Home Improvement Market Analysis

Home Improvement Market Analysis

Based on the project, the global market is classified into DIY and DIFM. The DIY segment is expected to grow at the highest CAGR of 6.2% during the forecast period from 2024-2032. DIY projects allow individuals and homeowners to do various tasks on their own using a variety of tools, equipment, and appliances, while also saving money. These can be used by cost-conscious customers looking for a budget-friendly but visually beautiful home area. These projects are solely focused on end users, with no third-party involvement.
 

Based on end use, the global home improvement market is classified into kitchen improvement & additions, bath improvement & additions, system upgrades, exterior replacements, interior replacements, property improvements, disaster repairs, and other room additions & alterations. The exterior replacements end-use segment dominated the market, accounting for 18.1% of the market in 2023, due to changing customer preferences for outdoor leisure activities. Exterior improvements, such as newly painted walls, improved windowpanes and doors, and garden accessories, offer unique value to a home's appearance while also improving performance and structure.
 

For example, siding is a popular exterior renovation among homeowners since it improves the appearance and outlook of their homes. Consumer preferences for polymer and vinyl sidings that resemble true wood grain will fuel segment expansion.
 

In the global home improvement market, North America held a significant market share of USD 464.3 billion in 2023, maintaining its dominant position throughout the analysis period. It is projected to reach USD 669.6 billion by 2032 as homeowners are increasingly spending on renovations and enhancements as property values rise and the housing stock ages. This trend is accelerated by the introduction of smart home technologies and energy-efficient solutions, which are increasing the demand for modern home improvement items.
 

The U.S. accounted for USD 392.9 billion in 2023, due to expanding construction sector and the rise in construction expenditure attributed to the increasing disposable income in the U.S. According to the Federal Reserve Bank of St. Louis, the state's per capita personal income raised from USD 64,174 in 2019 to 77,036 in 2022.
 

China dominates the Asia Pacific home improvement market, accounting for 48% of market share in 2023 and is expected to grow at a CAGR of 8.2% during the forecast period from 2024-2032. This expansion is fueled by expanding urbanization, rising disposable incomes, and a burgeoning middle class. Furthermore, growing government investments in infrastructure and housing, along with a strong trend toward homeownership, are driving up the demand for home renovation products and services.