In the booming home improvement world, siding is ready to grow

2021-11-24 03:12:15 By : Mr. Zhicheng Tao

When Neil Armstrong and Buzz Aldrin were walking on the moon in 1969, they wore many protective devices. They are wearing a suit called Integrated Micrometeoroid Garment. Composed of 13 layers of materials, including rubber-coated nylon, five-layer aluminized polyester film, four-layer polyester, and a bunch of other materials that are difficult to pronounce. These materials can protect astronauts from solar heat radiation and micrometeoroids. The suit, the overall vacuum from the space.

Although we may not have built houses on the moon, today's houses are also protected by siding. The siding is designed to be the outermost protection against solar radiation and harsh conditions. It is the first line of defense and the most visible line of defense. And now, the siding industry is booming. However, the shortage of materials, coupled with the manufacturing industry's efforts to improve to the pre-COVID-19 level, has created challenges for savvy LBM dealers to best provide the products in demand and the solutions that customers need.

When COVID-19 regained its head in the United States for the first time, a large part of the population was forced to lock down and businesses switched to working from home. Although restrictions are being relaxed across the country, the time people spend at home—work and leisure—has undergone permanent changes. Therefore, they are making major upgrades to their houses and outdoor living spaces. Trinh Le, director of siding business marketing at LP Building Solutions, said: “A big trend is the idea of ​​using the home as a safe haven, office and everything else for the family.” “We have seen tremendous growth in upgrading outdoor spaces, such as sheds As an office and living space."

Ben Drury, brand manager of Boral Building Products, has also seen a significant increase in demand for siding and decorative strips. “Many homeowners finally settled their to-do list during the quarantine period, and the outer wall is a good starting point,” he explained. "We have seen an increase in the interest of DIYers, especially in simple exterior projects that have a major impact, such as replacing aging siding, adding gable vents or decorative mounting blocks, or installing decorative decorations. These simple Swap can greatly increase the attractiveness of containment."

Steve Booz, vice president of marketing and product development at Royal Building Products, echoed these thoughts. "In the past year, our industry sales have increased as homeowners invest in outdoor living spaces and spend more time at home," he said. "Homeowners’ demand for low-maintenance, beautiful exterior products is growing exponentially, so we are seeing an increase in demand and sales for all of our siding and decorative lines."

Due to this strong demand mix, coupled with a strong real estate market and low interest rates, the next 12 months will look extremely optimistic for the siding market. “We believe that unless there is any major crisis or a sudden interest rate hike, new construction and renovation will continue to maintain a strong momentum for the rest of 2021 and next year. Considering the forward-looking stance of the Federal Open Market Committee, it is extremely unlikely that ProVia’s Said Jon Lapp, product manager.

Of course, all of this depends on the manufacturer's ability to meet demand, and demand can easily exceed demand. As Jeff Adams, President and CEO of Arcitell, LLC (the manufacturer of Qora Cladding) explained: “Demand for residential buildings in the first quarter of 2020 increased by 9.5% compared to 2019. Due to COVID, manufacturers have reduced production. 2021 Square feet in the first quarter of the year increased by 12.7% compared to 2020, and value increased by 18.9%. This trend will accelerate throughout the year as production capacity tries to keep up with demand."

He said that if materials and labor are available, manufacturers can take 20% to 30% more orders per day. "This is a good problem for those who sell products, but a bad problem for those builders and homeowners who are trying to complete their projects and move into a new home. The supply problem is the composite siding we make This is one of the reasons why alternative products are becoming more and more popular. Companies like ours have just opened recently and are increasing production capacity, ready to ship to work sites quickly."

RoyOMartin's marketing expert Amanda Vincent (Amanda Vincent) responded to Adams' comments. "According to Freddie Mac, there are currently 4 million homes in the United States," she explained. "With the housing operating rate increasing by 1.7 million year-on-year, yes, we may stay in this market for a while. As the demand for housing continues to grow, the demand for siding and decorative strips should grow together with other wood products and building materials Products that are innovative, affordable, and readily available will become the fastest-growing products. The truth is that we are facing extremely low levels of supply and we are innovating around the clock and striving to meet demand."

