Kitchen, bath cabinet sales stay healthy

By Charles Folger Marketing Services Mgr. Home-Crest Corp.

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and the anticipation of a stable market, the forecast for the kitchen and bath industry, particularly in cabinetry, looks brieht. Sales for qew installations should dominate Ers new construction increases. We look forward to increased sales in both new installations and remodeling with the continued "good health" of the housing industry.

Although some are predicting that remodeling may account for as much as 5090 of the market share for cabinet sales in 1984, we feel that 2090 is a more conservative estimate. Tiaditionally, remodeling sales are highest when new housing starts are relatively low; people tend to make the best of what they have during those times. Other studies indicate that interest rates may climb during the latter part of 1984, which may slow the housing starts somewhat while not adversely affecting the remodeling market.

Current trends in cabinetry indicate that wood will remain the most popular doorfront material, although the new European-look laminates are gaining a foothold. In this fragmented market, preferences are influenced by a number of factors, including geographic regions. For example, light

Story at a Glance

Cabinet future bright ...wood popular for door fronts...lami. nates gaining...demand increases for organizers. .home shows boost sales.

woods such as oak and ash are quite popular in the Northwest at this time. In contrast, other areas were bored with the light woods and the cherry look has been revived there. European{ook cabinetry is favored on the East Coast and in the South.

Laminates are also becoming increasingly populax in multi-family dwellings; condominiums, apartments and townhouses. This may be due, at least in part, to the fact that builders are trying to entice working couples who will appreciate fuss-free kitchen maintenance. The light, strearnlined look of European-style cabinetry also expands space visually-an important characteristic in today's scaleddown homes.

As the American lifestyle changes, buyers are becoming more concerned with efficiency. Organization and an efficient use of space and storage are just as important to those who spend a substantial arnount of time in the kitchen as to those who have only enough time for a quick meal. Convenience features such as roll-out wire baskets, pull-out double-sided pantry shelves, sliding shelves for pots and pans, appliance "galages" that pull down like roll-top desks, and vertical spaces for bakeware are among the extras consumers are interested in.

price range, as a highquality alternative to the very expensive custom cabinets on the market. We anticipate that mid-priced cabinetry will remain a strong contender in the coming months.

With the housing recovery asserting itself, vanity sales are also expected to be on the rise. Hopefully, the trend toward maximizing space, time, and storage will extend into other as well, making cabinetry a storage option for dens, living rooms, laundry rooms, and even bedroooms.

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From our point of view, as a manufacturer of stock cabinets in the medium price range, the scales are equally balanced between ow low-end and our highrnd products. Our distributors have found that some dealers want cabinets in the high end of the

Aside from merely catering to current market trends, dealers and distributors are finding other ways to boost the kitchen and bath industry. One such method is participation in home shows. Also becoming popular are the open-house shows tlat involve one or several builders. Consumers and builders tour a group of new homes furnished with cabinets, plumbing fxtures, lighting and other products of local dealers. This gives prospective buyers a chance to see what local builders can do for them, and gives potential remodelers a firsthand look at the latest trends in kitchens and baths.

r IOME IMPROVEMENT is JTbooming.

Frustrated by aging homes, changing life styles and costly new home price tags, homeowners are getting the message in the media blitz urging remodeling and renovation. The result is a fast growing market targeted at $67.5 billion for 1984.

A study by Frost & Sullivan computes a 1404fr increase in the sale of home improvement products by the end of the decade. They tagged retail sales of hardware, lumber and building materials at $48.2 billion last year and predict $70.8 billion in '85 and $115.7 billion by 1990. A l4s/o gain in alteration and repair spending is anticipated this year, reportedly the best in the past two decades. They also predict residential alteration spending to reach $18 million in constant dollars next year.

Commerce Department analYsts also expect increased spending based on economic recovery, recent reductions in income tax, the decline