Kitchen and Bath Market Index Forecasts Strong Growth

The National Kitchen and Bath Association (NKBA) and John Burns Real Estate Consulting today released the 2019 first-quarter Kitchen and Bath Market Index (KBMI), revealing strong growth in the kitchen and bath sectors, and forecasting a positive outlook for the second quarter and the year as a whole.

This quarterly industry index gauges the economic pulse of the kitchen and bath market, examining current conditions and future expectations in the industry. It also monitors issues and challenges industry professionals are facing in their businesses. The KBMI surveys and analyzes the sentiments of designers, manufacturers, retailers and building/construction firms who are members of the NKBA.

“As the leading trade association and advocate for the kitchen and bath industry, we continuously invest in research to provide guidance on performance, projections and challenges in the sector for our members and the market. We’re pleased to see that despite a softening in housing, the KBMI indicates positive growth and an optimistic sales outlook in the kitchen and bath sectors,” said Bill Darcy, NKBA CEO. “John Burns Real Estate Consulting is the preeminent research analysis partner in the housing space and we embarked on this joint venture to provide a reliable and frequent metric of industry performance and business health to our members and the market.”

“We are thrilled to partner with NKBA to monitor this important segment of the economy,” said Todd Tomalak, Senior Vice President of Research for John Burns Real Estate Consulting. “We view Kitchen & Bath as a critical gauge of discretionary consumer spending, and this new index will allow analysts to monitor the segment with more confidence than ever before.”

The KBMI’s first-quarter report found the following:
Strong Q1 Growth: The kitchen and bath industry composite index currently rates at a 71 out of 100. This reflects growth and optimism in three main components of the index: the current quarter, future market sales and overall health.
Positive 2019 Outlook: The industry is more positive on future business conditions (76 out of 100 index reading) than on current conditions (68 index reading).
56% of Industry Expects Growth in Q2 2019: The industry expects second-quarter business conditions to improve. This is especially expressed by manufacturers and building/construction companies, which are the most optimistic about quarterly sales.
Labor Challenges Remain a Top Concern: The availability of skilled labor tops the list of industry challenges and concerns. The cost of materials, trade issues, economic uncertainty and consumer confidence are also significant concerns for industry professionals in the first quarter.

About the National Kitchen & Bath Association and the Kitchen & Bath Industry Show
The National Kitchen & Bath Association (NKBA) is the not-for-profit trade association that owns the Kitchen & Bath Industry Show® (KBIS), as part of Design & Construction Week® (DCW). With more than 10,000 member companies representing tens of thousands of members in all segments of the kitchen and bath industry, the NKBA has educated and led the industry since the association’s founding in 1963. The NKBA envisions a world where everyone enjoys safe, beautiful and functional kitchen and bath spaces. The mission of the NKBA is to inspire, lead and empower the kitchen and bath industry through the creations of certifications, marketplaces and networks. For more information, visit NKBA.org or call 1-800-THE-NKBA (843-6522).

KBIS® and NKBA® are registered trademarks of the National Kitchen & Bath Association.

About John Burns Real Estate Consulting
John Burns Real Estate Consulting is an independent research provider and consulting firm focused on the housing industry. John Burns founded the company in 2001 because he saw a need for better analysis on the housing market. The company has grown to a highly passionate team of research analysts and consultants in offices across the country, who work together to provide the most trusted source of US housing analysis. John Burns Real Estate Consulting’s research subscribers receive the most accurate analysis possible to inform their macro investment decisions, and the company’s consulting clients receive specific property and portfolio investment advice designed to maximize profits. For more information visit www.realestateconsulting.com.

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