Global home improvement market down for the third year running

The global home improvement market contracted in 2025 for the third year running. Specifically, the combined turnover of the companies surveyed in the global home improvement market fell by 2.1 per cent to 645.5 billion euros. This is the conclusion reached by the latest edition of the Home Improvement Report Retail Worldwide, which analysed data from 623 retailers and statistical offices worldwide. In the previous year, 2024, turnover had already fallen by 1.9 per cent, and in 2023 by 5.0 per cent.

“As in the previous year, a key factor behind the recent global decline was the sharply contracting market in China,” explains Michael Greiner, editor at Dähne Verlag and author of the new market study. “Even though this has had a less severe impact on European and North American manufacturers and retailers, the trend in the Middle Kingdom is nevertheless emblematic of the subdued global trend over the past year.” Even excluding China, the global market would have contracted by 0.6 per cent on a euro basis in 2025, according to the expert.

In 2025, the regions showing the strongest growth in home improvement sales—as measured in euros—were Latin America at 1.8 per cent and Europe at 1.5 per cent. Regions recording declines included North America at minus 1.5 per cent, Africa/Middle East at minus 1.6 per cent, and Asia/Pacific at minus 6.7 per cent.

“The performance of our leading global retailers demonstrates remarkable resilience in a shifting economic landscape. Even amidst contraction, top international players continue to set the benchmark for retail adaptation, multichannel innovation, and strategic long-term growth”, says Michel Salaün, General Secretary of the European DIY Retail Association (EDRA) and the Global Home Improvement Network (GHIN). “However, navigating these macroeconomic headwinds requires unprecedented collaboration across the entire value chain and underscores the vital partnership between manufacturers and retail networks worldwide.”

The DIY segment of the home improvement market performed slightly better than the home improvement market as a whole in 2025. In the global market analysed, this segment contracted by 0.7 per cent to 473.6 billion euros in 2025. This marked the second consecutive year in which the global DIY market performed slightly better than the broader home improvement market.

Whilst the DIY market focuses on DIY stores and hardware retailers, the larger home improvement market also includes building materials retailers and home furnishings retailers with a DIY focus, excluding pure furniture retailers.

The world’s 20 largest home improvement retailers saw their turnover, calculated in euros, fall by an average of 1.0 per cent in 2025. At the top of the list was the German operator Hornbach, with growth of 3.8 per cent, whilst the American operator Menards was at the bottom with a decline of 3.9 per cent.

Home Depot, by far the world’s largest DIY retailer, recorded a decline of 1.1 per cent in euro terms in 2025, compared with growth of 3.2 per cent in US dollars. Lowe’s, the world’s number two, recorded a decline of 1.2 per cent in euro terms, whilst posting growth of 3.1 per cent in US dollars. The world’s number three, Groupe Adeo, recorded growth of 2.3 per cent in euro terms and 6.6 per cent in US dollars.

“Despite a challenging market environment globally, the continued collaboration with Dähne Verlag, EDRA/GHIN and HIMA on the Home Improvement Report Retail Worldwide 2026 provides our industry with the essential data and strategic insights needed to navigate these shifts. This partnership underscores our shared commitment to supporting retailers and manufacturers worldwide with reliable market intelligence”, says Caroline van der Voort, President of the Home Improvement Manufacturers Association (HIMA).

The Home Improvement Report Retail Worldwide 2026 is published by Dähne Verlag and was once again compiled in collaboration with the global trade associations EDRA/GHIN and the global manufacturers’ association HIMA. The figures for the international home improvement and DIY sector are based on data from 623 home improvement retail chains across more than 70 countries worldwide, thus providing a unique snapshot of developments in the global DIY sector. In addition to statistical analyses of the global market and its regions, the report also contains over 50 detailed analyses of the most important national markets worldwide and examines the top 20 companies.

Alongside the new Home Improvement Report Retail Worldwide, Dähne Verlag has also published the underlying data collection Home Improvement Retailers Worldwide in European and global editions. This examines 666 retail companies worldwide in detail in terms of turnover, locations and sales areas, and provides an overview of each home improvement company’s international retail network and group structure. The data collection also contains entries on more than 1,100 management roles within global retail companies, as well as the addresses of their head offices.

The new Home Improvement Report 2026 and the data collection Home Improvement Retailers 2026 can be ordered individually or as a bundle from Dähne Verlag; association members can also obtain them via EDRA, GHIN and HIMA or their respective national associations.

On 3 November 2026 at 2:00 p.m., the editorial team at diyinternational will host a free webinar focusing on the new Home Improvement Report and the underlying data collection.

The webinar will highlight selected findings, provide insights into the data behind the report and offer background information on how it was compiled. Participants will also have the opportunity to put their questions directly to the editorial team.

The webinar will be moderated by editor-in-chief Rainer Strnad, with statistics expert Michael Greiner presenting the findings.

Participation is free of charge. Registration is available here.