The home improvement and hardware retail sectors faced a challenging year in 2025 due to a continued housing slump and consumers' reluctance to spend in uncertain economic conditions. Industry leader Home Depot's sales declined by 3.8% in its fourth quarter of 2025, ending Feb. 1, 2026, but its annual sales rose by 3.,2%. Home Depot dominated the home improvement sector with 28% of the market in 2025, while Lowe's captured 17% and Amazon generated 11% of sector's sales. Independent hardware stores and cooperative chains like Do it Best, Ace Hardware, and True Value Hardware are also facing economic challenges, as well as competition from major big-box home improvement centers like Home Depot and Lowe's. 80-year-old rival Miller’s Hardware is closing its Winter Park, Fla., store after the business owners decided it was time to close the establishment.