Statistics Canada has two data sources, the 1990 Housing Repair and Renovation Survey and the 1991 Census, that can provide key information on:
– The size of the existing renovation market.
– Characteristics of current renovators.
– The size of the potential market.
Results from the 1990 Housing Repair and Renovation Survey, published as Homeowner Repair and Renovation Expenditures in Canada, provides accurate information collected from more than 30,000 households on home renovation expenditures in Canada.
Several features make it particularly valuable for Home Store’s purpose:
– The data show homeowner expenditures on materials (as opposed to expenditures on contracts) represented 32% of the $12.8-billion home repair and renovation business in 1990.
– Information is included on specific products bought with renovation dollars. Everything is itemized, from the amount spent on outdoor patios, to the portion directed to electrical systems.
– The home renovation market is broken down by province. However, Census data can be used to further target and analyze Home Store’s potential market.
The Housing Repair and Renovation Survey also captures information about who is renovating.
For example, the 1990 data showed that homeowners aged 35-44 were the most likely to renovate, and the highest average expenditures were for houses built before 1941.
Cross-tabulations from the 1991 survey shows the relationship between expenditures and:
– The date the house was built.
– Value of household dwelling.
– Age and income of head of household.
– Type of house.
This information will effectively test Home Store’s hypothesis about the baby boomers being its best target market, plus provide more information on other targetting variables.
The combination of data on the size of the market and the characteristics of current renovators provides an accurate, up-to-date profile of the market today.
The most important concern, however, is the potential for Home Store’s products. This is available from the 1991 Census data.
Census data can be used to create a customized cross-tabulation for each major city in Canada, comparing different levels of:
– Need for major or minor repairs to homes.
– Household income information.
– Age of head of the household.
– The age of the house.
This information will allow Home Store to pinpoint cities that have a high need for renovations and high levels of its target market.
When Home Store has chosen a particular urban centre, additional information could be tabulated to show in which communities its target market is concentrated – right down to an area as small as 375 houses. (Note: some 1991 Census variables may not be available until April.)
Homeowner Repair and Renovation Expenditures in Canada costs $26. Pre-publication information on 1991 will be released in October, the publication will follow in January.
Some other Statistics Canada publications Home Store may find useful are Family Expenditure in Canada ($42), Projections of Households and Families for Canada, Provinces and Territories: 1989-2011 ($30), and the Market Research Handbook ($94).
For more information, contact Lesley MacGregor, marketing division, Statistics Canada, Room 1710, Main Bldg., Ottawa, Ont., K1A 0T6. Tel: (613) 951-0446.
