Builder’s Pain Points Drive Market for Components
In preparing the monthly NAHB/Wells Fargo Housing Market Index survey, builders were asked a series of additional questions regarding housing trends. The first question concerned challenges builders faced in 2017 and the likelihood they would be faced in 2018, and the results highlight a significant sales opportunity for component manufacturers (CMs). According to the survey results:
“Topping the list of problems builders faced in 2017 and expect to face in 2018 is the Cost/Availability of Labor, a significant issue for 82% of builders in 2017 and one that has significantly grown in importance since 2011. That year, 13% of builders rated labor as a significant problem, followed by 30% in 2012, 53% in 2013, 61% in 2014, 71% in 2015 and 78% in 2016.
The second most significant problem in 2017 was ‘building material prices’-cited by 77% of builders. In 2011, the ’building materials prices’ was rated significant by 33% of builders who responded to the survey. That share increased to 46% in 2012, 68% in 2013, 58% in 2014, 42% in 2015 and 48% in 2016. In fact, this issue showed the largest increase by far between builders noting it was a problem in 2016 and 2017.”
As the above chart indicates, 84% of builders see building material prices to be a significant challenge in 2018.
Whether it’s roof trusses, wall panels or floor trusses, structural building components are framing solutions that require less labor to install and use wood fiber more efficiently. In essence, they are the perfect solution to address builder’s most significant pain points.
SBCA has created a series of digital tools CMs can use to kick start conversations with builders and framers on converting from stick-framed solutions to components. If you’re interested in exploring this approach to gaining market share, attend tomorrow’s SBCA webinar “Digital Media Strategies to Boost Sales.”