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Roofing Industry Statistics: Where is the Industry Going?

roofing industry statistics: where is the industry going?The roofing industry has seen more change in the last few years than most. Technology, especially drone technology, is giving commercial and residential roofers new tools. New products, such as metal roofs and green roofs, are also becoming more popular. While there are changes on the horizon, the roofing industry is also still struggling to handle one of its oldest problems, the labor shortage. These roofing industry statistics can help you make sense of the changes in the industry and help you best position your company to meet the challenges and take advantage of the newest opportunities.

What Does the Industry Look Like?

Basic roofing statistics from Roofing Contractor’s State of the Industry report, a survey completed by Clear Seas Research on behalf of Roofing Contractor, reveals what the industry currently looks like. Most roofing contractors who participated in the survey were male (86%) of an average age of 50. Sixty-four percent of the work these contractors completed in 2018 was residential, and 46% was commercial. The median revenue of these contractor’s companies was between 1 million and 1.9 million.

Major Challenge: Labor Shortages

The roofing industry has long faced the challenge of finding enough labor. This year, 65% of the contractors surveyed found that finding qualified workers was their biggest challenge. This challenge was a slightly more pressing problem for commercial roofers, 72% of whom agreed than for residential roofers, 62% of whom agreed.

The National Roofing Contractors Association estimates that there are 40,000 unfilled positions in the roofing industry. Adding to that struggle is increased labor costs and regulation. Seventy-four percent of roofers surveyed said that they spent more on labor costs in 2018, about 13% more. Only 3% said that they spent less on labor in 2018 than they had in years passed.

In order to attract more labor, roofing contractors are turning to a wide variety of outlets, some more successful than others. Almost three-quarters (73%) of contractors said that getting referrals from their employees was the most successful way to find qualified employees. Sixty-six percent agreed that referrals from family and friends were also successful, while only half agree than online job postings worked, and even less believe that social media and newspaper postings were successful.

It is also useful for roofers to know how the competition is attempting to attract the best employees. According to the report, 62% of companies use bonuses and wage increases to incentivize employees. While only 28% and 10% of companies focus on providing a friendly work environment and focusing on the availability of hours, respectively.

Major Challenge: Covid-19 Response and Recovery

Unfortunately, the NRCA found that 52% of roofing contractors have been impacted by the Covid-19 pandemic and quarantine. More than half of the roofers who participated in this survey reported that the number of customers requesting bids and estimates is reduced. Almost half also had jobs cancelled over the pandemic.

While job demand is reduced, most roofers are still able to get the materials they need to complete the jobs they are able to get. Only 22% of roofers had trouble with their suppliers. However, a significant portion of roofers are experiencing other kinds of delays, such as delays on inspections (56%) and local jurisdictions refusing to grant new permits (36%).

In good news, it seems that the roofing industry and the construction industry as a whole will recover jobs relatively quickly from the Covid-19 response. According to the National Roofing Contractor’s Association, already in May, the construction industry added 237,000 net jobs. Consumer confidence is also higher than expected. This may mean that fewer jobs are being cancelled and that roofers who rely on new builds and consumer re-roofing have a more optimistic outlook than previously predicted. This may explain why 62% of roofers are confident that they will be able to get back to normal business a month after the Covid-19 restrictions are lifted. As for their faith in the future of their business, 56% say that they are confident, and 37% of roofers are “very confident” of the same.drone technology helps roofing contractors

Major Opportunity: Technology and Drones

The roofing industry has seen several technological advances that could help roofing companies be more successful. The most obvious change is the use of drones for roof inspections, marketing, as well as before and after photos. While those were the most common reasons for using a drone, some roofing companies also use drones to take thermal measurements and look for leaks, or to take physical measurements.

In Roofing Contractor’s report, 22% of roofers reported that they are using drones in their day-to-day work. An additional half said that they were likely to make an investment in drones in the next two years. The industry is very rapidly adopting drone technology.

However, the industry is slower to adopt other technologies, perhaps because they may have less obvious benefits. For example, most roofers are not looking to invest in augmented or virtual reality programming. Most are also not consider purchasing robots or 3-printers in the next five years.More calls, fewer headaches

Changes in Consumer Demands

Roofing companies are increasingly finding that new types of roofing, including metal roofs and green roofs, are more in-demand from consumers and certain commercial sectors. According to Metal Construction News, metal roofing is now 14% of the residential market. More than half of the roofers surveyed by Roofing Contractor said that their residential metal roofing sales increased this year, and more than half also reported that they expect that sales will increase even more next year. Consumers who choose metal roofing do so because they perceive that it is attractive and a good investment.

As for commercial roofers, the growing green roof trend is a big change. Several major cities in the United States require new commercial construction to have a green roof. There is also some demand for re-roofing green roofs. According to a report from Grandview Research, the demand for green roofing is projected to grow 17% every year from 2020 to 2027.

So, while the roofing industry faces challenges, new technology and new roofing materials are offering businesses the opportunity to stay competitive and become more profitable. One way your roofing company can take advantage of this is by investing in a professional roofer answering service, to ensure that your business never misses a call.

How are other industries stacking up?

Learn more about HVAC industry statistics and plumbing industry statistics.

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