North America Luxury Vinyl Tile (LVT) Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The North American luxury vinyl tile (LVT) market has witnessed substantial growth for the past couple of years. The market accounted for a volume of 325.2 million square meters in 2020, and it is expected to reach almost 474.5 million square meters by 2026, registering a CAGR of more than 6% during the forecast period (2021-2026).

Due to the COVID-19 pandemic, North America was under lockdown from mid-February 2020, which restricted the construction of housing and building projects. The lockdown restrictions limited the new purchases of LVT flooring owing to uncertainty in the economy and purchasing power parity in North America. The market, however, is anticipated to bounce back during the forecast period with the changing situation and customers’ approach toward the pandemic.

The demand for luxury vinyl tiles is expected to be driven by the growing construction industry, the rise in renovation and remodeling, and the rising popularity of tiles. An increase in real estate investments has led to the growth of the construction industry. The rise in the construction of commercial buildings, such as commercial complexes, educational institutes, and offices, increases the demand for luxury vinyl tiles in this market. Growth in the number of housing projects worldwide will increase the demand for luxury vinyl tiles. Apart from this, rising technological advancements in the manufacturing process have also led to a growth in the vinyl flooring market in terms of performance, installation, and design. Factors such as increased expenditure on the remodeling of construction activities impact the market positively. Moreover, reforms and regulations introduced by governments, to strengthen the growth of their infrastructure and real-estate industries, may lead to the growth of the construction industry and drive the demand for luxury vinyl tiles in the structure. With the improving living standards, the consumers are inclined toward better interior decoration and aesthetics, mainly for flooring, fueling the market for luxury vinyl tiles.

Key Market Trends

The Residential Segment Leads the Market

Besides increasing the aesthetic appeal of a building, LVTs have other properties such as durability, comfort, and tolerance to extreme weather conditions. These factors are projected to drive the residential segment of the market during the forecast period. In addition, the increased per capita income and rapid urbanization are the fueling factors for the increasing number of renovation and remodeling projects of existing homes. Additionally, increased expenditure on housing maintenance is further projected to drive the demand for luxury vinyl tiles in the residential segment.

Luxury vinyl tiles are preferred for bathrooms, kitchens, laundry rooms, and basements due to their waterproof features. Further, LVTs do not trap dust and pet dander in bedrooms. All these factors are projected to drive the demand for LVT flooring solutions in the residential segment.

The Flexible LVT Segment is in Demand due to its Inherent Properties

The flexible tile segment is in huge demand in the LVT flooring market as it is affordable and can be installed in regions with extreme weather conditions. The growth of the flexible segment remains high due to its properties, which makes it a preferred flooring solution for residential and commercial applications. The flexible luxury vinyl tile flooring solutions are considered suitable for almost all applications, such as residential and commercial. It is a traditional glue-down flooring material and has several properties, such as durability, flexibility, ease of installation, and budget-friendliness, which are projected to drive the growth of this segment over the forecast period.

Competitive Landscape

The report covers major international players operating in the North American LVT market. In terms of market share, few major players currently dominate the market. However, with technological advancements and product innovations, mid-size to smaller companies are increasing their market presence by securing new contracts and tapping into new markets.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support