Effects of the COVID-19 Pandemic on the Pool and Spa Industry

The first time the government announced a lockdown in California, Javier Payan, a pool/spa service professional, was on his way to the Western spa and pool show. Payan says,” At the time, it was crazy to think that the pool industry would still thrive in the middle of a pandemic and a rainy spring season.” Surprisingly, the sales in the pool and spa industry increased tremendously. Homeowners were looking for innovative ways to make their ‘summer lockdown’ worth it. The demand was high hence we encountered a staff shortage.

Pool building services

In 2020, many people were stuck home and could not go for their annual vacation. Of course, this left them with a lot of money that they had saved up for vacation. Consequently, homeowners started looking for ways to enjoy their summer holidays and keep their children engaged.

Almost every homeowner wishes to install a pool in their backyard.

President of Monogram Custom Pools, Tony Caciolo

We receive numerous calls requesting for our installation services.” Even so, the biggest challenge that came with the pandemic was handling sales leads. On ordinary occasions, companies in the pool and spa industry received several sales leads a week. But this time, most companies received a dozen of leads a day. “Even so, it was hard to increase our labor force since they were less people to work with,” Master Pools Guild executive director, Dick Covert, says.

Pool repairs and maintenance services 

Payan reports. “From the start of the pandemic, we have been gaining more customers than we expected.” Pool repairs and maintenance services are now in high demand compared to before. Also, the fact that pool loans were now more available made it easier for homeowners to proceed with pool replacement and repairs. “Currently, pool companies are spending their money to purchase pool equipment and vehicles. And it’s funny almost everyone in our company got a raise this year; contrary to popular belief.”

The increased demand has indisputably led to a rise in prices in the pool and spa industry. However, H&H Pool Services CEO, David Hawes, says, “I’m also contemplating on raising my prices. But I don’t intend to lose my loyal customers. Even so, our services are on high demand and it would be best to take advantage of this.”

Nonetheless, if you plan to increase your prices, come up with a strategy. Don’t just raise your price because your competitors have. Carefully analyze what works best for you and set a specific price. Of course, the price should match the quality of your products and services.

Hawes says, “Raising prices is so much easier at this time due to a significant increase in demand. If you’ve established excellent brand loyalty with many customers, you have nothing to lose. Also, if your products/services stand out, customers will always come to you with the hope that you’ll deliver nothing but the best.”

The retail sectors

The pandemic led to a shutdown of most pool and spa stores for a couple of weeks. But pool companies could sell their products online and make deliveries. And this was challenging and difficult at first. At this point, pool professionals who already had an online shop and payment system found it much easier to continue with business as usual. On the other hand, other pool companies had to try keeping with this new lifestyle’. At the start of summer, most companies had already adapted to the new norm. They were making massive sales than ever before.

What were the challenges encountered by the pool and spa industry?

The rise in demand has led to a shortage of supply, which is a problem faced by most pool companies, Caciolo says.

• Hot tub season is now approaching, and it isn’t easy to get these products. Hot tubs are one of the most challenging products to be found. So, until now, we have no idea when we will get our main line of hot tubs, says vice president of All Seasons Pools & Spas, Dan Lenz.
• Aside from hot tubs, pool heaters are also tough to find. This year, most homeowners are looking to extend their swimming season. Thus, there is a high demand for pool heaters. Covert says, “Our staff has not had problems getting these products; maybe because of the delays in obtaining permits and inspections. So, by the time they were getting an inspection done, they would already have the equipment.
• There have also been shortages in various pool equipment like filters and pumps. Cover says, “Nonetheless, we have never purchased as many products as this year.”
• The labor shortage was one of the major problems during the pandemic. “It’s funny how the rate of unemployment is high and we couldn’t seem to find the right workers,” Payan says. A lot of people are not motivated to work when receiving stimulus money. And others want to stay home and spend time with their families.

Now, companies in the pool and spa industry are thinking of stocking up in excess before the start of summer just to be safe. They are worried about lacking some products in the next peak season and a price increase in these products. All in all, pool builders are afraid of the unknown. Pool experts forecast that the increased demand will continue through this year. So, it would be best if pool owners came up with reliable strategies.