Over the past three years, I've delved into various modular home factories, each with its unique characteristics. While many specialize in constructing residential modular homes, they differ in construction methods, logistics, and quality control systems.
The complexity arises during discussions on construction approaches, product details, and target markets.
There are three main methods for module assembly:
1. Automated production lines
2. Module assembly from individual elements (ceiling, walls, and floor)
3. Indoor construction
Similarly, modules move within factories using three primary methods:
1. Rails
2. Wheeled or roller systems
3. Platforms
Interestingly, few modular home factories incorporate automation. Some handle all processes in-house, while others partner for certain aspects.
Focusing on small family homes, I'll avoid delving into the developer side of the modular business.
There are two customer types:
1. Networks of approved home builders who sell directly to buyers, with factories considering builders their primary customers.
2. Factories with retail sales centers selling directly to end buyers. This model, once diminished, is resurging due to high demand for modular homes.
Pros:
- Reduced competition: Merging reduces competition, consolidating companies in the market space.