Wooden Decking Market- Size, Share | Industry Trend & Forecast 2024 - 2031

Wooden Decking Market Overview

The Wooden Decking Market size is forecast to reach USD 10.01 Billion by 2031, after growing at a CAGR of 3.11% during the forecast period 2024-2031. The growing construction industry worldwide, fueled by increasing urbanization, is a significant driver of demand for wooden decking. As urban spaces become more densely populated, the popularity of wooden decking rises as a means to expand living areas, particularly in homes with limited interior square footage. This trend reflects a broader desire for outdoor spaces that enhance quality of life, allowing homeowners to create functional areas for relaxation and entertainment. According to The Associated General Contractors (AGC) of America, the construction sector plays a vital role in the U.S. economy, with over 919,000 construction establishments reported in the first quarter of 2023. This robust activity in the construction industry not only supports the growth of wooden decking as a preferred material but also drives innovation in decking solutions. 

Report Coverage

The report “Wooden Decking Market – Forecast (2024-2031)”, by IndustryARC, covers an in-depth analysis of the following segments of the wooden decking market.

By Type: Composite Decking, Hardwood Decking, Redwood, Cedar Decking, Tropical hardwoods, Pressure treated, Pine Decking, Wood Plastic Composite (WPC), and Others

By Application: Floor, Walls, Railing, Others

By End User: Residential, Non-Residential

By Geography:  North America, South America, Europe, APAC, and Middle East & Africa

Key Takeaways

• North America, particularly the United States, is a leading region in the wooden decking market, accounting for 36.0% of global demand. The robust construction industry plays a pivotal role in this dominance, comprising over 745,000 companies and providing employment for approximately 7.8 million individuals annually. 
• A notable trend in the North American wooden decking market is the growing collaboration between manufacturers and distributors to enhance the availability of innovative products. This trend highlights the increasing demand for high-quality, aesthetically appealing decking solutions that combine the benefits of traditional wood with modern technology.

By Type - Segment Analysis

The Composite Decking segment dominated the wooden decking market in 2023. Compared to conventional wood decking, composite decking materials are more resilient to fading, insects, rot, and weather. Additionally, they need less upkeep, which appeals to builders and homeowners. Consumer adoption has increased due to manufacturing innovations that have improved product quality and expanded alternatives, such as enhanced color retention, anti-slip features, and scratch resistance. For instance, in April 2024, The Meridian capped wood composite decking, a hallmark brand of Oldcastle® APG, was awarded by Green Builder® Media as a 2024 Sustainable Product of the Year. The composite decking products from MoistureShield* are almost entirely composed of recycled materials, including wood fibers, industrial plastic, post-consumer plastic, and other recycled materials.  The global composite decking market is projected to grow significantly over the forecast period driven by the rise in urbanization, increased disposable income, and consumer preference for outdoor living spaces.

By Application- Segment Analysis

The Floor segment dominated the wooden decking market in 2023. Wooden decking is widely used in the commercial, residential, and hospitality sectors for outdoor flooring solutions. Wooden decks provide a durable and adaptable surface for a range of activities, making them a natural and visually appealing alternative to other outdoor flooring choices. Further driving the need for hardwood decking in floor applications was the expanding popularity of outdoor living areas as well as higher expenditures on residential and commercial building projects. Eco-friendly building materials are in high demand, and wood is a renewable resource, particularly when it comes from forests that are managed sustainably. Customers seeking green building solutions for their floor applications who care about the environment are drawn to wooden decking that has certifications such as FSC (Forest Stewardship Council). Wood has a classic, natural attraction that gives both indoor and outdoor areas coziness and personality. Architects, designers, and homeowners all like the rustic yet sophisticated appearance that hardwood decking offers in flooring applications.

By End User - Segment Analysis

The Residential segment dominated the wooden decking market in 2023. The demand for wooden decking in residential buildings is mostly driven by the construction industry's rapid growth as well as rising disposable incomes in emerging markets. The use of wooden decking is also expected to increase as people become more conscious of the need for energy-efficient building materials. For instance, according to The U.S. Census Bureau and the U.S. Department of Housing and Urban Development, the rise in building permits in the US, particularly the 1.9% increase in December and the 6.1% year-over-year increase from December 2022, signals growing residential construction activity. With more residential buildings being built or renovated, there is a greater demand for decking materials as homeowners and builders look to add outdoor living spaces like patios, decks, and terraces. 

By Geography - Segment Analysis

North America region dominated the wooden decking market in 2023.  The robust construction industry plays a pivotal role in this dominance, comprising over 745,000 companies and providing employment for approximately 7.8 million individuals annually. In 2023, total construction spending in the U.S. reached $1.98 trillion, representing a significant 7.4% increase from the previous year. This surge in spending, especially within the non-residential construction sector—which experienced a remarkable 17.6% year-over-year increase—fuels the demand for wooden decking as builders and developers seek to enhance both the functionality and aesthetic appeal of outdoor spaces. A notable trend in the North American wooden decking market is the growing collaboration between manufacturers and distributors to enhance the availability of innovative products. This trend highlights the increasing demand for high-quality, aesthetically appealing decking solutions that combine the benefits of traditional wood with modern technology.

