First Research US Industry Profile

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Building Material Dealers
SIC Codes: 5211
NAICS Codes: 4441
Last Quarterly Update: 8/15/2022
Companies in this industry are primarily engaged in retail sales of new building materials and supplies. Major companies include Home Depot, Lowe's, and Menards (all based in the US), as well as Beijing Easyhome Investment Holdings Group and Red Star Macalline (both based in China), Home Improvement Hirose (Japan), Kingfisher (UK), Bauhaus and Tengelmann-owned OBI (both based in Germany). Some independently owned stores belong to wholesale cooperatives, such as Ace Hardware and True Value Company in the US, that buy materials in bulk and resell them to members.
The do-it-yourself (DIY) home improvement retailing market is expected to grow by $143.3 billion?during 2020-2024 with compound annual growth rate of over 4% during the forecast period, according to Technavio.
The US building materials dealer industry includes about 57,000 establishments (single-location companies and units of multi-location companies) with combined annual sales of about $304 billion. The industry includes home centers and hardware stores and paint and wallpaper stores, which are covered in separate industry profiles, as well as specialized building material retailers such as electrical supply and plumbing supply stores.
Competitive Landscape
Demand is driven mainly by residential real estate construction and renovation. The profitability of individual companies depends on merchandising and customer service. Large companies enjoy economies of scale in purchasing and have the ability to offer more products. Small companies can compete effectively by catering to contractors, by offering specialty products and services, and by serving areas unattractive to larger companies because of limited customer concentration. While store location continues to be a key competitive factor, digitization and the ease of online shopping make omnichannel capabilities increasingly important to success. The US industry is concentrated: the 50 largest companies account for about 65% of industry revenue.
Products, Operations & Technology
Major products are hardware and hand tools (45% of revenue), plumbing and electrical supplies (about 20%), paint and sundries (nearly 10%), as well as ... plus:
Sales & Marketing
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Finance & Regulation
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Regional & International Issues
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Human Resources
Also includes the following chapters:
Quarterly Industry Update
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Industry Indicators
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Business Challenges
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Trends and Opportunities
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Call Preparation Questions
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Financial Information
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Industry Forecast
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Industry Websites
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Glossary of Acronyms

Historical Profiles (PDF format)

01/31/2022
10/25/2021
08/02/2021
05/10/2021
03/01/2021
12/14/2020
10/26/2020
08/24/2020
04/27/2020
09/23/2019
04/15/2019
01/14/2019
10/08/2018
07/09/2018
04/09/2018
01/01/2018
09/18/2017
06/12/2017
03/13/2017
12/05/2016
09/05/2016
06/06/2016
03/07/2016
11/30/2015
08/31/2015
06/15/2015
03/16/2015
12/15/2014
09/22/2014
06/30/2014
03/31/2014
01/06/2014
09/30/2013
07/08/2013
04/15/2013
01/21/2013
10/15/2012
07/30/2012
05/07/2012
02/06/2012
10/24/2011
07/25/2011
04/04/2011
01/03/2011
09/27/2010
06/28/2010
03/22/2010