Industry Statistics and Trends
Market size and recent performance (2015-2030)
Industry revenue has grown at a CAGR of 2.4 % over the past five years, to reach an estimated $285.4bn in 2025.
Trends and Insights
DIY home makeovers surge as online tutorials and lower rates spur tool demand
- Through the end of 2025, there has been a surge in consumers taking on DIY projects. The availability of online tutorials and the desire for customized living spaces have driven this trend. DIY projects enable customers to save on professional labor costs and provide individuals with a sense of accomplishment.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2026-2031)
Market size is projected to grow over the next five years.
Trends and Insights
Construction's rebound supports multi-year growth
- Easing interest rates are expected to push residential and nonresidential construction up about 1.5% and 2.3% annually over the next five years. Lower borrowing costs for mortgages, home equity loans and commercial projects support a steady pipeline of demand for building materials and big‑ticket renovation projects at home centers.
Biggest companies in the Home Improvement Stores in the US
| Company | Market Share (%)
2025 | Revenue ($m)
2025 | Profit ($m)
2025 | Profit Margin (%)
2025 |
|---|---|---|---|---|
Home Depot, inc. | 149,456.8 | 18,926.5 | 12.7 | |
Lowes Companies Inc. | 84,420.5 | 10,234.5 | 12.1 | |
Menard, Inc. | 13,366.3 | 1,812.0 | 13.6 |
To view the market share and analysis for all 3 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 Lumber and other building and structural materials, Hardware, tools and plumbing and electrical supplies and Lawn, garden and farm equipment supplies. Lumber and other building and structural materials is the largest segment of the Home Improvement Stores in the US.
Trends and Insights
Lumber price swings and weaker housing starts reshape structural materials revenue mix
- The lumber and structural materials segment includes dimensional lumber, treated and untreated boards, engineered wood, glue-lam and laminated veneer lumber, as well as connectors, joist hangers, tie-downs, floor and roof trusses and framed wall panels. These products underpin both professional construction projects and major DIY renovations, anchoring traffic to home improvement stores.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Stores in this industry sell a range of home repair and maintenance goods, such as hardware, tools, electrical goods, lumber and structural materials for construction and renovations. Hardware stores, which are generally smaller and sell fewer items, are excluded from this industry. Home improvement companies purchase goods from manufacturers and wholesalers and sell them to end users, such as do-it-yourself consumers and professional contractors.
What's included in this industry?
Products and services covered in the Home Improvement Stores industry in the United States include Retailing plumbing goods, Retailing electrical goods, Retailing tools, Retailing housewares, Retailing hardware, Retailing lawn and garden supplies and Retailing kitchenware.Companies
Companies covered in the Home Improvement Stores industry in the United States include Home Depot, inc., Lowes Companies Inc. and Menard, Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
Related terms covered in the Home Improvement Stores industry in the United States include do-it-yourself (diy), do-it-for-me (difm), professional customers and point-of-sale (pos).Industry Code
NAICS 44411 - Home Improvement 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
DIY demand is surging as online tutorials, personalization trends and lower borrowing costs make home projects more attractive. This keeps tool and material sales strong even...
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 (2015-2024) and forecast (2025-2030)
- Employees, including historical (2015-2024) and forecast (2025-2030)
- Businesses, including historical (2015-2024) and forecast (2025-2030)
- Profit, including historical (2015-2025)
- 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
Tools, hardware, and lawn and garden remain resilient thanks to DIY activity, cordless innovations and social media. Broader assortments at big chains and niche expertise at ...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2025
- Product innovation level
Charts
- Products & services segmentation in 2025
- Major market segmentation in 2025
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
Home improvement stores are located near high-population areas. This exposes stores to a sizeable base of consumers, ensuring a steady level of business.
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 2025
Tables
- Number and share of establishments in each state in 2025
- Number and share of revenue each state accounts for in 2025
- Number and share of wages each state accounts for in 2025
- Number and share of employees in each state in 2025
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
National chains like Home Depot and Lowe’s use massive scale to spread logistics, IT and marketing costs. This lowers unit costs, supports aggressive pricing and strengthens ...
