The US commercial paving board market is projected to be $308.6 billion by 2021, with a projected compound annual growth rate (CAGR) of 10.1% over the forecast period. Due to increased construction activity across the country and the strong, durable and aesthetically pleasing flooring characteristics and solutions of paving slabs, it is expected to drive market growth throughout the forecast period.
Growth in the market slowed slightly due to lack of demand from the construction sector. Restrictions imposed due to the COVID-19 pandemic have resulted in temporary closures of construction activities, resulting in insufficient demand for paving slabs in new and rebuilding construction activities, reducing demand for this product. However, the early lifting of restrictions on construction activity and COVID-19 relief efforts in the region helped retake the market with minimal damage.
The market is expected to be driven by an increase in commercial construction activity to illustrate the improving health of the economy. Growth in business sectors such as food and consumer goods led to increased demand for office and storage space. This greatly promoted the construction industry and the demand for durable and aesthetically pleasing flooring in the form of paving slabs. An increase in the standard of living at home has led to an awareness of the benefits of using paved flooring in buildings. Because of their aesthetic and useful properties, rising income levels have led to an increase in the use of paving boards for flooring. Although some people still prefer traditional alternatives such as tiles, performance, maintenance and cost characteristics have improved the adaptability of paving slabs.
Product manufacturers have highly integrated supply chains, with most of the participants engaged in the production of raw materials used to make paving slabs. Most participants have extensive direct distribution networks that facilitate the smooth flow of products and help them create a larger product portfolio with multiple customization options, which is a key factor in purchasing decisions. The presence of multiple players with higher quality products and competitive prices as well as slight product differentiation, thus reducing customers’ switching costs and thus improving buyers’ bargaining power. At the same time, the product is becoming increasingly popular because of its combined strength, maintenance and aesthetic properties, thus minimizing the threat of substitutes.
Concrete paving slabs lead the market, accounting for more than 57.0% of revenue in 2021. Increased landscaping spending and a focus on higher performance at lower prices are expected to drive the market during the forecast period. With the development of permeable pavers, the use of concrete pavers is also expected to increase, which allows water runoff, making it more environmentally friendly. The stone paver market is constrained by its high price because the raw materials needed to make stone pavers are imported, which increases their production costs. The stone paver market is mainly limited to advanced commercial installations and their interior decoration uses because of a higher degree of customisability and superior strength.
Demand for clay pavers is expected to grow steadily due to their popularity in small and medium-sized businesses. These users are focused on reducing purchase and maintenance costs, both of which are achieved by clay pavers and their fire and fouling characteristics. Gravel is mainly used by architects for abstract interior decoration due to its low strength and high maintenance cost. The possibility of a high degree of customization in terms of design and color according to customer requirements is the main factor in buyer’s choice. However, low penetration rates and high costs are the main factors limiting market growth.
Post time: May-23-2022