The revival of the laminate flooring category in the US is well documented. In the past two years in particular, laminate has regained market share lost to certain sub-segments of the resilient category (ie SPC and WPC) due to supply chain challenges surrounding some popular imported resilient products. This phenomenon forced specialty stores and distributors to fill the void with domestically produced laminate flooring.
The question now is whether this upswing will continue as supply chain issues surrounding imported SPC/WPC normalize and domestic production of competing hard surface categories increases. While some industry observers do not expect a seismic shift in the market share ratio between laminate and competing hard surface categories, they do believe that the laminate category will continue to attract attention for the foreseeable future.
David Moore
senior product director, wood and laminate,
Mohawk
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What is your projection for category growth for the industry in 2023?
| We think it will be in the single digits. |
Which segments/products will drive industry growth?
| I think home renovations will continue to grow, and laminate is still very relevant in the home centers. We definitely see a slowdown in the builder; laminate is still a popular product because builders want to switch to a product with a more economical price. |
What are the growth forecasts for your company in particular?
| We expect to exceed average growth for laminate in the industry. |
Mention some of your most important initiatives that you have realized in 2022.
| We started a new production line in 2022, so I think that’s a big win for us. We’ve actually been able to realize some of the volume through the investments we’ve made in our domestic footprint. That was a very exciting win for us. |
Identify the “X” factor that will impact business in general in 2023?
| There’s a lot of inventory flowing in right now, and retailers and distributors need to turn their inventory into cash. As a result, there can be a lot of price pressure as they now have to offload all the stuff they bought 18 months ago that is just now coming in. |
Where do you see the greatest opportunities?
| I believe our laminate products have a really good sales story against SPC and LVT when it comes to durability, appearance, etc. So we hope that our customers have tasted these products and are extremely satisfied with them and that benefit will play itself out in 2023, because they realize there is a significant benefit story when you compare laminate to the SPC-like products. |
David Sheehan
VP, residential hard surface
Mannington mills
What is your projection for category growth for the industry in 2023?
| The laminate category is expected to grow nominally. |
Which segments/products will drive this growth?
| We believe this growth will be driven by a resurgence in specialty retail combined with strong growth in refurbishments. Home centers remain a major player; however, some laminate real estate in that channel has been converted to LVT. |
What are the growth forecasts for your company in particular?
| Mannington is expected to top the industry, with high-single-digit growth. |
Mention some of your most important initiatives that you have realized in 2022.
| We continued to leverage our digital printing technology with successful new launches that deliver meaningful differentiation to consumers and retailers. Mannington has contributed to the revival of laminate in specialty stores with winning patterns and design and domestic production. |
Identify the “X” factor that will impact business in general in 2023?
| The X factor must be rising interest rates and how they can affect consumer buying habits. |
Where do you see the greatest opportunities?
| We see continued opportunities in specialty retail and select end-use markets. |
Derek Welbourn
DIRECTOR,
Inhaus
What is your projection for category growth for the industry in 2023?
| We remain positive on the laminate sector. All in all, the year 2022 was good for laminate. However, it came with mixed results; a strong first half of the year and a weaker fourth quarter. We expect the opposite in 2023, with a slower start and a stronger end to the year. |
Which segments/products will drive industry growth?
| Specialized retail continues to drive growth for laminate. We see the construction market continue to grow for laminate – despite some economic headwinds – as builders look for more reliable alternatives to hard core vinyl. |
What are the growth forecasts for your company in particular?
| We intend to continue to offer new programs and products that appeal to consumers and our retail partners, enabling us to continue to grow our market share. |
Mention some of your most important initiatives that you have realized in 2022.
| We have successfully completed the launch of our new Lamdura laminate collection and completed a number of key innovations in product features and design, which will be released in 2023. |
Where do you see opportunities for next year? Challenges?
| The interest rates and the effect on the overall market – the housing market in particular – will be of interest to everyone. With the market generally operating at a brisk pace in mid-2022 and declining later in the year, it has created an overall high level of inventory at peak cost. The market will have to deal with these challenges. |
What are some of your company’s biggest initiatives for 2023?
| The best opportunities are in partnership with key customers for both supply and new programs. |
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