By the Home Improvement Research Institute
Well-maintained wood flooring can enhance a home’s overall appearance, last for decades and increase the resale value of a property. As such, many homeowners are willing to invest in installing and caring for wood floors, but how big is that investment, exactly?
The following insights from the Home Improvement Research Institute (HIRI) explain trends in homeowner spending and offer valuable guidance for retailers aiming to meet consumer preferences.
Floor Replacements Outpace Refinishing Projects
According to HIRI’s Project Decision Study: Flooring Replacement/Refinishing, homeowners are more likely to replace their flooring rather than refinish it, with replacements occurring four times as often as refinishing. This trend suggests a preference for new materials over restoration, potentially driven by the desire for modern aesthetics or easier maintenance.
Retailer Insight
Because flooring replacements are more common, retailers in the flooring category should offer a range of flooring options and samples, including trending materials such as luxury vinyl, engineered wood and eco-friendly choices.From a service perspective, offering replacement packages, including removal and installation, area growth opportunity, whether they are offered in-house or through a third-party partnership.
Average Spend on Flooring Projects
The average cost of flooring refinishing or replacement projects stands at $3,875, about 10% below the average for all home improvement projects, which is $4,207. HIRI research further reveals that the way homeowners fund their flooring projects has evolved since 2015. The use of out-of-pocket payments, such as cash or checking accounts, has declined to 45%, down from 55% in 2015. Meanwhile, the use of bank credit cards has increased to 18% from 11%. Savings accounts are also being tapped more frequently at 21%.
Retailer Insight
This shift in payment methods indicates that homeowners may be managing tighter budgets or prioritizing financial flexibility. Consider offering flexible payment options, including financing plans, store credit cards or partnerships with financial institutions.
The Factors Driving Product Selection and Project Completion
When selecting flooring materials, homeowners reported the following purchase drivers:
From February to April 2024, over 50% of homeowners completed their own flooring home improvement projects. Those surveyed cited cost savings and capability as primary reasons. However, homeowners with higher incomes and those who hire professionals tend to spend more on these projects.
Retailer Insight
Detailed product information, including lifespan and design considerations, can help guide customer decisions. DIY kits, instructional installation resources and professional services can capture both DIY and pro customer segments. As interior wood care proves a focus for homeowners, particularly in regard to flooring, home improvement retailers have an opportunity. By understanding spending patterns and product selection factors, retailers can tailor their offerings to drive sales and customer satisfaction.
