Odd Lots The Bathtub Episode: How the Pandemic Disrupted Plumbing
Jul 29, 2021
Trey Northrup, leader of the Americas at LIXIL, unpackages the plumbing industry's chaos following the pandemic. He reveals how supply shortages have turned essentials like bathtubs into rarities. From DIY home projects rising in popularity to labor challenges, Northrup discusses the shifting landscape of home construction. With innovations in bathtub design focused on conservation and safety, he even touches on the growing interest in bidets in the U.S. A mix of tech trends and supply chain realities brings new dynamics to the housing market.
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Pandemic Whiplash
- Trey Northrup describes the "perfect storm" of the pandemic's impact on LIXIL's plumbing business.
- Initial demand dropped, then surged as people stayed home, causing a whiplash effect in factories and supply chains.
DIY Plumbing Boom
- Roughly 30-35% of LIXIL's plumbing business is now DIY, having grown significantly during the pandemic.
- The remaining 65-70% comes from new construction, distributor-led remodels, and plumber installations.
Unexpected Bottlenecks
- Besides material shortages, LIXIL faced unexpected bottlenecks due to social distancing requirements in factories and a global container shortage.
- Container prices skyrocketed, and even securing containers didn't guarantee shipping due to a lack of available ships.