Specialty One-Step Locations Concentrated in the Midwest and Northeast
Roofing demand is dominated by asphalt shingles in nearly every part of the country with the exception of the Sunbelt where there is a high use of tile. Metal roofing is capturing share in many regions based on its durability and varied looks, especially in coastal areas. Of course all demand is driven by re-roofing which is largely dependent on damage due to aging and weather.
There is certainly a good dispersion of specialty 1-steppers which is the leading channel to market for roofing products. Represented in the image above throughout the country there are more 1-steppers located in the states that have the higher number of housing units which is indicated by the darker shaded states. However, closer examination shows that the per capita ratio in each MSA or each state can vary dramatically. There are large clusters or specialty one-step locations particularly in the Northeast, Middle Atlantic and parts of the Midwest. However, throughout most of the rest of the country, the number of locations is more widespread.
Re-roofing and Other Remodeling Opportunities Will Expand in the South and West
The specialty one-step channel also carries a broader range of products than just roofing, including siding, windows, insulation, wallboard and others. There is substantial housing stock in the South and the West, in fact, more than in the Northeast and Midwest. As this housing stock ages, there will be a growing need for remodeling and re-roofing oriented products in the South and Westregions and increased opportunities for professional contractors and specialty one-step distributors. All value chain participants can profit by evaluating where the best expansion opportunities are and move quickly to fill the gap.