1. Home Improvement Research Institute
Regional Analysis 2017
Home Improvement Research Institute

2. About this analysis
Like nearly all other characteristics of life in the U.S., home improvement tends to follow some slightly different paths depending on which region we are looking at. This analysis takes a look at these differences, between these regions.
Information is pulled from multiple HIRI studies from
States included in each region follows same definitions as U.S. Census
Raw data information can be found on any of the studies on the HIRI website
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3. US Demographics and Housing Statistics
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4. U.S. Census map Midwest Northeast West South
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Source: U.S. Census Bureau

5. Demographics and Housing Key Takeaways
While there are four geographic regions, they are not equal in terms of physical size or population. The South region accounts for an disproportionately large chunk of the total population
Age distributions differ throughout the regions, where the West region skews younger while the Northeast skews the oldest
Median household income is very much a tale of two groups: the West and Northeast are much higher ($60K-$62K) than the Midwest and South ($51K-$54K)
Along with the higher median income, housing costs are higher in the West and Northeast. Similarly, this cost keeps homeownership rates lower than the Midwest and South
The Northeast boasts the oldest homes, but only slightly over the Midwest
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6. Population Statistics
Midwest
Population: 67,941,429
Median Income:
$54,001
Unemployment Rate:
5.7%
West
Population: 76,657,000
Median Income:
$60,818
Unemployment Rate:
6.7%
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Source: U.S. Census Bureau

7. Population Statistics
Northeast
Population: 56,209,510
Median Income:
$62,168
Unemployment Rate:
6.3%
South
Population: 122,319,574
Median Income:
$51,383
Unemployment Rate:
6.4%
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Source: U.S. Census Bureau

8. Housing Statistics West Midwest Homeownership Rate: 58.5%
Occupied Homes:
26.5 million
Homeownership Rate:
68.4%
Occupied Homes:
26.4 million
Median Square Footage:
1525 sqft.
Median Monthly Housing Cost:
$1168
Median Year Homes Built:
1979
Median Square Footage:
1560 sqft.
Median Monthly Housing Cost:
$800
Median Year Homes Built:
1971
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Source: American Housing Survey

9. Housing Statistics Northeast South Homeownership Rate: 60.2%
Occupied Homes:
21.5 million
Homeownership Rate:
65.0%
Occupied Homes:
44.9 million
Median Square Footage:
1475 sqft.
Median Monthly Housing Cost:
$1086
Median Year Homes Built:
1961
Median Square Footage:
1554 sqft.
Median Monthly Housing Cost:
$820
Median Year Homes Built:
1984
Source: American Housing Survey
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10. Home Improvement Product purchasing
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11. Product Purchasing Key Takeaways
Nominal spending on home improvement spending is highest in the Southern region, yet, when indexing against population and number of households, it lags behind the other regions
The West region is more likely than any of the other regions to make purchases online. The Midwest shows the lowest incidence of online purchases
The types of locations where homeowners are buying is largely the same outside of the West, which shows fewer purchases at big box warehouse stores, and a higher level of “non-traditional” locations, the majority of which was Amazon
Those in the Northeast are most likely to shop around for the best prices, and take recommendations from their friends/family
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12. Size of Home Improvement Products Market
United States: $346B
Consumer: $247B
Professional: $99B
Northeast: $61B
Consumer: $41B
Professional: $20B
West: $83B
Consumer: $56B
Professional: $27B
Midwest: $79B
Consumer: $58B
Professional: $21B
South: $123B
Consumer: $92B
Professional: $31B
Source: HIRI Size of the Home Improvement Products Market
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13. Where is the Money Really Spent?
When taking statistics like population and number of occupied households into consideration, some regions are sharing more of the spending load.
Source: HIRI Size of the Home Improvement Products Market
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14. Product Category purchase Incidence
Source: HIRI Product Purchase Tracking Study 2016
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15. Product Category purchase Incidence
The Northeast skews higher in categories that are heavily part of maintaining an older house
Source: HIRI Product Purchase Tracking Study 2016
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16. Product Category Median Spending
Source: HIRI Product Purchase Tracking Study 2016
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17. Product Category Median Spending
Source: HIRI Product Purchase Tracking Study 2016
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18. Purchasing Locations West Northeast Midwest South Physical Store: 81%
Online: 18%
Physical Store: 88%
Online: 11%
U.S. Total
Physical Store: 88%
Online: 11%
The West region is far more likely to engage in online purchasing, which is likely due to age and culture
Physical Store: 90%
Online: 8%
Physical Store: 89%
Online: 10%
Midwest
South
Source: HIRI Retail Selector Study 2016
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19. Purchasing Locations Type of Location* * * *
*Other responses consist primarily of online-only sources, such as Amazon.com
Source: HIRI Retail Selector Study 2016
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20. How do you Shop for home improvement Products?
Source: HIRI Retail Selector Study 2016
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21. Attitudes towards Home Improvement
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22. Attitudes and opinions top-two box
Source: HIRI Product Purchase Tracking Study 2016
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23. Attitudes and opinions top-two box
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Source: HIRI Product Purchase Tracking Study 2016

