Residential Supply Chain in Transition: Summary of Findings from Survey of Dealers

Frederick Abernathy, John Dunlop, David Weil, William Apgar, Kermit Baker, Rachel Roth

W04-3: The past several years have seen dramatic changes in the distribution of residential building products, particularly as it relates to dealers serving homebuilders, remodeling contractors and others in the building trades (pro dealers). Whereas consolidation among retailers serving do-it-yourself (D-I-Y) homeowners and smaller remodeling contractors began two decades ago and has resulted in just a few major players today, consolidation among pro dealers is a more recent phenomenon, and is just recently gathering momentum. The rise of the large national homebuilder appears to be giving rise to changes in the distribution channel for residential building products…