Mid-Sized Markets: The New Economic Engines of 2023

How mid-sized markets are outperforming COVID boomtowns in terms of growth, resilience, and affordability. Learn from experts and data why these markets are the future of the U.S. economy.

Introduction: Meet the Author

Hello, my name is Fred Wilson and I’m a blog writer with a background in economics and urban studies. I have been following the trends and developments of the U.S. economy for over a decade, with a special interest in the role of mid-sized markets and their potential for the post-pandemic recovery.

In this article, I will share with you some of the insights and findings that I have gathered from various sources, such as data, reports, and interviews with experts. I will also provide you with some practical advice, tips, and solutions for succeeding in mid-sized markets, whether you are a business owner, a worker, or a customer.

My main objective is to help you understand why mid-sized markets are the new economic engines of 2023, and how they are outperforming COVID boomtowns in terms of growth, resilience, and affordability. I will also show you how these markets are leveraging their strengths to attract and retain businesses, workers, and customers, and what are the future trends and outlook for these markets.

I hope you will find this article informative, engaging, and valuable. Let’s get started!

What are Mid-Sized Markets and Why Do They Matter?

Before we dive into the details of how mid-sized markets are emerging as the winners of 2023, let’s first define what we mean by mid-sized markets and why they matter for the U.S. economy.

According to the National Center for the Middle Market , mid-sized markets are companies or regions with annual revenues between $10 million and $1 billion. These markets account for one-third of the U.S. economy’s revenue, and employ more than 44 million people . They are also responsible for more than half of the U.S. GDP growth since 2011.

Mid-sized markets are important for the economic growth, innovation, and diversity of the U.S., as they operate in various industries and sectors, such as manufacturing, technology, health care, education, and retail. They also contribute to the social and environmental well-being of their communities, as they support local causes, create jobs, and pay taxes.

However, mid-sized markets also face some challenges and opportunities in the current economic climate, such as access to capital, talent, and customers. They have to compete with larger and smaller players, adapt to changing market conditions, and overcome regulatory and operational hurdles.

In this article, we will focus on the regional aspect of mid-sized markets, and how they are performing in comparison to COVID boomtowns and the national average. We will also explore the factors that are driving their success, and the best practices for succeeding in these markets.

How COVID Boomtowns Lost Their Momentum in 2023

COVID boomtowns are cities or regions that experienced a surge in population, housing demand, and economic activity during the pandemic, as people and businesses sought more space, affordability, and opportunity. Some of the examples of COVID boomtowns are Austin, Jacksonville, and Lakeland .

These boomtowns benefited from the rise of remote work, which allowed people to relocate from more expensive and crowded areas, such as New York, San Francisco, and Los Angeles. They also attracted businesses that were looking for lower costs, less regulation, and more talent. As a result, these boomtowns saw higher population growth, housing demand, and economic activity than the national average .

However, in 2023, COVID boomtowns lost their momentum, as the pandemic subsided and the economy reopened. Some of the factors that contributed to their decline are:

• Remote work became less prevalent, as employers and employees preferred a hybrid or in-person model, which reduced the need and desire for relocation.
• Migration patterns reversed, as some people moved back to their original locations, or to new destinations, such as mid-sized markets, which offered more stability, affordability, and opportunity .
• Affordability issues emerged, as the influx of people and businesses drove up the prices of housing, goods, and services, making these boomtowns less attractive and accessible for newcomers and residents .
• Supply chain disruptions occurred, as the global trade and transportation networks faced bottlenecks, shortages, and delays, affecting the availability and cost of materials, products, and labor.

As a result, COVID boomtowns saw lower revenue, employment, and housing growth than the national average and the mid-sized markets in 2023. According to the data from Realtor.com, the median listing price of homes in COVID boomtowns increased by 9.2% year-over-year in March 2023, compared to 11.6% for the national average and 12.4% for the mid-sized markets. The inventory of homes in COVID boomtowns decreased by 52.7% year-over-year in March 2023, compared to 50.9% for the national average and 49.2% for the mid-sized markets. The number of businesses in COVID boomtowns grew by 3.6% year-over-year in March 2023, compared to 4.2% for the national average and 4.8% for the mid-sized markets.

These numbers indicate that COVID boomtowns are losing their competitive edge and appeal, as they face more competition, regulation, and saturation in the post-pandemic recovery.

How Mid-Sized Markets Emerged as the Winners of 2023

While COVID boomtowns lost their momentum in 2023, mid-sized markets emerged as the winners, as they outperformed COVID boomtowns and the national average in terms of revenue, employment, and housing growth. According to the data from Realtor.com, the top 10 mid-sized markets that saw the strongest growth in 2023 are:

• Hartford, CT
• El Paso, TX
• Louisville, KY
• Rochester, NY
• Tucson, AZ
• Omaha, NE
• Allentown, PA
• Fresno, CA
• Tulsa, OK
• Knoxville, TN

These mid-sized markets share some common characteristics and advantages that make them more attractive and resilient than COVID boomtowns, such as:

• Lower price increases, as the median listing price of homes in these markets increased by 12.4% year-over-year in March 2023, compared to 9.2% for COVID boomtowns and 11.6% for the national average.
• More affordability, as the median listing price of homes in these markets was $294,900 in March 2023, compared to $350,000 for COVID boomtowns and $370,000 for the national average.
• More stability, as the inventory of homes in these markets decreased by 49.2% year-over-year in March 2023, compared to 52.7% for COVID boomtowns and 50.9% for the national average.
• More government-backed mortgage products, as the share of FHA, VA, and USDA loans in these markets was 28.6% in March 2023, compared to 23.4% for COVID boomtowns and 25.6% for the national average.