Drivers – Wooden Decking Market

• Growth in the Construction Industry

The rise of the building industry, particularly in the residential sector, has a direct impact on the demand for hardwood decking market. As the construction business expands, there is a greater need for new residential and commercial structures that incorporate outdoor living spaces such as terraces, decks, and balconies. Wooden decking is a popular choice for these outdoor living spaces due to its durability, natural beauty, and design flexibility.  For instance, in December 2023, compared to December 2022, building production climbed by 1.9% in the eurozone and 2.4% in the EU. As cities grow and more residential complexes are built, there is a greater demand for visually appealing and long-lasting outdoor spaces. This tendency is especially noticeable in emerging nations, where rising earnings and urbanization are creating a larger middle class and driving demand for additional homes. As a result, the growth in the construction industry is projected to drive the wooden decking market during the forecast period.

• Increasing Investment In Outdoor Landscaping By Homeowners

The trend towards outdoor living, including patios, gardens, and terraces is boosting the wooden decking market. Homeowners are investing in creating stylish, functional outdoor environments, where wooden decks often serve as the central feature. The rise of social media and home improvement shows has made homeowners more aware of landscaping possibilities, inspiring them to invest in their outdoor spaces. Furthermore, the accessibility of decking products through online retailers and local suppliers has made it easier for homeowners to purchase and install decking. For instance, according to the Virginia Cooperate Extension survey, relatively large landscape expenditures significantly increase perceived home value and will result in a higher selling price than homes with a minimal landscape. According to Fixr.com’s Outdoor Living Trends Report 2024, a majority of 70% of professionals agree that an updated, usable outdoor living space has a big impact on home value. Another 30% say it has “some impact” while none of the professionals surveyed said that it has “little impact” or “no impact”. Also, decks remain the second most popular choice for homeowners after the covered patios. 

Challenges – Wooden Decking Market

• High Maintenance Requirements of Wood Decking

Unlike alternative materials like composite decking or PVC, wooden decking requires regular, ongoing maintenance to preserve its appearance and durability. The perception of wood decking as a high-maintenance material may drive buyers toward more durable, low-maintenance options. This shift can slow the demand for wooden decking, especially in regions where consumers prioritize convenience and lower long-term costs. A well-tended deck enhances a house for many years, but a poorly maintained one ages prematurely. Therefore, keeping the deck safe, preventing the spread of mold, and preventing wood from splitting or breaking all depend on upkeep. Frequent cleaning is necessary for wooden decks to avoid the accumulation of dirt, mold, and mildew, which can eventually weaken the wood's structural integrity. For instance, wood frequently needs to be treated and protected to prevent weather damage from UV rays, moisture, and temperature fluctuations.  Another crucial element of appropriate upkeep involves identifying the kind of decking material and providing appropriate care for it. For instance, according to Abodo Wood Ltd., once a year is the minimum for timber decking, though every 6 months or more is even better. This ongoing maintenance adds up in cost over time and can deter potential buyers.

• The Increasing Popularity of Alternative Materials Hampers The Market

The increasing popularity of alternative materials is expected to pose a significant challenge to the wooden decking market. Technological advancements have made alternative decking materials like composite and PVC much more visually appealing. This is because many modern composite decks are designed to closely mimic the natural grain and color of wood, providing the aesthetics of wood without the drawbacks of maintenance. This evolution in design is expected to reduce the aesthetic advantage that wooden decking traditionally held over other materials. Many alternative decking materials are increasingly made from recycled plastics and wood fibers, making them more sustainable compared to natural wood, which can contribute to deforestation. For example, companies like Ambient Floors & Building Products and Timber Tech are leading the charge by utilizing nearly 100% recycled materials, which attract consumers focused on sustainability.

Market Landscape

Product Developments, partnerships, contracts, expansions, and production capacities are key strategies adopted by players in the wooden decking market. In 2023, the Wooden Decking Market share has been consolidated by the top ten players accounting for 72.4% of the share. Major players in the wooden decking market are UPM ProFi, DuraLife Decking & Railing Systems, AZEK Building Products, Trex Company, Inc., Metsa Wood, Cali Bamboo, Thermory, Fiberon, Accoya, Millboard, and others.

Developments:

• In 2023, Trex Company made a daring effort to increase its presence in the cutthroat deck railing industry with the introduction of Trex Select® T-Rail. With a price point that rivals that of PVC vinyl railing, the composite railing system, which includes the well-liked T-shaped top rail, is made to make the elegance and practicality of Trex's high-performance composite and aluminum railing accessible to a larger audience.
• In 2021, Fiberon partnered with OrePac Construction Solutions, a wholesale distributor of specialist interior and exterior construction materials, to expand its distribution network. The agreement bolsters OrePac's expansion in the outdoor living market and greatly increases Fiberon's distribution through OrePac's clientele in the Western United States.

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