Starting mid-March, The Farnsworth Group and Home Improvement Research Institute began tracking DIY and Contractor behaviors being impacted COVID-19 on a weekly basis. Two months later, we have learned several important results.
DIY Activity Was Robust — and It Is Due to COVID-19
DIYers stated having time at home as the major reason for starting projects that they otherwise had not planned prior to COVID. This resulted in not only a strong DIY retail market, but a strengthening DIY market as the weeks continued. We saw an increase of 60% doing a project, up to 74% doing a project.
DIY Activity Was Robust — and It Is Due to COVID-19
DIYers stated having time at home as the major reason for starting projects that they otherwise had not planned prior to COVID. This resulted in not only a strong DIY retail market, but a strengthening DIY market as the weeks continued. We saw an increase of 60% doing a project, up to 74% doing a project.
Project intent was equally as strong, which caused the growth in completed projects. 66% of DIYers were planning to do a DIY project in the coming weeks in mid-March, compared to 75% today stating they plan to do a project.
Those not doing project work is largely due to concerns over personal finances.
Increase in Online Purchase Behavior
As online activity increased so did online purchases. We saw in-store purchase go from a high of 88% of DIYers stating they went in a physical store to make their recent home improvement product buy, down to 75%, while online purchases (delivered or picked-up) went from 49% at its lowest to 72% at its highest. While most categories were impacted, the degree each product category was impacted varied.
Why are they buying online? Health concerns are clearly the driving force. But 23% also stated they went online because they couldn’t find the products they wanted in-store. Creating opportunity for those brands or products who are able to meet availability demands.
The effects of online vs in-store behavior are expected to last. That makes it critical for manufacturers and suppliers to deliver products where and how consumers are asking for them.
Entry-Level DIY Projects Received the Most Attention – With Increases in Complex Projects
Paint, Lawn & Garden and General Home maintenance were by far the most common projects undertaken by DIYers in recent months, as is historically the case in Spring months.
However, what stands out is the increase in more complex DIY projects such as plumbing, HVAC and electrical work. These areas at times doubled in terms of DIYers planning to do these projects in the last few months, though in recent weeks, intent has returned to more ‘normal’ levels indicating the possible return to contractors being hired for these more complicated projects.
DIY Activity and Spend Is More Than Planned
At its lowest point, only 38% of DIYers expected to do more projects than planned prior to COVID-19. In recent weeks, that number has reached ~50% with another ~40% saying they plan to do the same amount of projects as they had planned to prior to COVID.
The story remains the same for the amount they plan to spend with as low as 28% planning to spend more than planned prior to COVID-19. That was in March.
By June, that number was up to 44% saying they plan to spend more with another 40% saying they plan to spend the same as they did before COVID began. This suggests the DIY retail industry has seen added projects and sales rather than pulling activity forward.
Younger Generations Are Driving Activity
As home improvement research experts, we know younger homeowners are more likely to take on DIY projects. Tackling these projects during COVID is no exception. Not only are they taking on more projects and planning to do more projects, but they are also planning to spend more than older generations.
This is important as you begin to also consider how younger generations shop and look for information. Gen Y uses reviews more, they use YouTube instructional videos more and they often have low brand awareness. Be sure to understand Gen Y (and soon Gen Z) behavior within your product and brand to truly understand what their behaviors mean for your business.
In Summary
In two and a half months, we’ve seen not only a strong DIY market, but a growing DIY market, with many indications that DIY activity has been added sales rather than pull forward sales.
We must continue to monitor health and financial concerns as they will continue to play a role in DIY behaviors. So, too, will the amount of time DIYers spend at home. With states opening up, DIYers are beginning to have more options to spend their money and time.
How will this impact DIY activity? How will this impact Contractor activity? Which products and channels will continue to see a boom in online activity?
These are going to be important questions to ask over the coming months that you MUST understand specific to your business. The sooner you can understand what these behaviors are and why they are happening, the quicker you can respond to the market and leverage opportunities.
If you want to learn more about your business and COVID, contact us today to start your custom research project.