24. Project activities
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25. Product Purchasing Key Takeaways
Some types of projects are less popular in certain regions. For example, the Midwest is far less likely to plan a deck/patio/porch project in the first quarter of the year, despite similar weather in the Northeast
Looking at project plans, the two coasts are less likely to do projects DIY compared to the Midwest and South
Regardless of region, some types of projects, like painting and landscaping, are far more likely to be done DIY than others
When looking at those hiring professionals, word of mouth and personal recommendations are, by far, the most common way to find a professional.
Contractors in the Northeast are far less likely to generate their leads from a digital origin, such as a home improvement app or website
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26. What Projects Are you Planning IN The first Quarter?
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Statistically different from other region
Source: HIRI Project and Sentiment Tracking 1Q2017

27. What Projects Are you Planning IN The first Quarter?
Statistically different from other region
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Source: HIRI Project and Sentiment Tracking 1Q2017

28. How you do plan to complete your projects?
Planned Project Completion Method of Top 5 Planned Projects
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Source: HIRI Project and Sentiment Tracking 1Q2017

29. What projects have you completed?
Total
Northeast
Midwest
South
West
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Source: HIRI Product Purchase Tracking Study 2016

30. Method To Complete The Project
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Source: HIRI Product Purchase Tracking Study 2016

31. Method To Complete The Project
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Source: HIRI Product Purchase Tracking Study 2016

32. Method To Complete The Project
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Source: HIRI Product Purchase Tracking Study 2016

33. Method To Complete The Project
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Source: HIRI Product Purchase Tracking Study 2016

34. Why Do DIY or Hire a Pro Home Improvement Research Institute © 2017
Source: HIRI Project Decision Study 2015
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35. Top Ways Contractors are Getting Leads
Connecting with a pro
Source: HIRI Project Decision Study 2015
Top Ways Contractors are Getting Leads
Source: HIRI Contractor Sentiment Study 1Q17
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36. Sources and Methodology
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37. HIRI Product Purchase Tracking Study (PPTS)
The HIRI Product Purchase Tracking Study (PPTS) is a comprehensive overview of home improvement projects, products and services purchased as well as attitudes and buyer behaviors on home improvement activities. This study is part of a biennial benchmarking study that was initially conducted in January 1988 for purchases during calendar year 1987 and has been updated regularly since. This report utilizes findings from the most recent study (conducted in 2016).
Methodology:
The HIRI Product Purchase and Project Activity Tracking Study was conducted using a quantitative web-based survey with 2,791 respondents.
The sample size for the nationally representative portion of this study is sufficient to represent responses that are statistically valid within plus or minus 1.9% at the 95% confidence level. The confidence interval varies when analyzing subgroups. Some of the 233 products were purchased by fewer than 100 of the homeowners surveyed. The margin of error for a sample size of under 100 is at least plus or minus 10% at the 95% confidence level.
Survey participants were asked to recall and then to provide information for products purchased in calendar year Information was not recorded at the time a particular product was purchased. Information on products and services purchased and project activity is therefore based on homeowners’ recollections of past year activity rather than based on diaries.
In 2016, the PPTS study transitioned to a difference panel source to recruit participants. Respondent criteria was kept consistent with prior years. We sought to get a representative sample of the population based on age, gender, income, and location.
To download the entire HIRI Product Purchase Tracking Report along with supporting data log into the HIRI.org website and go to the HIRI Consumer Product Purchase Tracking Study page.

