German market
The market for home improvement in Germany
The DIY market covers a wide range of products and services related to manual work, repair and renovation, and is divided into various segments, including tools, building materials and garden tools. This list is not exhaustive, as many other product types fall into this category. The first home improvement stores emerged in the 1920s in the U.S., particularly with the development of the chainAce Hardware.
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The DIY market covers a wide range of products and services related to manual work, repair and renovation, and is divided into various segments, including tools, building materials and garden tools. This list is not exhaustive, as many other product types fall into this category. The first home improvement stores emerged in the 1920s in the U.S., particularly with the development of the chainAce Hardware.
Globally, the growth rate (CAGR) of the home improvement market is 3.8% for the period 2021-2025, and the latest estimates show a market of nearly $700 billion, which is expected to grow to over $800 billion by 2027. The most developed segments are mainly tools and building materials, which account for a significant portion of consumer spending. In addition, European countries and the U.S. dominate the market in terms of consumption of home improvement products and services (in volume).
The German home improvement market is also growing, but appears more mature compared to the global market, with a CAGR of just over 2%. In addition, the typical customer profile in Germany varies, but they tend to be private individuals. Culturally, many Germans are interested in making changes to their homes themselves to improve them and reduce energy consumption. There is also a current trend towards "Do It Yourself" (DIY), as opposed to "Do It For Me" (DIFM), reflecting the changing expectations of German consumers who like to save money.
OBIremains the market leader with more than 350 stores in Germany.
Other companies such asBauhausandHornbachare well known in Germany and offer building materials and special products, for example for the garden sector.
E-commerce and 100% online services are gaining in popularity, offering customers greater flexibility and access to a broader range of products. Home improvement equipment rental is becoming increasingly popular. This business model is in vogue as it allows DIYers to save significant sums of money while meeting their expectations.
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