Brighter days ahead
Casual Living Staff -- Casual Living, July 1, 2007
Consumer spending on outdoor furniture will reach $3.88 billion in 2011 according to New York-based Easy Analytic Software Inc., and Casual Living market research. That's a 27.5% increase over the 2006 estimate of $3.05 billion.
Although consumer confidence has been declining recently, mostly due to high gas prices, the overall economy has been doing well, and U.S. demographics, which are the basis for EASI's projections, point to a healthy outlook for outdoor furniture sales.
The statisticians at EASI use population and demographic growth patterns to project 2011 sales. Changes in economic conditions are not part of the equations.
Two demographic groups in particular will be the major force in shaping sales. More than half the population in 2006 belonged to either the Baby Boom generation or their offspring — sometimes called Echo Boomers, more recently referred to as Generation Y.
Boomers are moving toward retirement. The oldest turned 60 last year, and they're starting to downsize and look toward retirement and leisure time — maybe on their patios.
By 2011, all 76 million members of Gen Y will be college-age or older. They'll be ready to buy all sorts of furniture — including outdoor.
As with many other products, the fastest sales growth is expected to occur in the West and the South, following the expected population growth in these areas. Palm Coast, Fla., between Jacksonville and Daytona Beach, is projected to have the nation's biggest increase in outdoor furniture sales in the next five years — 60.5% to nearly $1.4 million. The New Orleans-Metairie-Kenner, La., area is projected to have a 53% increase as it recovers from the ravages of Hurricanes Katrina and Rita. Of the 10 metro areas expected to have the fastest sales growth in the next five years, all are in the West or South. Florida claims three, Utah and Nevada two each, Louisiana, Colorado and California, one each.
|2011 projected||% change from 2006|
|Source: Easy Analtyic Software Inc. and Casual Living market research|
|New York-Northern New Jersey-Long Island, N.Y.-N.J.-Pa.||$242.5||23%|
|Los Angeles-Long Beach-Santa Ana, Calif.||152.8||27|
|Dallas-Fort Worth-Arlington, Texas||81.0||36|
|Washington-Arlington-Alexandria, D.C.-Va.-Md.-W. Va.||77.2||28|
|Miami-Fort Lauderdale-Miami Beach, Fla.||73.2||31|
|Houston-Baytown-Sugar Land, Texas||69.2||32|
|Atlanta-Sandy Springs-Marietta, Ga.||67.1||36|
|2006 est.||2011 proj.||% change|
Note: States in bold are projected to grow outdoor furniture sales faster than the national average.
Source: Easy Analytic Software and Casual Living market research
|District of Columbia||6.7||7.5||12|