Freedonia Market Research Analyzes Cabinets Industry

US demand for cabinets is forecast to expand 3.9 percent per year through 2012 to $18.5 billion.  A rebound in new housing construction from a low base as well as building design trends that lead to greater cabinet use per residence will support new residential cabinet demand.  In improvement and repair applications, which are the single largest end use for cabinets, demand will be aided by ongoing growth in spending through 2012.  Changing consumer preferences in cabinet design and various demographic factors -- such as an aging US population that has the financial wherewithal to finance renovation projects -- will also support demand.  In the nonresidential market, a healthy outlook for both new construction and renovation activity will bolster cabinet demand through 2012. These and other trends, including market share and company profiles, are presented in US Cabinets, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

Kitchen cabinets, which represented about 85 percent of cabinet shipments in 2007, will benefit from a continuing trend toward using more cabinets to provide increased utility, as well as from an expanding range of kitchen cabinet styles and options.  In addition, the rising use of kitchen-type cabinets in other rooms of the home (e.g., laundry rooms and media rooms) will also aid increases.  Shipments of bathroom cabinets will offer slightly stronger growth prospects through 2012, supported by design trends such as larger bathrooms and a greater number of bathrooms per house, as well as by a recovery in new housing construction and ongoing gains in improvement and repair expenditures.  Demand for other types of cabinets will be led by the strong performance of garage and nonoffice (e.g., laundry, hobby and mudroom) cabinets, which will benefit from the ongoing popularity of built-in cabinetry where it has not been traditionally used.  In addition, store display fixtures and other cabinets will see growth, bolstered by a healthy construction environment in the nonresidential market.

Residential buildings accounted for the largest share of cabinet demand in 2007, with 81 percent.  The residential market will continue to hold this leading position through 2012, given its greater intensity of cabinet use compared to nonresidential and nonconstruction markets.  In addition, improvement and repair activity is often aided by consumers’ changing aesthetics.  Through 2012, the nonresidential market is anticipated to see solid gains, supported by growth in both new construction and improvement and repair spending. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.