When it comes to siding and decoration, product trends point to an aesthetic that combines clean lines, authentic details and unique customization to make a home stand out from its neighbors. Still popular are the modern farmhouse and craftsman styles, both of which use planks and slats and rocking siding-usually in combination. "Vertical and slatted siding is very popular these days," said Ben Drury of Boral. "These installation methods are an easy way to add size and visual interest to the appearance of the home. Vertical applications can also help elevate gables and other key areas."

Other manufacturers have similar ideas. For example, Booz of Royal Building Products said his company has seen demand for slats and slats increase by about 30%. "In terms of product trends, farmhouse design continues to remain popular, driving the demand for slats and slatted white exterior wall panels with dark decorative accents."

Jon Lapp of ProVia agreed. "Slatted and slatted vinyl siding continues to be popular in almost all styles of new homes and renovations-the popular'modern farmhouse' design in recent years has attracted attention to this siding profile," he explained. "Another popular trend is artisan-style homes, including bold shaky or planks and slats accented gables and skylights, a direct homage to the square and linear design lines and edges in many traditional home styles."

Complementing these style trends is the increasing use of dark siding colors and the extensive use of mixed siding materials. "We are seeing an increase in dark siding colors, and this trend continues," Booz said. "Homeowners are looking for bolder shades, especially dark blue and dark gray, which will make them stand out in nearby areas." Arcitell's Adams said: "The main trend is the multiple cladding materials in the home. Wear by car. Go through new communities in Denver or Atlanta. You will see three or four different materials on the walls of a house, and two or even three different roofing materials. Architects and builders are adding interest to the appearance, this There is a need for an alternative transition from one material to another."

Although interest in low-maintenance siding and decorative materials is nothing new, manufacturers report that it is one of the biggest differences when it comes to purchasing decisions. "Everyone wants the look of solid wood, but they don't want the overall maintenance that solid wood can bring," said Guy Campbell, sales manager at Carolina Colortones. "There are more and more products offering pre-dyed to imitate solid wood. It turns out that these coatings have a longer service life than ordinary solid-color paint jobs, providing end users with very durable and long-lasting products."

Ask Booz of Royal Building products about the demand for low-maintenance products. He will point out the growth of the company's Cedar Renditions aluminum siding. Since its launch in 2019, its sales in the United States have tripled. Maintaining materials to replicate the appearance of solid wood (especially as the cost of wood rises), we will continue to introduce new siding and decorative products that meet these needs," he pointed out.

Just compare current manufacturing trends with the number of collisions in front of the house to understand the importance of low-maintenance or maintenance-free products. As Adams of Arcitell explained, “As we enter the new millennium, vinyl siding and bricks are the backbone of the exterior wall. As the former CEO of the brick company, I can tell you that this industry has been affected by changes in trends and labor. Destroyed. In 2005, the brick industry shipped 9 billion bricks. Last year, the industry shipped about 4.5 billion. Now that housing starts have returned to pre-crash levels, where did the transaction volume go? First answer It is cultural stone or concrete stone. Since 2000, the use of stone on the facade of houses has increased dramatically. During the same period, we have seen a dramatic increase in fiber cement and prefabricated siding. These materials provide consumers with a wider palette The availability of colors and home displays that tout curb appeal have stimulated consumers’ appetite for more choices.” Similarly, vinyl is still a strong low-maintenance option, and LBM dealers and distributors are building inventory and product offerings. You need to keep this in mind. Booz said: "As builders look for smaller footprints and more affordable options, the opportunity for vinyl siding in new homes is huge." "According to data released by the Vinyl Siding Institute, it still remains It is the most cost-effective and sustainable product on the market, which puts us in a favorable position among millennial home buyers and homeowners. For homeowners, vinyl siding is also the most cost-effective solution Compared with other siding products, it has one of the lowest life cycle costs (dollars and environmental impact)."

