Q3 of 2023 results from the Farnsworth Quarterly Contractor Index are now available to download.
The results of the study this quarter have made evident the difference in market realities when considering the mindset and behaviors of the consumer, and not just looking at economic metrics. The mindsets of the customer is strong and that is having a positive impact for home improvement, which we see in how professional contractors view the present and future outlook of their businesses.
Here's what we are seeing:
1. Contractor Confidence Rebounded in Q3
Overall, confidence among residential pros rebounded in Q3 compared to Q2 and is in line with confidence from Q3 last year.
2. Contractors Are Busier
Pros reported their business is slightly busier this year than this time last year, and noticeably busier than they were last quarter. This may also reflect the increasing consumer confidence.
3. Project Backlogs are Strong Across Trades
Backlogs are strong across trades, and backlogs of projects are strongest among Remodelers, Mechanical Trades and Landscaping.
4. Volume of New Leads Growing
Looking ahead, we see continued and even improving volume of new leads contractors are receiving; plus, the quality of leads is strong. This suggests pros will be taking on increased projects.
5. Project Size is Not Shrinking
It’s likely those will be larger projects as we track the size of projects pros are doing. Over 1/3 or contractors said their projects were larger this quarter over last. Nearly half stayed the same. We expect the project size to increase as home owner confidence grows and equity remains.
Determining Your Best Next Move
For industry insights on what this means specifically to your business and what to be paying attention to going forward regarding your customers, brand and products, simply schedule a consultation.
Be sure to check out the full report of our most current Farnsworth Contractor Index below: