Rug sales predicted to grow more than 12% in next 5 years
Home Accents Industry News
By Daphne Garland-McLean -- Home Accents Today, 1/1/2009
Though news on the economic front continues to be dreary, area rug sales are expected to increase by 12.6% over the next five years. According to estimates made by New York-based Easy Analytic Software Inc., area rug sales are projected to grow from $5 billion in 2008 to $5.6 billion in 2013.
Regionally, over the next five years, the West and the South will have the greatest sales growth if EASI's sales projections hold true.
Statisticians at EASI expect area rug sales growth in the West to increase by 15.4% and in the South to increase by 14.8%. A slower growth pattern is expected in the Midwest and Northeast with forecasted growth expected at 9.8% for the Midwest and 8.5% for the Northeast.
Looking at the states, 20 states in the U.S. are expected to exceed the national average in area rug sales growth by the year 2013.
Of those 20, 12 states are in the West and eight states are in the South. No states in the Northeast or Midwest are expected to exceed the national average in sales growth for area rugs. However at growth rates of 12.2% and 11.7%, respectively, New Hampshire in the Northeast and Minnesota in the Midwest are expected to be extremely close to the national average.
Four of the five states expected to experience the fastest sales growth are in the West. Nevada tops their ranks with an expected growth of 25%. Arizona is a near second, expected to increase sales by 23.6%. Slightly lower, Utah is expected to grow by 19.2% and Idaho by 18.7%. In the South, Georgia with a projected increase of 18.1% rounds out the top five among states in area rug sales growth.
Among all metros, Palm Coast, Fla., tops the chart in area rug sales with an expected sales growth of 43.5% over the next five years. According to EASI projections, Fernley, Nev., will increase in area rug sales by 35.9%. St. George, Utah, and The Villages, Fla., can both expect significant sales growth, with an EASI forecast of 34% and 33.7%, respectively. By 2013, Pahrump, Nev., is also on track for exceptional growth with an anticipated 30.8% increase in area rug sales.
If EASI projections remain intact, three of the ten biggest markets will exceed 20% in sales growth in area rugs. The Atlanta-Sandy Springs-Marietta, Ga., market can anticipate a sales increase from $81.8 million in 2008 to $100 million in 2013. That's a 22.1% change over the next five years.
Close behind are the Dallas-Fort Worth-Arlington, Texas, and Houston-Sugar Land-Baytown, Texas, metros at 21.4% and 20.5% respectively.
| 2008 estimated | 2013 projected | percent change | |
| U.S. | $5.02 | $5.65 | 12.6% |
| Northeast | $0.96 | $1.05 | 8.5% |
| Midwest | $1.13 | $1.24 | 9.8% |
| South | $1.83 | $2.10 | 14.8% |
| West | $1.10 | $1.26 | 15.4% |
| Source: Easy Analytic Software, Inc. and Home Accents Today market research | |||
While the Greater Washington-Arlington-Alexandria area is not expected to exceed 20% in sales growth over the next five years, this area will exceed the national average with a projected increase of 13.9%. The New York-Northern New Jersey, Long Island, N.Y.-N.J.-Pa. metro is expected to experience the slowest growth, increasing only 8% from $317.6 million in 2008 to $343.4 million in 2013. Still, this metro accounts for a big chunk of area rug sales dollars.
For a complete listing of top metro areas by region, as well as a forecast for each state, visit HomeAccentsToday.com.
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