Each generation of consumers is slightly different than the one that came before. Whether the changes are driven by a need for improvement or a desire to create something unique, the newcomers hold tightly to their ideas. As a Florida General Contractor, you have boots on the ground in the battle for business and one of your greatest weapons is a comprehensive knowledge of current trends within the industry. The more you know, the better your chances of earning the respect of prospective customers seeking a contractor with expertise in current trends, as well as the skilled laborers hired on to your team. At Contractors Reporting Services, although we specialize in Florida General Contractor license requirements, renewals and corporate structure, we make every effort to provide you with useful information to improve your opportunities for success as you build you General Contracting business. Here are 4 current industry trends worthy of your interest:
- Renovations reign supreme
In 2016, customers are hiring contractors to build new home improvements, not to build a new and improved home. The construction industry is booming. But in order to maximize business, contractors should focus their efforts on renovation rather than homebuilding. Houzz, a home design website, found in a recent survey that over 50% of homeowners aged 60 or older don’t plan on moving. The shrinking market for home building could be attributed to an aging population, or the general perception that the mortgage market is unsavory.
- Millennials still don’t want to be homeowners.
The US Census found that the percentage of millennials that own a home is still incredibly low–one in three still live with their parents. When targeting first-time buyers, try to cater to the 30 to 40-something age range. With this decade’s economic climate, most Americans are just paying off their loan-debt and entering the housing market at about 35. Keep that in mind when gauging the professionalism and appeal of your marketing approach.
- Workers want better pay
The Housing Bubble is finally behind us, and the construction industry has rebounded at last. The Associated General Contractors of America found in their annual survey that construction employment has reached its highest level since it climaxed in January 2009. This is excellent news for construction laborers, but not necessarily for you, their employers. The industry is already facing labor shortages. But why? The Wall Street Journal explained that low wages aren’t sufficient to attract skilled laborers to the physically demanding and dangerous work of homebuilding, while federal immigration reform has reduced the foreign labor pool. Additionally, high schools are continuing to place more focus on college prep and less emphasis on vocational training for young workers. So, when the labor supply is low, but the labor demand is high, basic economics indicates that the price of labor will rise. Therefore, as a contractor, if you want your share of the profits in the industry’s boom, you’re going to have to share more of your profits with your laborers.
- The Custom Restaurant Boom is still booming
Big restaurant chains remain leaders in the food industry, but “unique experience” restaurants control the mass appeal. In fact, the National Restaurant Association reports that seven in ten restaurants are “single-unit operations.” Environmentally-friendly, organic restaurants fill the largest urban niche because they sate the desires of today’s health-conscious, green foodie. The restaurant industry has seen a sales increase of more than 20%, so more green restaurateurs are looking to build than ever before. As a new contractor, it’s important that you are well-equipped to win bids on these new projects. As the sentimental environmentalist takes over the restaurant industry, expect custom or renovated restaurants to be greener, rustic and LEED (Leadership in Energy and Environmental Design) Certified. Minimizing water usage, capitalizing on alternative energy solutions (i.e. rooftop solar panels) and natural lighting will all improve your chances of winning a bid from this kind of customer. Additionally, aesthetic trends that go hand-in-hand with this design-style include exposed plumbing and infrastructure, open kitchens, and high ceilings. These exposed details must be flawless, and will require extra effort from contractors, but if these are executed properly, the profits are beyond worth it.
Sometimes, being “trendy” isn’t a bad thing, and as a Florida General Contractor, it’s exactly what you want to be. Contractors Reporting Services is here help answer all of your questions about how to become a contractor, as well as any other industry licensure questions you might have. Don’t hesitate to give us a call to see how we can help you.
Contractors Reporting Services ~ https://activatemylicense.com
13795 N Nebraska Ave, Tampa, FL 33613 ~ (800) 487-2084