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 2020-2025
- 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
Home Depot focuses on strengthening its pro-contractor ecosystem. This initiative includes expanded jobsite delivery, digital tools and dedicated pro services to capture more...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2021 through 2025
- Major companies in the industry, including market share, revenue, profit and profit margin in 2025
- Overview of Home Depot, inc.'s performance by revenue, market share and profit margin from 2019 through 2025
- Overview of Lowes Companies Inc.'s performance by revenue, market share and profit margin from 2019 through 2025
- Overview of Menard, Inc.'s performance by revenue, market share and profit margin from 2019 through 2025
Detailed analysis
- Description and key data for Home Depot, inc., and factors influencing its performance in the industry
- Description and key data for Lowes Companies Inc., and factors influencing its performance in the industry
- Description and key data for Menard, Inc., 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
Private spending on home improvements and access to credit directly drive sales volumes and project size. When households feel confident, have disposable income and access to...
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 (2015-2030)
- Assistance historical data and forecast (2015-2030)
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
Purchases remain high and stable, as home improvement stores stock deep, year-round assortments across multiple categories. E‑commerce growth, product innovation and input co...
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 2025
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Investment vs. share of economy
Data tables
- Industry Multiples (2018-2023)
- Industry Tax Structure (2018-2023)
- Income Statement (2018-2023)
- Balance Sheet (2018-2023)
- Liquidity Ratios (2018-2023)
- Coverage Ratios (2018-2023)
- Leverage Ratios (2018-2023)
- Operating Ratios (2018-2023)
- Cash Flow & Debt Service Ratios (2015-2030)
- Revenue per Employee (2015-2030)
- Revenue per Enterprise (2015-2030)
- Employees per Establishment (2015-2030)
- Employees per Enterprise (2015-2030)
- Average Wage (2015-2030)
- Wages/Revenue (2015-2030)
- Establishments per Enterprise (2015-2030)
- IVA/Revenue (2015-2030)
- Imports/Demand (2015-2030)
- Exports/Revenue (2015-2030)
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 (2015-2030)
- IVA (2015-2030)
- Establishments (2015-2030)
- Enterprises (2015-2030)
- Employment (2015-2030)
- Exports (2015-2030)
- Imports (2015-2030)
- Wages (2015-2030)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Home Improvement Stores industry in the United States in 2026?
The market size of the Home Improvement Stores industry in the United States is $285.4bn in 2026.
How many businesses are there in the Home Improvement Stores industry in the United States in 2025?
There are 4,868 businesses in the Home Improvement Stores industry in the United States, which has grown at a CAGR of 6.1 % between 2020 and 2025.
How may import tariffs affect the Home Improvement Stores industry in the United States?
The Home Improvement Stores industry in the United States is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.
How may export tariffs affect the Home Improvement Stores industry in the United States?
The Home Improvement Stores industry in the United States is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.
Has the Home Improvement Stores industry in the United States grown or declined over the past 5 years?
The market size of the Home Improvement Stores industry in the United States has been growing at a CAGR of 2.4 % between 2020 and 2025.
What is the forecast growth of the Home Improvement Stores industry in the United States over the next 5 years?
Over the next five years, the Home Improvement Stores industry in the United States is expected to grow.
What are the biggest companies in the Home Improvement Stores industry in the United States?
The biggest companies operating in the Home Improvement Stores industry in the United States are Home Depot, inc., Lowes Companies Inc. and Menard, Inc.
What does the Home Improvement Stores industry in the United States include?
Retailing plumbing goods and Retailing electrical goods are part of the Home Improvement Stores industry in the United States.
Which companies have the highest market share in the Home Improvement Stores industry in the United States?
The company holding the most market share in the Home Improvement Stores industry in the United States is Home Depot, inc..
How competitive is the Home Improvement Stores industry in the United States?
The level of competition is moderate and steady in the Home Improvement Stores industry in the United States.
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.
