by Peter Kusnic
July 12, 2021
In the US, DIY home renovations saw strong increases in 2020 during the COVID-19 pandemic, and home organization was among consumers’ top projects. A Freedonia Group survey conducted in November-December 2020 found that 38% had bought home organization products in the past 12 months:
This trend is expected to continue for the early part of 2021, maintaining the high level in sales seen in 2020. Through 2025, however, sales of DIY products are expected to increase at a slower pace than professionally installed types. This is due in part to the spike seen in 2020, but also to a shift away from pandemic-related precautions. Consumers will continue to opt to hire a professional for custom finishes or sophisticated product designs that potentially increase the value of a home.
What’s in store for the $12 billion US market for home organization products going forward? We highlight some of the key trends from a new Freedonia Group analysis.
Through 2025, the DIY segment will continue to account for a much larger share of home organization product sales than the professional market due to the:
Further opportunities for manufacturers of DIY products will result from:
The faster anticipated growth in professionally installed products through 2025 is a result of pre-pandemic trends, including:
The second quarter of 2020 was difficult for professional operations as the COVID-19 pandemic spread across the US. Consumers opted to delay or cancel jobs, while some operations were left without enough workers or were limited by government orders regarding “essential” businesses. While these challenges have continued to some extent into 2021, a new emphasis on improving the functionality of homes, including creating spaces that can serve multiple purposes, will spur gains going forward.
The Freedonia Group Survey from November-December 2020 found that home organization purchasing habits in the past twelve months varied across various demographic segments:
As would be expected during the COVID-19 pandemic, the top reasons for buying home organization products in the past year was to improve a home office space, or set up a new one. Similarly, setting up home study space for telecommuting schoolkids also was a primary reason for purchases.
Still, evergreen reasons unrelated to the pandemic – such as replacing or upgrading an existing piece – accounted for a large number of purchases. Additionally, a sizable share of respondents needed the item for home remodeling projects.
Want to Learn More?
Home Organization Products is now available from the Freedonia Group.
About the Author:
Peter Kusnic is a Content Writer with The Freedonia Group, where he researches and writes studies focused on an array of industries.
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