Research Re•Bath Franchising
What is a Re-Bath Franchise?
A premiere home improvement franchise
Re-Bath is the world’s largest bathroom remodeling franchise, having remodeled millions of bathrooms since our founding in 1979. From humble origins as a bathtub liner company serving the hotel industry, Re-Bath has grown into an trusted and respected home improvement franchise known for its expert, affordable, and fast solutions to residential bathroom remodeling needs. With nearly 150 locations open or in development in the United States, the success of each Re-Bath franchise is the result of our tireless devotion to exceptional customer service, our peerless and innovative product offering, and our corporate staff — which has had high-profile success in growing franchise brands. All of this primes Re-Bath to become the nation’s dominant bathroom remodeling franchise.
“In the bathroom remodeling industry, which from our accounts is a $20 billion industry — how do you differentiate yourself from the other 92,999 contractors out there?” asks Brad Hillier, CEO of Re-Bath. “We believe that the difference has to start with service. The service has to be exceptional, going above and beyond what is expected in this industry.
“Our level of service is designed to be exceptional. We provide continual training to our franchisees and their employees — raising the standards for service in this industry while also giving the customer the remodel of their dreams.”
Our plans to dominate the home improvement franchise market
The bathroom remodeling industry is booming as millions of American homes are entering the apex of their remodeling years, according to a report from the Joint Center for Housing Studies of Harvard University. That boom is expected to continue for decades.
2014 was a banner year for the industry; the National Kitchen and Bath Association’s annual report found that 60% of contractors surveyed noted bigger profits than in 2013. The Joint Center for Housing Studies projects that the industry will set record highs in 2015. Our own research suggests that the bathroom remodeling segment is worth an estimated $20 billion, and Re-Bath home improvement franchise owners are winning an outsized share of the market.
Re-Bath is largely without organized competition in the full bathroom remodeling industry, especially in wealthier customer demographics. The Joint Center for Housing Studies reports that wide swaths of the remodeling industry are composed of small-time contractors without any employees. Even though the remodeling industry was primarily stable during the Great Recession, the “traditional dominance of small businesses in this industry has provided little opportunity for firms to develop skilled employees, which in turn has created a fear of a labor shortage as the market continues to recover,” the center reports.
“We have found additional opportunity in the complete bathroom remodeling space,” says Marty Rasmussen, President of Re-Bath. “We’ve developed a comprehensive strategy to cater to the middle- to upper-middle-class market. This is our sweet spot — the market is so fragmented that it leaves room for a nationally known brand like Re-Bath to dominate. Customers are demanding more — not only in terms of service, but in terms of high-end product offerings. With the introduction of our natural stone product, as well as our development of training and support to sell and install this product, we’ve been finding a lot of success. Our franchisees have first-rate and continual training and support, plus uniform systems for installation. Our customers are extended the best warranties and financing options the industry has to offer. Those two things make it very hard for any general contractor to compete with us. This has helped our franchisees increase the amount of their average tickets.”
How do we stay ahead of market trends?
The precedent Re-Bath set in 1979 when we introduced bathtub liners to the hotel industry was that of a trailblazing company; we saw an opportunity to serve a previously untapped market. In 2015, we still are committed to innovation.
The introduction of our bathtub liners in 1979 was a game changer that helped shape today’s bathroom remodeling industry. Today, our introduction of natural stone for remodeling is helping us to capture a wealthier demographic — the middle and upper-middle class — which had been largely underserved by the industry until now.
“This is the most exciting time in our company’s history since our founding,” Marty says. “We have far greater resources, far better tools and support systems in place for our franchisees. Just like in 1979, when we created a market, we are going to create a market again as we go after the middle-class and upper-middle-class markets.”
Our innovation is not just in natural stone; we’re doing continual research to better serve our customers and stay relevant in the age of customization.
“We’re a company that is more universal than niche,” says Curtis Ray, Director of Production for Re-Bath. “I analyze market trends on a daily basis. Our customer base is primarily those who are earning between $40,000 and $100,000 annually. I find products that are affordable and that also satisfy our customers’ desire to build their dream bathrooms. By offering a level of customizable products for both color and material, we’ve been able to stay ahead of the trends. The natural stone product gets us into a new market, and natural stone has been popular for 5,000 years. It will be popular for another 5,000 years.”