ROOFING MATERIALS MARKET ANALYSIS

Market Challenges And Opportunities

Global Roofing Materials Market Drivers:

Growing remodeling and renovating activities to propel market growth

According to the State of the Industry Report for Roofing Contractors, U.S., roof replacements in North America accounted for a share of approximately 94% of the overall roofing projects in 2020. A number of properties in North America and Europe are more than 25–30 years old. Hence, they are expected to undergo roof replacements in the coming years. Moreover, according to the Joint Center for Housing Studies (JCHS) of Harvard University, home renovation expenditure accounted for US$ 420 billion in the U.S. in 2020 that was a 3% increase in home renovation spending of the previous year.

Increasing demand for green building worldwide to expand market size

Green buildings material are an excellent way to reduce energy costs, manage stormwater runoff and provide insulation to home. They are also good for reducing carbon footprint, and they can add aesthetic value to property. According to the International Finance Corporation, green buildings will provide a US$ 24.7 trillion investment potential in emerging market cities by 2030 with a population of more than 500,000 people. The majority of this investment potential worth US$ 17.8 trillion is concentrated in South Asia, which is projected to house more than half of the global urban population by 2030.

Global Roofing Materials Market Opportunities:

Increasing use of concrete tile as roofing materials is expected to provide significant growth opportunities. Concrete tiles are another popular option for people who are looking for a more affordable way to get the same durable benefits as clay tiles, but without the high price tag. They are less expensive than clay, but they are also heavier and require more support to install correctly. In addition to being more durable, these materials are also resistant to weather and moisture, ensuring that they are not damaged by rain or snow. They are also a great option for homes that are located in areas with high winds and extreme temperatures.

The global roofing materials market is a fragmented with several players striving to gain higher market share by investing in the development of improved products and adopting strategies such as partnerships and acquisitions & mergers. The key players are focusing on establishing and maintaining competitive pricing to ensure maximum revenue generation for their companies. This is expected to hold potential market opportunities.

Global Roofing Materials Market Restraints:

Increasing labor cost and shortage of skilled workers to restrict market growth

The increasing labor cost and shortage of skilled workers have been a major restraint on market growth. In addition, the social distancing norms imposed by various governments during Covid-19 pandemic have made it difficult for contractors to obtain raw materials and complete construction projects on time.

Increasing adoption of roof coatings to hinder market growth

According to the State of the Industry Report 2021 for Roofing Contractors by the National Federation of Roofing Contractors, U.S., roof replacement projects accounted for shares of 91% and 94% in terms of value and volume, respectively in 2020. This shows that the worldwide demand for roofing materials is increasingly dependent on the number of roof replacement projects. However, as consumers are adopting cost-effective solutions such as roofing coatings, this hampers the demand for roof replacements, thereby negatively impacting the growth of roofing materials market.