Industry update: Lead times and cost

Industry update: Lead times and cost

The last time we talked about the supply chain, it wasn’t ideal news.  That’s why we’re so excited to share a positive update on lead times and what this means for your design project!  We’ve all had to practice quite a bit of patience over the past few years – and we so appreciate our clients who hung in there with us through delays – but we can happily say that it was worth it.

Update on lead times

While some items are still back ordered due to months of supply chain issues, the landscape is overwhelmingly better.  Upholstery lead times, which used to be the biggest thorn in our side at 26 weeks, are now down to 8-12 weeks with many of our vendors (and improving every month). In addition, more and more product is in stock and available to ship immediately.  Fun story: We recently worked with a client on furnishing their entire outdoor living space, and from order to install we had them pool ready in just 4 weeks!

Along with upholstery, lead times for tile, plumbing and countertops have improved immensely! While these areas have shown great improvement, we are unfortunately still experiencing issues and delays with select appliances. These delays can be frustrating, however, we always take this industry information and guide our clients in their product selection so that we best suit their needs and the projects timeframe.

 

What caused the change?

Just like a variety of factors led to the delays and backlog, several key shifts influenced improved lead times.  Our vendor partners worked hard to gain efficiencies in their manufacturing facilities as well as expand their production capacity in response to increased demand.  Another important change was increased sourcing of raw materials from within the United States, which cuts down on delays from overseas shipping.

One final big change is greater speed with regards to shipping and transit, which is the result of job stabilization in the transportation industry.  There was a point where there were simply not enough drivers to move goods and products around the country as quickly as we hoped.  Thankfully, this sector has improved drastically and we are clicking along with client installs, which means that they are enjoying their homes even sooner!

How has this affected costs?

Budget is the big question, and was even before the pandemic hit.  Construction costs rose about 30-40% in the past two years.  Based on all conversations I have had with our industry partners, these increased costs are here to stay.  Your renovation project or new construction home won’t be cheaper in future years, and in fact may become even more expensive.  For this reason, combined with much wider availability of furnishings and other key components, this is actually a great time to start that long-awaited reno, new construction, or furnishings project.  Do you want to talk about creating a home that you love?  Contact us today and let’s have a conversation!

Header photo by Betsy Barron for Glenna Stone Interior Design

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Glenna Stone Interior Design is an award-winning Philadelphia interior design firm serving Philadelphia, the Main Line, and surrounding cities. Utilizing her background and training in interior design, architecture, and engineering, Glenna specializes in creating interiors for residential and commercial design settings. We invite you to visit our website, view our portfolio, and catch up on the latest interior design concepts on our blog!