Residential construction trends & their impact on solid plasterers & painters

Residential construction trends & their impact on solid plasterers & painters

Since late 2013 residential construction of detached housing together with multi units and townhouses has increased sharply to record highs. It appears these numbers have now peaked, however the outlook for the next 5 years despite trending down, will remain well above the long term average.

For those in the solid plastering and painting industries that rely heavily on these new dwelling commencements, it is a very important period ahead. During this period there may be less work on offer overall for new residential, compared to the last couple of years.

IBIS Market Research has identified a number of key factors (below) for these industries that could well separate those that prosper and those that don’t in such an environment over the coming few years.

Solid Plasterers

  • Access to specific markets: It is important to establish a strong position in a specific market such as solid plastering, acrylic or cement rendering, or fibrous plastering.
  • Ability to quickly adopt new technology: Industry participants must keep abreast of technological developments in the design and application of plaster products and wall-fixing systems.
  • Having a good reputation: It is important to maintain a good reputation for quality and timeliness, particularly as much of the industry is dependent on word-of-mouth recommendations.
  • Ability to compete on tender: Successful contractors generally have the capacity to assess the appropriate margins for a job and win contract tenders.
  • Ability to expand and curtail operations rapidly in line with market demand: Successful participants read the cyclical movements in demand and adapt to meet changed conditions.

Painters and Decorators

  • Ability to change which market the firm operates in: Successful players generally display a capacity to operate across a range of markets (e.g. housing, commercial, new construction, maintenance and repair) and can shift focus between markets based on demand conditions. 


  • Ability to quickly adopt new technology: Successful players are typically informed on product advancements and new application techniques to provide clients with a diverse range of products and services and keep pace with consumer trends. 
  • Having a good reputation: Successful players generate referrals to new contracts by establishing a reputation for high quality workmanship, timeliness, cleanliness and completing jobs within budget.
  • Ability to compete on tender: Much of the work generated in the industry is determined on a tender basis and successful contractors look to win tenders based on a balance of competitive pricing and an established reputation for quality.
  • Having a loyal customer base: Successful players in the industry generally establish a loyal customer base by maintaining a high quality of workmanship and developing referrals to new contracts.

For further information on trends within house construction within Australia, refer to the IBIS Market Research Report.

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