DIY & Hardware Store - Panama | Statista Market Forecast

In Panama, the revenue in the DIY & Hardware Store market reached US$1.61bn in 2024.
It is projected to experience an annual growth rate of 4.80% (CAGR 2024-2029).
When compared globally, China stands as the top revenue generator in this market segment, reaching US$785bn in 2024.
In terms of per capita revenue, individuals in Panama generated US$355.80 in 2024.
Panama's DIY & Hardware Store market is experiencing a surge in demand due to the country's growing construction industry.

Definition:

The DIY (Do-It-Yourself) market refers to the retail market for products used in home improvement and repair projects, such as tools, hardware, building materials, and lawn and garden products. These products are marketed to consumers who want to perform home improvement projects on their own rather than hire a professional. The DIY market provides consumers with the materials and tools they need to complete projects ranging from simple repairs to complete renovations, allowing them to save money and express their creativity in their living spaces.

Structure:

The market is divided into seven different segments:

The Paint, Wallpaper & Supplies segment includes products used for interior and exterior decoration, renovation, and protection of residential buildings.
The Tools & Machines segment consist of products used for construction, maintenance, and repair tasks.
The Hardware & Building Materials segment includes a diverse range of products that play an important role in the structure, safety, and functionality of a building.
The Lawn & Garden segment encompasses products that help homeowners and landscapers to create and maintain attractive and functional outdoor living spaces.
The Heating & Cooling segment focuses on produts that help regulate indoor temperatures, ensuring comfort, energy efficiency, and air quality in homes.
The Bathroom Hardware segment includes products designed to enhance the functionality and appearance of bathrooms.
The Floor Covering segment encompasses products that serve to protect the floor, enhance the appearance of the room, provide insulation and comfort, and can add value to a property.

Additional Information:

The market consists of revenue and average revenue per capita data. Per capita figures take into account the whole population. This market includes only B2C (business to consumer) sales. B2B (business to business) sales (e. g., hardware for coffee shops, offices, etc.) are excluded. For more information on the displayed data, click the info button on the right hand side of each box.

Tools such as power tools and hand tools
Hardware such as products related to safety and security
Lawn & Garden such as gardening tools and plant supplies
Heating & Cooling systems such as air conditioners and heaters
Bathroom fixtures such as toilets, faucets, and sinks
Floor Coverings such as parquet panels

Electrical supplies such as power inlets and extension cords
Household appliances such as refrigerators and dishwashers
Hardware services such as preventitive maintenance contracts
Professsional contruction machinery such as cement mixers
Air treatment devices such as purifiers and humidifiers

The DIY & Hardware Store Market in Panama is currently experiencing minimal growth due to several factors such as limited consumer spending, economic instability, and competition from local and international retailers. Despite the challenges, the market continues to see steady growth as consumers prioritize home improvement and maintenance projects, leading to increased demand for products in the Floor Covering, Paint, Hardware, and Lawn & Garden sub-markets. Additionally, the rising popularity of DIY projects and increased availability of online shopping options have also contributed to the market's growth. However, the market's growth rate is expected to remain low in the coming years due to the country's slow economic recovery and ongoing challenges in the construction industry.

Customer preferences: As Panama's economy continues to grow, consumers are increasingly favoring DIY & hardware stores for their home improvement needs. This shift towards DIY projects is driven by rising population density in urban areas, leading to smaller living spaces and a need for efficient use of every inch of space. Additionally, there is a growing trend towards sustainable living and eco-friendly home solutions, with consumers opting for materials and products that align with their values.

Trends in the market: In Panama, the DIY & Hardware Store Market has seen a recent surge in demand for sustainable and eco-friendly products. This trend is significant as it reflects a growing consumer consciousness towards environmental impact. As a result, more hardware stores are offering a range of environmentally friendly options such as energy-efficient appliances and eco-friendly building materials. This trajectory is likely to continue as consumers prioritize sustainability and government regulations on environmental practices become more stringent. Industry stakeholders will need to adapt and innovate to meet this demand and stay competitive in the market.

Local special circumstances: In Panama, the DIY & Hardware Store market is influenced by the country's tropical location, as well as its unique cultural mix of Spanish, indigenous, and Afro-Caribbean influences. This, along with the government's push for sustainable development, has led to a focus on eco-friendly and locally-sourced building materials. Additionally, Panama's position as a regional trade hub has resulted in a wide range of international hardware brands being readily available, catering to the diverse needs and preferences of its population.

Underlying macroeconomic factors: The growth of the DIY & Hardware Store Market in Panama is heavily influenced by macroeconomic factors such as overall economic stability, consumer spending, and government policies. A strong economy with low unemployment rates and high disposable income translates into increased demand for home renovation, improvement, and repair projects, fueling the growth of the DIY & Hardware Store Market. Similarly, favorable fiscal policies, such as tax incentives and subsidies for construction and home improvement, also contribute to market growth. Moreover, the rising trend of homeownership and the increasing popularity of DIY culture among millennials are significant drivers of market growth in Panama.

Data coverage:

Data encompasses B2C enterprises. Figures are segmented by product type and consist of the following: Paint, Wallpaper & Supplies, Tools & Machines, Hardware and Building Materials, Lawn & Garden, Heating & Cooling, Bathroom Hardware, and Floor Covering.

Modeling approach / Market size:

Market sizes are determined by a top-down approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use national statistical offices, international institutions, in-house market research, and resources from the Statista platform. Next we use relevant key market indicators and data from country-specific associations such as product value, import value, and export value to determine domestic supply. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing. The main drivers are turnover indices, GDP per capita, and consumer spending per capita.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Consumer market, in a PDF format.

Building and renovating homes involves general contractors and subcontractors who build new homes and remodel existing homes. Home renovation projects also encompass the remodeling of external structures such as gardens, garages, and lawns. The total U.S. home improvement expenditure amounted to 566 billion U.S. dollars in 2022. Homeowners undertake home improvement to make residential properties more comfortable, upgrade air conditioning and heating systems, waterproof roofs and basements, soundproof rooms, and to extend their homes and boost energy savings.