Resilient Market Trends Study: Resilient Flooring Segment Picking Up Steam
June 23, 2011
Our 2011 NFT Resilient Market Trends Study found that more retailers/dealers are finding the resilient category profitable. Forty-nine percent of the 134 respondents said that resilient flooring remains profitable (up 16% from 2010); 32% said conditions were about the same (compared to 40% in 2010). Only 19% said the segment seems to be less profitable (compared to 27% in 2010).
According to respondents, carpet leads the pack with 37% of total sales, followed by resilient (16%), ceramic tile (14%), wood (13%), laminate (11%), area rugs (5%) and stone (5%). Carpet also takes up 40% of the most total floor space in showrooms trailed by resilient (14%), ceramic tile (13%), wood (12%), laminate (11%), area rugs (6%) and stone (6%). (Chart 1.)
Resilient flooring (22%), carpet (21%), hardwood (20%), ceramic tile (16%), and laminate (13%) were the fastest growing product category sold in 2010. Resilient sales were strongest in residential replacement (52%), followed by contract/commercial (20%), residential builder/new construction (20%), and Main Street commercial (9%).
The average resilient sales generated each month dipped slightly compared to 2010. Last year, 15 sales were generated a month; this year respondents have tallied 12 sales a month. However, average ticket prices for resilient flooring have increased. The mean for 2011 is $1,834, a slight rise from the $1,798 in 2010. The annual sales volume for the category has also risen to $288,774 this year compared to $246,025 in 2010.
Fiberglass reinforced vinyl is significantly more likely to be sold than luxury vinyl tile, tile, linoleum, or homogeneous sheet. Since 2008, resilient sheet is significantly less likely to be sold.
In 2010, resilient sheet posted the higher sales (32%), while fiberglass reinforced vinyl only represented 20% of total sales. (Chart 2.)
In all, 49% of respondents believe that 2011 resilient flooring sales will increase; 38% think it will remain the same and 13% predict a decrease. Top reasons for an expected increase included: Economy, increase in building, lower sales in other segments, cost-effective, more popular among consumers, new products, consumer confidence, and good quality. Reasons for a decrease included: Consumers want different flooring types, economy, business is down, and prices.
Attributes that affect the decisions to sell/promote a particular brand included: Product reliability/quality (60%), product design and styling (39%), ease of installation (31%), durability (27%), product availability (26%).
Seventeen percent of respondents always recommend resilient flooring to their customers, a significant decrease compared to 23 percent in 2010. Fifty-seven percent said they recommend it often (compared to 56% in 2010); 25% said they recommend it sometimes (compared to 20% in 2010). Only 1% of respondents said they never recommend resilient flooring, the same percentage as last year.
Resilient flooring customers are rating the product favorably. Thirty-nine percent of respondents said their customers think the maintenance characteristics of resilient flooring are excellent. Other characteristics that resilient flooring customers rate as excellent include durability (29%), quality (28%), selection/styling (27%) and price (21%). Maintenance, durability and quality have all significantly increased since 2010.
In order of frequency, the top 10 concerns resilient flooring customers have about the product are: denting/holes/scratching/tears, cleaning, bubbles in floor, maintenance/care, seam, discoloration, installation problems, underlayment issues, durability and price.
Armstrong and Mannington are the top-selling brands of resilient flooring this year, cited by 28% and 27% of respondents respectively. (Chart 3.) Top-selling fiberglass resilient vinyl flooring brands include: IVC/Flexitec/Earthscape (23%), Armstrong (22%), Mannington (15%) and Tarkett/Nafco (13%).
While there is no top-selling luxury vinyl tile brand, one-in-five respondents indicate Armstrong and Mannington as their top selling brand. The top-selling rubber flooring brand is Johnsonite (37%) followed by Roppe (20%).