Posted by Diane Capuano
Back-to-back quarters in positive sales territory for 2012 is reason for optimistic in the independent paint and decorating store channel. Through the first half of 2012, total sale sales have increased 5.7 percent when compared to the first six months of last year. This also builds on the modest gains posted at the end of the 2011, when fourth-quarter gains of 2.9 percent in total store sales allowed 2011 to close out at 1.9 percent higher than 2010.
Looking at the second quarter alone, total store sales increased by 4 percent in the United States and Canada this year when compared to the second quarter of 2011. Every region in the U.S. showed positive results for the second-quarter, ranging from a 7.2-percent increase in the Midwest to a 3.6-increase in the West. Canada recovered from a break-even first quarter to a 3.7-percent increase for its second-quarter comparatives.
Paint remained in positive territory with a 4.5-percent second-quarter increase—not as positive as the 7.5 percent increase for the first quarter—but enough to give the category an overall increase of nearly 6 percent for the first six months of the year in comparison to January-June 2011. Window coverings posted extremely robust sales in the second quarter, with an increase of more than 15 percent.
Among the economic factors helping to boost sales are improved housing starts and a relatively steady Consumer Confidence Index.
The Pulse Report is a product of the PDRA Research Department. You can take a look at the full report here.