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Low Slope RoofingRoofing News

Quarterly Reroofing Survey Suggests Continued but Decelerating Market Optimism for Low-Slope Business Segment

quarterly-reroofing-survey-2021

Image: Association Research Inc.

August 3, 2022

ARLINGTON, Va. — A coalition of industry trade associations representing contractors, consultants and manufacturers in the U.S. and Canada has completed its Q2 2022 Market Index Survey for Reroofing. The survey takes the pulse of the reroofing industry on a quarterly basis and serves as a regular barometer of the industry’s business conditions. 

A total of 147 respondents completed the eight-question survey during a two-week period in July 2022 with approximately 80% of responses coming from roofing contractors and 20% coming from roofing consultants. Approximately 89% of respondents indicated that their business is primarily low slope or a blend between low slope and steep slope while 12% of respondents are engaged in steep slope only. A majority of respondents (47%) reported annual gross revenue of between $1 million and $10 million.

The survey results indicate general optimism for most market segments (as measured by a value greater than 50 in the respective index) though each index trended lower compared to the prior quarter. The customer inquiry index for the steep slope business segment turned negative for the second quarter dropping to 41.2 from 55 the prior quarter. Some topline excerpts of the survey include (note: totals may not equal 100 due to rounding):

  • Customer Inquiries: Forty percent of all respondents indicated that customer inquiries increased during the second quarter of 2022 compared with the same quarter in 2021, with 11% indicating an increase of more than 25%. Twenty-nine percent of respondents reported a decrease in customer inquiries during the same period, and 31% indicated no change in activity. 
  • Project Contacts: Forty-three percent of all respondents reported an increase in project contracts during the second quarter of 2022 compared with the same quarter in 2021. Twenty-four percent of respondents reported a decrease in project contracts during the same period, and 34% indicated no change in activity. 
  • Project Backlog: Fifty-two percent of all respondents reported a project backlog of three months or longer as of July 2022 compared to 46% of respondents that reported a similar backlog in April 2022.
  • Customer Inquiries Index*: The Customer Inquiries Index for the total industry, including both low and steep slope dropped to 55.4 for Q2 2022 compared to 62.8 in the prior quarter. 
  • Project Contracts Index*: The Project Contracts Index for the total industry including both low and steep slope fell slightly to 59.2 for Q2 2022 compared to 62.1 in the prior quarter. 

* The index is based on a zero to 100 scale, with a score of 50 or higher suggesting expansion or optimism, while a value below 50 indicates contraction or pessimism.

The complete results of the Quarterly Market Index Survey for Reroofing are available to those who participate in the survey via an online dashboard that enables users to filter results by region and other metrics. Any contractor or consultant who would like to participate in next quarter’s brief survey can sign up for notification at http://bit.ly/37ank7D. 

KEYWORDS: low slope roofing reroofing state of the industry steep slope survey trade organizations

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