Kitch@n, 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 bright. Sales for rlew installations should dominate as 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 2os/o is a more conservative estimate. Traditionally, remodeling sales are highest when new housing starts are relatively low; peepls 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 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-look cabinetry is favored on the East Coast and in the South. price range, as a high-quality alternative to the very expensive custom cabi nets on the market. We anticipate that mid-priced cabinetry will remain a strong contender in the coming months.

Laminates are also becoming increasingly popular 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, streamlined 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 amount 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, pullout double-sided pantry shelves, sliding shelves for pots and pans, appliance "garages" that pull down like roll-top desks, and vertical spaces for bakeware are among the extras consumers are interested in.

Story at a Glance Cabinet future bdght ...wood popular for door fronts...laminat6s gaining...demand in.

creases for organizers. .home shows boost sales.

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 rooms as well, making cabinetry a viable storage option for dens, living rooms, laundry rooms, and even bedroooms.

From our point of view, as a manufacturer of stock cabinets in the medium price range, the scales are equally balanced between our low+nd and our high+nd 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 that involve one or several builders. Consumers and builders tour a group of new homes furnished with cabinets, plumbing fixtures, 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 fusthand look at the latest trends in kitchens and baths.

OME IMPROVEMENT is booming. Frustrated by agtng 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 140% 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 199O. 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