By Brad Hillier January 13, 2023
remodeling bath market
Photo: Tomasz Zajda | stock.adobe.com
This article first appeared in the January/February 2023 issue of Pro Remodeler.
brad hillier rebath
Brad Hillier
CEO, Re-Bath
National

Industry Growth

My expectation is that growth in the bathroom remodeling market will be modest in 2023—flat to low single digits. The increasing rates will lead to more people staying in their homes, which tends to result in more remodeling activity. However, with the increased cost of borrowing, the market might see the opposite effect on larger ticket items like bathrooms.

 

Re-Bath Growth

We’re planning to outperform the market because of the way our business model is built around marketing and the amount of additional funds that we’re putting toward those efforts. So, we’re projecting growth in the 18-20% range for 2023 and plan to take market share.

We need to return to fighting to win jobs by focusing on the value we’re adding for the customer.

Challenges

I’m a little bit nervous about the capital markets. With the interest rates going up, will the financing companies be able to get the spreads that they’re looking for? Or will they start to tighten their policies around credit scores?

We might start to see some restrictions on lower credit score individuals and whether we can get them financed or not. That could be a challenge that we’re facing because 40-45% of our projects are financed through our finance partners, and another portion is financed through individual customer HELOCs and other programs like that.

 


RELATED: 2023 Game Plans: Less Growth, More Marketing


Focus

The frenzy we’ve seen in the market over the past couple of years is over. Everyone was so busy that they didn’t really need to follow up with customers.

We’re going to see more patient consumers who will take longer to make decisions and commit to bathroom remodeling projects.

We need to return to fighting to win jobs by focusing on the value we’re adding for the customer, as opposed to sort of taking orders like we have been the past couple of years.

Our salespeople will need to adjust and be patient with the consumer, and respond in meaningful ways as they think about spending money with us.

That’s a pivot in mindset that some people will have a difficult time making.

 

Read all 2023 Thought Leader predictions and game plans here


Add new comment

Plain text

  • No HTML tags allowed.
  • Web page addresses and email addresses turn into links automatically.
  • Lines and paragraphs break automatically.

Related Stories

What Kind of Business Are You In? (Is it Really Remodeling?)

The answer to that question is not as obvious as you might think

How to Have a People-First Company

On this episode of Remodeling Mastery, industry advisor Mark Richardson dives into the importance of your people and how to ensure a focus on their success

5 Areas to Reassess for Business Success

Give these key business areas your intellectual horsepower moving into the new year 

What's Your Game Plan for 2023?

Key industry influencers weigh in on what the future holds

2023 Game Plans: Invest in Your People

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year

2023 Game Plans: Year of Concerns and Opportunities

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year

2023 Game Plans: Less Growth, More Marketing

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year

2023 Game Plans: Larger Remodelers Benefit Most as Lead Times Shorten

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year

2023 Game Plans: Extra Vigilance Amongst Continuing Challenges

Remodeling industry Thought Leaders share their perspectives on growth, challenges, and plans for the new year

All We Know

Pro Remodeler's director of content talks consumers pulling back and what she's heard from remodelers across the country

Advertisement
boombox1 -
Advertisement
native1 -

More in Category




Advertisement
native2 -
Advertisement
halfpage1 -