38. Project and Sentiment Tracking Study
HIRI’s Project Sentiment Tracking Survey of homeowners has been conducted quarterly by HIRI since This report presents results for the 1st Quarter of 2017.
Each quarter, approximately 3,500 homeowners are surveyed about their plans for home improvement in the forthcoming months. Field dates for the 1st Quarter, 2017 survey were January HIRI contracts with Toluna™ to conduct the survey, the results of which are analyzed and reported by HIRI.
The Project Sentiment Tracking Survey asks homeowners which of 33 different home improvement project areas (if any) they are planning in the next 3 months. They are also asked to what extent they agree with statements about their homes and home improvement. The questionnaire is presented in Appendix A at the end of this report.
The results presented in this report are weighted to insure appropriate balance on region, marital status, income, age, gender, and residence.
To download the entire HIRI Project and Sentiment Tracking Study Report along with supporting data log into the HIRI.org website and go to the HIRI Project and Sentiment Tracking Study page.
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39. Contractor Sentiment Tracking Study
Objectives
The Home Improvement Research Institute wanted to better understand data across various topics of the home improvement market on a quarterly basis.
The Home Improvement Research Institute wanted to understand those topics as they pertained to five industry segments: Remodelers, Exterior Contractors , Mechanical Contractors, Finishing Contractors, and Landscaping Contractors.
HIRI wanted to understand current lead generation activities among service professionals: sources used, changes in the sources and investment on resources.
HIRI also wanted a broad understanding of how service professionals engage with home technology products.
Methodology
The online survey was administered from February 14th to February 24th.
The sample for the study included 1,744 respondents across various construction and remodeling trades within the five industry segments.
A majority (91%) of the sample were HomeAdvisor panelists.
Respondents must have been at least 21 years old
Each respondent must have done at least 50% of their work on residential projects.
Remodelers and general contractors had to do a majority of their work in the remodeling space (at least 51%).
To download the entire HIRI Contractor Sentiment Tracking Study Report along with supporting data log into the HIRI.org website and go to the HIRI Contractor Sentiment Tracking Study page.
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40. HIRI Project Decision Study
The 2015 HIRI Project Decision Study provides an overview of consumer behavior in the home improvement market across 18 different project categories. Project categories included in this study are:
Painted an interior room or area
Painted the exterior of the home or garage
Repaired, replaced, or added plumbing fixtures
Rewired an electrical system
Replaced or refinished flooring
Replaced or added window(s)
Remodeled the kitchen or parts of kitchen
Remodeled a bathroom
Added a bathroom
Remodeled a room in the home or garage for different use
Methodology
The 2015 survey was fielded among members of Ipsos’s Online Consumer Opinion Panel with a total of 2,687 consumers completing the survey.
Qualified respondents had to be 25+ years of age, own their primary residence, involved in planning/decision making for home improvements and repairs and have done at least one of the 18 projects listed above.
Built/added room or garage onto the home
Replaced the roof over the entire home or garage
Replaced the siding on the entire home
Built a patio, deck, or porch
Planted a garden or landscaped the property
Made garage appearance/organization improvements (other than cleaning)
Made outside front entrance appearance improvements
Added or replaced insulation
To download the entire HIRI Project Decision Study Report along with supporting data log into the HIRI.org website and go to the HIRI Project Decision Study page.

41. HIRI Home Improvement Retail Selector Study
The HIRI Home Improvement Retail Selector Study provides an understanding of consumer needs and purchasing dynamics regarding 16 home improvement product categories. The categories include ceiling/floor coverings, doors/windows/millwork, wall/window coverings, paint/accessories, hardware, lumber, building materials, hand tools/accessories, power tools/accessories, electrical/lighting, HVAC, major appliances, plumbing products, kitchen remodel, bath remodel and lawn/garden.
Methodology
The study was conducted over the Internet from May 16 to May 23, The respondents were from the American Consumer Opinion® panel ( Decision Analyst’s national panel of over 8,000,000 consumers.
A total of 1,610 surveys were completed during the dates mentioned above. Approximately one-half of respondents were men and one-half were women. Overall incidence was approximately 20%. To participate, a nationally representative sample of American Consumer Opinion® panel members were required to meet the following criteria:
Aged 18 or older
Owned their own homes
Involved in selecting products and services for their home or property
Had personally purchased products to improve, maintain, or repair their home or property in the past 3 months
Passed a security screen
To download the entire HIRI Home Improvement Retail Selector Study along with supporting data log into the HIRI.org website and go to the Home Improvement Retail Selector Study page.

42. American Housing Survey
The AHS is a longitudinal housing unit survey conducted by the US Census Bureau asks questions about the quality of housing in the United States. Returning to the same housing units every other year to gather data, this survey allows users the unique opportunity to analyze housing and household changes over long periods of time. In gathering information, Census Bureau interviewers visit or telephone the household occupying each housing unit in the sample. For unoccupied units, they obtain information from landlords, rental agents, or neighbors. The survey is redesigned from time to time to make sure it meets current needs and new topics are introduced for specific survey years.
For details on variables included in this survey and methodology go to:
Current Population Reports
The Current Population Survey (CPS), sponsored jointly by the U.S. Census Bureau and the U.S. Bureau of Labor Statistics (BLS), is a statistical survey conducted on a monthly basis. The survey includes a representative sample of about 60,000 homes and focuses on those individuals who are 15 years and older to make an inferential assumption about the U.S. population as a whole.
The survey seeks to determine the unemployment rate of certain regions, the earnings of person's surveyed, hours the respondent worked and other demographic factors. These demographic factors, such as age, sex and industry of work, determines the unemployment rate for the country and updates to population figures.
For details on variables included in this survey and methodology go to: