Floor Covering Stores in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: January 2024
NAICS 44221Revenue
$52.4bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
171k
Businesses
41,534
Wages
$X.Xbn
Floor Covering Stores in the US industry analysis
Floor covering stores derive demand from two massive downstream markets: the residential and nonresidential construction sectors. During the early stages of the pandemic, more consumers remaining at home caused a jump in spending on home improvements and housing starts, driving demand for floor covering products. Multiple rounds of stimulus checks enabled consumers to allocate more resources toward their homes, either by taking on home improvement projects or purchasing a new home. These gains in the residential sector enabled revenue to swell during the early stages of the pandemic. However, the 2020 pandemic hit the nonresidential market hard, as many businesses were forced to close, and employees were required to work from home whenever possible. These trends negatively impacted the nonresidential sector, as fewer companies were looking for new office spaces or retail locations, although these losses were insufficient to offset the gains from the residential sector.
During 2022, elevated inflation negatively impacted consumers, resulting in falling disposable income and growing consumer uncertainty. To control inflationary pressure, the Federal Reserve announced drastic interest rate hikes, contributing to the rising uncertainty and making borrowing costs higher. These trends often encourage consumers to cancel or postpone large purchases, harming floor covering retailers. Although the nonresidential sector began recovering during this time, these gains did not make up for residential losses. Strong performance during the early stages of the pandemic resulted in revenue growing at an estimated CAGR of 2.5% to $52.4 billion through 2024, including a 0.7% boost that year alone.
The Fed has announced its intentions to lower interest rates in 2024 as inflation continues to slow down. This will likely boost demand from residential and nonresidential consumers, enabling retailers to grow. However, floor covering stores will continue to face stiff competition from big-box stores like Home Depot and Lowes as the companies will only grow larger and expand the scope of their business. Prominent internal and external competition pressure retailers to keep prices low, hindering profit. Nonetheless, floor covering stores' revenue is expected to expand at an estimated CAGR of 1.5% to $56.5 billion through 2029.
Trends and Insights
- Heightened competition is still on the line. Large companies like Lowe's and Home Depot have become more popular in recent years, partially due to higher convenience and more options.
- Carpeting and synthetic wood became more popular through the period. As wood prices soared, consumers looked for cheaper alternatives.
- The Great Lakes and Mid-Atlantic draw more industrial and business clients rather than consumer-focused residential focused stores in the West and Southeast regions.
- Fragmentation also limits concentration, with most companies being geographically specific and specialized. This enables retailers to better serve their local communities and lower transportation costs.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 2.5 % over the past five years, to reach an estimated $52.4bn in 2024.
Trends and Insights
Fluctuating economic conditions impact consumer behavior
- During times of high economic uncertainty, consumers become more likely to postpone or cancel large purchases, including building a new home or large home renovation projects. During this time, unfavorable economic conditions, such as dipping disposable income, growing consumer uncertainty and interest rate hikes, harm retailers.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Growing disposable income is expected to offset further declines
- Improving economic conditions over the coming years will likely create growth opportunities for retailers. When economic conditions are favorable, including rising disposable income and growing consumer confidence, consumers and businesses become more likely to invest in improvement projects.
Biggest companies in the Floor Covering Stores in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Floor & Décor Holdings | 2,415.9 | 197.0 | 8.2 |
To view the market share and analysis for all 1 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Carpets and other soft-surface floor coverings, Other hard-surface floor coverings and Hardwood flooring. Carpets and other soft-surface floor coverings is the largest segment of the Floor Covering Stores in the US.
Trends and Insights
Other hard-surface floor coverings are an important industry product
- This segment includes hard floor coverings besides hardwood, such as tiles.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Home Furnishings Stores in the US
- Home Improvement Stores in the US
- Lumber & Building Material Stores in the US
- Used Goods Stores in the US
Complementors
- Flooring Installers in the US
International industries
- Floor Covering Stores in Canada
- Floor Coverings Retailing in Australia
- Floor Coverings Retailing in New Zealand
- Carpet, Rug & Curtain Retailers in the UK
- Fußboden-, Fliesen- und Plattenlegerei, Tapeziererei
Table of Contents
About this industry
Industry definition
Establishments in this industry retail carpets, rugs, tiles and vinyl flooring. Most operators manage sales and administrative activities, such as customer service, product merchandising, advertising, inventory control and cash handling. Some operators also offer installation or repair services.
What's included in this industry?
Retailing carpetRetailing floor coverings Retailing rugsInstalling floor coveringsCompanies
Floor & Décor HoldingsPurchase this report to view all 1 major companies in this industry.
Related Terms
BROADLOOMLAMINATE FLOORINGRESILIENT FLOORINGIndustry Code
NAICS 44221 - Floor Covering Stores in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Heightened competition is still on the line. Large companies like Lowe's and Home Depot have become more popular in recent years, partially due to higher convenience and more...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Carpeting and synthetic wood became more popular through the period. As wood prices soared, consumers looked for cheaper alternatives.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The Great Lakes and Mid-Atlantic draw more industrial and business clients rather than consumer-focused residential focused stores in the West and Southeast regions.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Fragmentation also limits concentration, with most companies being geographically specific and specialized. This enables retailers to better serve their local communities and...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
In 2021, Floor & Décor looked to expand its presence in the commercial flooring space. The company did this through the acquisition of Spartan Surface, a company that serves ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Floor & Décor Holdings's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Floor & Décor Holdings, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The value of nonresidential construction began recovering. However, the gains from this sector were insufficient to fully make up for the losses in residential demand.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Input price volatility impacted purchase costs. These drastic price fluctuations push retailers to purchase products based on demand, preventing purchase costs from taking ov...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Floor Covering Stores in the US industry in United States in 2024?
The market size of the Floor Covering Stores in the US industry in United States is $52.4bn in 2024.
How many businesses are there in the Floor Covering Stores in the US industry in 2024?
There are 41,534 businesses in the Floor Covering Stores in the US industry in United States, which has grown at a CAGR of 7.1 % between 2019 and 2024.
Has the Floor Covering Stores in the US industry in United States grown or declined over the past 5 years?
The market size of the Floor Covering Stores in the US industry in United States has been growing at a CAGR of 2.5 % between 2019 and 2024.
What is the forecast growth of the Floor Covering Stores in the US industry in United States over the next 5 years?
Over the next five years, the Floor Covering Stores in the US industry in United States is expected to grow.
What are the biggest companies in the Floor Covering Stores in the US market in United States?
The biggest company operating in the Floor Covering Stores market in United States is Floor & Décor Holdings
What does the Floor Covering Stores in the US in United States include?
Retailing carpet and Retailing floor coverings are part of the Floor Covering Stores in the US industry.
Which companies have the highest market share in the Floor Covering Stores in the US in United States?
The company holding the most market share in United States is Floor & Décor Holdings.
How competitive is the Floor Covering Stores in the US industry in United States?
The level of competition is high and steady in the Floor Covering Stores in the US industry in United States.
