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The North American Hardware and Paint Association’s 2026 Cost of Doing Business Study is now available for purchase. It offers financial benchmarks for independent hardware, home center, lumber and building materials, and paint retailers, including gross margin figures by sector.
The North American Hardware and Paint Association has made its 2026 Cost of Doing Business Study available for purchase, offering independent retailers financial benchmarks for comparing operations across four home improvement sectors. The report includes gross margin figures for hardware stores, home centers, lumber and building materials outlets, and paint retailers.
According to Hardware Retailing, the study compiles financial information from U.S. businesses in the four sectors. The association says retailers can use the data to compare their performance with figures from other businesses and inform decisions about their operations. The report is sold through the association’s website.
The published gross margin figures after rebates or dividends vary by sector. For hardware stores, the study lists a 42.7% typical margin and a 42.9% high-profit margin. Home centers are listed at 33.0% typical and 32.7% high-profit; lumber and building materials outlets at 30.2% and 33.0%; and paint outlets at 38.2% for both groups.
The article presents those figures as sector-specific benchmarks, not as forecasts or targets that every business should expect to meet. It does not provide the full study’s methodology, sample sizes or detailed financial tables. Retailers seeking those details would need to consult the report itself.
Benchmarks for Retail Decisions
The figures give independent retailers a reference point for examining how their margins compare with typical and high-profit businesses in their sector. Such comparisons may help owners identify areas for further review, but a benchmark alone does not explain why a store differs or establish which operational changes will improve results.
The sector differences also show why comparisons need to be made carefully: the listed typical gross margin ranges from 30.2% for LBM outlets to 42.7% for hardware stores. Those numbers describe different business categories, so they should not be treated as interchangeable measures of performance. Retailers may also need to account for differences in location, product mix, scale and accounting practices, details not supplied in the article.
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How Retailers Use the Study
Hardware Retailing reports that the association has provided Cost of Doing Business information for more than 100 years. The study is intended for independent retailers in the home improvement industry, rather than businesses across the economy generally.
In the article, Vermont Outlet True Value Hardware co-owner John Samore Jr. describes comparing his company’s results with high-performing retailers and conducting a gap analysis four times a year. He says he reviews sales, cost of goods sold, gross profit, sales per square foot, customer count and sales per customer. The source reports that a recent review led him to take steps to address declining sales; it does not specify what those steps were or report their results.
““I compare our data with the high-performing retailers’ numbers presented in the study.””
— John Samore Jr., co-owner of Vermont Outlet True Value Hardware
Study Details Not Published
The source article does not state how many businesses contributed data, how the association defines “typical” and “high-profit,” or the time period covered by the underlying financial results. It also does not explain whether the study adjusts for company size, geography, or other differences between retailers. Those limits make it difficult to judge how directly any one business can compare itself with the reported figures based on the article alone.
The published margins are a small selection of the study’s information. The article does not disclose prices, access terms, or the report’s complete contents, and it gives no evidence that using the study will produce a particular financial outcome. Samore’s account is an individual retailer’s experience, not proof that the same approach will have the same effect elsewhere.
Retailers Can Review Full Report
Retailers interested in the complete data can purchase the study through the North American Hardware and Paint Association at yournhpa.org/2026-cost-of-doing-business-study, according to Hardware Retailing. The full report may provide the methodology and additional benchmarks not included in the article.
No further release date or follow-up findings are given in the source. Readers should look to the association’s report for details on its data and definitions, and compare figures with care before using them to guide business decisions.
Key Questions
Who published the 2026 Cost of Doing Business Study?
The North American Hardware and Paint Association publishes the study, according to Hardware Retailing.
Which businesses are covered?
The report covers U.S. hardware stores, home centers, lumber and building materials outlets, and paint and decorating outlets.
What gross margin does the study list for hardware stores?
The article lists a 42.7% typical gross margin and a 42.9% high-profit gross margin after rebates or dividends.
Does the article include the study’s full methodology?
No. It does not provide sample sizes, definitions for “typical” and “high-profit,” or the period covered by the data. Those details are not clear from the article.
Where can retailers get the full study?
Hardware Retailing directs readers to yournhpa.org/2026-cost-of-doing-business-study to purchase the report.
Source: hardwareretailing.com
