Market Survey: Western Market Share

A Look at the Roofing Product Market in the West

by Marc Dodson, editor

 

What started out as a great year for the Western roofing industry quickly took a turn for the worse when COVID-19 reared its ugly head. Construction projects across the country quickly came to a standstill, either by mandate or by lack of confidence. However, this stagnation was short lived as construction was deemed a necessary industry. Currently, a good portion of construction has resumed, although definitely not to pre-pandemic levels.

Our annual survey of product market share to our readers had just concluded when disaster hit. A quick inquiry to a sampling of our readers indicates that while the overall volume is still down in the last few months, the market share of the individual products is basically the same. Therefore, we decided to publish our annual survey results.

The Associated General Contractors (AGC) of America recently reported that construction projects are now returning to pre-coronavirus levels. The roofing contractors we spoke to stated that while business was not what it was a few months ago, it’s getting close. Most mentioned that more jobs are currently involving reroofing and recover than new projects. New construction is just now starting to take hold. The roofing activity increase is across the board with both the residential and low-slope markets steadily rising.

2020 Projected Western Market Mix

Steep-Slope & Low-Slope Markets

Reroofing will again make up the majority of the steep-slope market this year. There has been a rise in the resale of existing homes and new housing being built. The housing market is flat in some areas, while several markets have reported a rise in prices of existing homes across most of the West.

While new low-slope construction is once again increasing, reroofing and recover will account for the majority of growth this year. The low-slope market is expected to capture about 58% of the total this year with steep-slope taking about 42%, a slight decrease for the steep-slope portion of the pie.

Overall, the projected 2020 market is 28% for new construction, 51% reroofing, and 21% repairs and maintenance. Due to COVID-19, new construction will probably rise some in a few months, but overall will be slightly down by the end of the year.

 

2020 Projected Western Commercial Market

Western Product Mix

In the low-slope market, TPO continues to take the biggest portion of the roofing pie in the West with a 30.7% share, up again from the previous year. Metal roofing, both architectural and structural, also showed significant increases. Other materials remained steady with only minor fluctuations.

On the residential side, the top dog in the West for 2020 will once again be fiberglass shingles, with a commanding 62.8% of the market. This is up from last year, with the majority of the sales coming from high-end fiberglass/laminated shingles. Major manufacturers continue to emphasize their premium product lines, the majority being applied on reroofing projects.

Minor increases were also seen in metal roofing materials. Once again, these market shares are based on dollar volume of the jobs as reported by contractors answering our surveys.

 

2020 Projected Western Residential Market

Down the Road

What’s ahead down the road for the remainder of this year? If a vaccine for COVID-19 is developed by the end of the year as predicted, many Western roofing contractors stated they would expect both the commercial and residential roofing markets to bounce back. Every independent financial and economic survey that we could find reported the same good news, if the pandemic can be brought under control. Now it’s just a waiting game.

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