The masonry industry in the USA is very fragmented, with a high number of small businesses operating in different regions of the country. According to IBISWorld, the US masonry industry is valued at $22 billion, but no one player accounts for a significant share of the market. The industry’s largest three players make up less than 1% of annual revenue, and most USA masonry contractors employ fewer than 5 people and operate within a limited area of the country.
Contributing to this fragmented market state is the fact that mergers and acquisitions among key masonry contractors in the USA are relatively rare. The industry has low barriers to entry, making it easy for new businesses to join a local market and compete on the basis of price and quality. While the larger masonry contractors in the market have the advantage of economies of scale, smaller businesses can still compete by specializing in certain kinds of work, or by operating in an area not served by big firms. Even the largest masonry contractors in the USA don’t operate country-wide, leaving gaps for smaller masonry companies to fill.
Masonry contracts come from three primary areas: residential, commercial, and government construction projects. Masonry contractors in the USA generate much of their business from single-family and multi-family homes, offices, commercial venues, educational institutions, and government buildings. According to Anything Research, the US federal government spent nearly $80 million on masonry companies in 2020, awarding 111 contracts to 65 different firms.