In addition to understanding trends and consumer needs, it is more important than ever for LBM dealers and distributors to provide creative solutions to their customers. Due to the difficulties caused by the potential reduction in product supply and the weakening of the labor force, it is vital that distributors become an information database.

“Builders and contractors often regard LBM dealers as experts and key consultants when purchasing decorative and siding products,” explains Trinh Le of LP. "They will ask them for anything from new products to product claims or warranties. In the end, they want to have confidence in the products they buy. Having reliable research to support point-of-sale claims can play an important role in closing the transaction."

For many years, physical display has been the backbone of product information and a key method to convey the appearance of the product after installation. But that was then—now it is. In addition to the tried-and-tested real products, successful LBM dealers will also use virtual tools to help impart product knowledge.

"Seeing is believing," Boral's Drury said. “Providing professional and DIY customers with tools to view the appearance of products is very important to help them make decisions and even try new products. This includes creating vignettes and other physical displays and leveraging the manufacturer’s design tools. For example, Boral Building Products provides Virtual Remodeler , This is an online tool that can showcase the home look of siding, decorations, blinds and other accessories with different contours, textures and colors."

Ralph Bruno, CEO of Derby Building Products, agrees with Ben's idea of ​​being able to show customers what the product looks like after installation. "We found that when the pandemic limits face-to-face contact, using visualization tools is a good way to sell," he explained. "LBM dealers and their customers rely more on virtual design tools and applications.

For example, Tando's My Tando Home Creator is a free online tool that provides accurate visualization of the appearance of the home. This tool creates designs for TandoStone, Beach House Shake and TandoShake. Visualization tools allow contractors to narrow down their product choices and make deals with homeowners with minimal physical contact. Our free visualization tool provides QuickView for fast and easy visualization. The program also provides affordable professional design services, including 3D modeling and project measurement, to provide accurate material calculations. "

However, just displaying options and providing information is not that simple. Ask the manufacturer and they will point out the importance of LBM distributors providing a strong and diversified product base to provide customers with choices. Jonathan Berry, ProVia’s siding sales director, points out: “It’s wise to keep inventory in stock and provide higher-end products such as insulated siding, planks and slats, milkshakes and scallops, and popular colors. Lift." "Considering the current situation, clear communication on product delivery time, availability, and pricing is equally important."

Jeff Adams of Arcitell has the same view. "In the next 12 months, LBM dealers need to have as much inventory as possible. I don’t say this because I am a manufacturer. I say this because of a shortage of supplies, and builders will scramble to find what they can do. . Now is the best time to consider some new materials on the market, such as Qora Cladding, where there are sources of supply. Now is a good time to add new products to the distributor’s product line that they couldn’t access before."

Because of these supply demands, it is critical for LBM distributors to over-communicate in terms of product availability and delivery expectations. "This is not a bubble, this is not the stage we are going through," said Vincent of RoyOMartin. "What we are experiencing is unprecedented demand and a 10-year market shortfall. Builders need to pre-order what they can order; those who are waiting for the price to fall have lost their contracts."

When considering what it might bring next year, it is certain to bet that demand will remain strong. All the manufacturers interviewed were positive about what the market might hold. However, this is not to say that there are no challenges. The sharp increase in wood prices and the shortage of raw materials and labor are obstacles facing the siding and decoration manufacturers. "The global shortage of raw materials has had an impact on delivery time and product availability," Royal's Booz said. "This affects every manufacturer in the entire industry. Demand continues to exceed product supply, which also affects pricing."

However, these challenges also bring opportunities. As Brett Collins, Regional Sales Manager at UFP Industries pointed out, “As the housing market soars during COVID-19, many products are being distributed, and alternative products are becoming more popular than ever to fill this gap. "

According to forecasts from all industries, consumers' desire to improve the appearance of their houses will not diminish. Housing growth is also expected to remain strong, coupled with the surge in the renovation market, the prospects for siding and decoration are bright. "Before the pandemic, the construction industry was already booming," said Guy Campbell of Carolina Colortones. "This hasn't changed at all in the past year."

Michael Berger is the former executive editor of HANDY magazine and has been writing articles about home improvement and architecture for the past 20 years.

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