Home Improvement Professionals Anticipate Business Growth in 2022, Houzz Research Shows

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Home Improvement Professionals Anticipate Business Growth in 2022, Houzz Research Shows


Posted: April 25, 2022 – James Mead




Houzz Inc., the world’s leading home renovation and design platform, today released Houzz’s 2022 State of the UK Industry Report. industry professionals from the Houzz community. Companies have a confident outlook for 2022, with more than three-quarters anticipating revenue growth (76%) and two-thirds expecting an increase in profits (66%). This follows strong results in 2021, with more companies reporting revenue growth, compared to the previous four years, beating expectations for the year.


“After a successful year for the home improvement and design industry, findings from the Houzz State of the Industry report show professionals are confident the momentum will continue through 2022” , says Marine Sargsyan, senior economist at Houzz. “Positive outlook prevails across all industry groups, from interior designers to builders, despite global challenges and rising costs of doing business.”

State of industry in the UK in 2022: key findings

  • Design and construction companies are the most optimistic for 2022: Design and construction firms are the most optimistic about revenue growth in 2022 (88%), followed by interior designers and architects (80 and 76%, respectively). Companies in all industry sectors plan to increase their revenue by implementing larger budget projects (60%).
  • Revenue growth exceeded expectations in 2021: In 2021, a greater proportion of companies reported year-over-year revenue growth than in the past four years (69%). More than two-thirds of companies said revenue growth was at or above their initial expectations for the year (69%). Almost three-quarters of design and construction firms and architects reported an increase in their gross revenues in 2021 (72%), followed by interior designers (70%).
  • Recruitment is on the rise: More than a quarter of companies increased their workforce in 2021 (29%), compared to just 17% of companies that added employees in 2020. Design and construction companies were the most likely to hire last year (35%), compared to architects and interior designers. designers (29 and 26%, respectively). Hiring is expected to continue at nearly two in five companies in 2022 to support revenue growth (38%).
  • Increased cost of doing business: More than three-quarters of companies reported an increase in the cost of doing business in 2021 (77%). Design and construction firms were the hardest hit by rising costs (94%), followed by interior designers and architects (70 and 65%, respectively). Product and material price volatility was a top challenge reported by one in five companies (22%).

Houzz’s full 2022 report on the state of the UK industry is available here.

There are over 2.7 million active home improvement and design professionals on Houzz, including architects, interior designers, home builders, and design and construction companies.

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