MRO Magazine

$4.1 Billion Decking and Railing Market to Grow 3% through 2017 According to Principia Consulting Report

By Business Wire News   


The overall decking and railing industry has been relatively stable over the last couple of years. Total demand for decking and railing materials in the North American residential market was valued at $4.1 billion based on supplier factory gate prices in 2014 compared with $3.6 billion in 2012. While the improving economy has had a modest impact on category demand, the increased sales in 2014 versus 2012 represent a shift to more expensive decking and railing materials.

A Major Shift in Composites Has Occurred−And Will Continue

The decking and railing industry has undergone a shift from traditional uncapped composites and cellular PVC decking materials to capped composite decking (figure available at Capped decking provides the industry with a product that offers true low maintenance features at a variety of price points and aesthetic choices.

Composite decking is forecast to grow at a 5% compounded annual growth rate through 2017, which is faster than the industry average of 3%. However, the shift in composite decking offerings to higher price point products could limit growth opportunities for the upper end of the composite decking market. Suppliers should consider how benefit awareness, price (ultimately value) and product distribution will influence product sales.

Continued Struggle with Benefits Awareness

Fifty-one percent of homeowners surveyed, who had recently built or planned to build a deck, stated that they don’t clearly understand the benefits of composite decking. To increase market share, composite manufacturers may consider increasing promotional efforts to educate the market on the benefits of composites over treated lumber, specifically capped decking materials and the advantage of lower maintenance requirements.

Trend to Higher Priced Composites Widens the Price Spread Compared to Lumber

The middle of the overall decking materials market is not growing, leaving a more polarized and distinctly-defined market with treated lumber at one end and mid- to high-end composites and cellular PVC at the other end. This price spread between composites and treated lumber has been an inhibitor in composite products ability to gain share. With this trend towards the price spread increasing and becoming more sharply defined, the outlook is tempered for composites to be able to take notable market share from treated wood.

Home Centers and Direct Purchases are on the Rise

With nearly 4,500 stores in the US and Canada, home centers make it easy for customers to shop and purchase decking and railing products. In addition, home centers have developed digital marketing platforms to increase online and in-store sales. This strategy is working for the home centers as evidenced by the increasing share of distribution for decking and railing products.

Now Available Principia’s Comprehensive Industry Report on Decking and Railing

Principia’s Residential Decking and Railing 2015 report provides detailed insight and market analysis, which is a key tool for every industry participant’s business planning effort. Using 2014 as its launch point, the report combines primary research with voice of the customer insights from qualitative and quantitative surveys conducted among more than 800 value chain participants and homeowners.

2015 Decking and Railing Report Deliverables

  • Decking and railing industry growth forecast to 2017
  • Voice of the customer research showing product usage and preference trends
  • Distribution trends related to pro channels and the home center retail market
  • Market share estimates for 2014 among leading suppliers of synthetic decking and railing
  • Supplier/distributor relationships through recent realignment

How to purchase the report:

To purchase the report or learn more about the scope and content covered, please contact Dawn Habgood, VP Research Solutions:

About Principia Consulting

Principia Consulting is the leading research and consulting partner focused on the building materials industry. Executives depend on Principia for credible expertise, trusted insights and actionable strategies to confidently navigate their business toward optimized profitability and growth. For more information about Principia Consulting, please visit and

Principia Consulting
Editorial Contact:
Brooke Cowell, Vice President, Marketing
610-363-7815 Ext. 4742


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