1、HOUZZ RESEARCH2025 UK Houzz State of the Industry 2025 UK Houzz State of the Industry Study|Houzz Inc.2025 Outlook 2024 in Focus2023 U.S.Houzz Kitchen Trends StudyContents 04 09 22025 UK Houzz State of the Industry Study|Houzz Inc.3Big IdeasCosts Expected to RiseMore companies expect costs to rise i
2、n 2025 than decrease(53%versus 8%).This sentiment is particularly strong among design and build firms,followed by architects and interior designers(64%,49%and 36%,respectively).Perceived Improvements to Price Volatility and AvailabilityAlthough rising material costs remain a challenge cited by firms
3、,the perception of price volatility and availability has seen significant improvements over the last year.The percentage of professionals citing these as top challenges has decreased considerably(11%and 3%,compared to 19%and 9%,respectively).Decline in Revenue and Profitability in 2024A larger share
4、 of firms reported annual revenue and profitability decreases in 2024 than in 2023.More than 3 in 5 firms reported reduced profitability(62%,compared to 51%).Similarly,almost half reported lower revenue(47%,compared to 43%).This 2024 decline in profit is most widespread among architecture practices(
5、72%),followed by interior designers and design and build firms(62%and 57%,respectively).Optimism Prevails for 2025Two in five industry professionals expect a good or very good year(40%).Additionally,the share of pros anticipating revenue growth has risen 4 percentage points year-on-year(57%).Interio
6、r designers are most bullish,with nearly half(44%)reporting a good or very good outlook for 2025.Over two-thirds expect revenue growth(69%)and almost half anticipate increased demand for their services(44%).Investments to Enhance PerformanceNearly 9 in 10 firms across the industry(87%)plan to priori