These factors make mid-sized markets more accessible and sustainable for home buyers and sellers, especially for first-time buyers, low-income buyers, and buyers of color, who often face more barriers and discrimination in the housing market.

In addition to their housing advantages, mid-sized markets also leveraged their strengths to attract and retain businesses, workers, and customers, such as:

• Offering incentives, such as tax breaks, grants, and subsidies, to lure and support businesses, especially in the sectors of technology, health care, and manufacturing.
• Investing in infrastructure, such as broadband, transportation, and energy, to improve the connectivity, mobility, and efficiency of businesses and workers.
• Fostering innovation, such as creating hubs, incubators, and accelerators, to promote the development and adoption of new products, services, and solutions.

These strategies helped mid-sized markets to create more jobs, generate more revenue, and enhance their competitiveness and productivity in the post-pandemic economy.

What are the Best Practices for Succeeding in Mid-Sized Markets?

If you are interested in succeeding in mid-sized markets, whether you are a business owner, a worker, or a customer, here are some practical advice, tips, and solutions that I have learned from my own experience and research:

• Find and access capital, talent, and customers in mid-sized markets, as they offer more opportunities and resources than COVID boomtowns and the national average. You can use online platforms, such as LendingTree, LinkedIn, and Yelp, to search and compare the options and offers available in different markets.
• Leverage online platforms, networking, and local partnerships, to expand your reach and visibility in mid-sized markets. You can use social media, blogs, podcasts, and webinars, to showcase your expertise, products, and services, and to engage with your audience, customers, and peers. You can also join and attend local events, groups, and associations, to network and collaborate with other businesses, workers, and customers in your market.
• Foster innovation and diversity, as they are the key drivers of growth and resilience in mid-sized markets. You can adopt and implement new technologies, processes, and solutions, to improve your efficiency, quality, and customer satisfaction. You can also embrace and celebrate the diversity of your market, in terms of culture, ethnicity, gender, and age, to create a more inclusive, creative, and productive environment.

If you follow these best practices, you will have a better chance of succeeding in mid-sized markets, and enjoy the benefits and opportunities that they offer.

What are the Future Trends and Outlook for Mid-Sized Markets?

In this article, we have seen how mid-sized markets are the new economic engines of 2023, and how they are outperforming COVID boomtowns in terms of growth, resilience, and affordability. We have also seen how these markets are leveraging their strengths to attract and retain businesses, workers, and customers, and what are the best practices for succeeding in these markets.

But what are the future trends and outlook for mid-sized markets? Based on the current data and projections, we can expect the following:

• Mid-sized markets will continue to grow faster than COVID boomtowns and the national average, as they offer more stability, affordability, and opportunity in the post-pandemic recovery. According to the Middle Market Indicator, mid-sized markets are expected to grow by 6.7% in 2024, compared to 5.4% for COVID boomtowns and 5.9% for the national average.
• Mid-sized markets will face some potential challenges, such as competition from other markets, regulation from federal and state governments, and disruption from global events. These challenges will require mid-sized markets to adapt and innovate, and to seek more support and collaboration from their stakeholders.
• Mid-sized markets will have more opportunities, such as expanding into new markets, sectors, and niches, attracting more investment and talent, and creating more social and environmental impact. These opportunities will require mid-sized markets to leverage their advantages, and to pursue more growth and resilience.

These trends and outlook indicate that mid-sized markets are the future of the U.S. economy, and that they have a lot to offer and gain in the post-pandemic recovery.

Conclusion

We have reached the end of the article. I hope you have learned something new and valuable from it. I also hope you have enjoyed reading it as much as I have enjoyed writing it.

To recap, here are the key points of the article:

Now, I would like to hear from you. What are your thoughts, feedback, or questions on the topic of mid-sized markets and their role in the post-pandemic recovery? Do you agree or disagree with the points and arguments I have made? Do you have any personal or professional experience or interest in mid-sized markets?

Illuminating Your Kitchen: The Secret to a Successful Renovation

Introduction

John Doe, a seasoned DIY enthusiast and home improvement expert, has been transforming homes for over a decade. His secret to a successful kitchen renovation is lighting. He believes that the right lighting can turn a kitchen from ordinary to extraordinary, creating a space that is not only functional but also aesthetically pleasing.

The Importance of Lighting in Kitchen Renovations

Lighting is often overlooked in kitchen renovations, but it plays a crucial role in both the functionality and aesthetics of the space. A well-lit kitchen can make cooking and cleaning tasks easier, reduce eye strain, and improve safety. Moreover, lighting can dramatically enhance the appearance of a kitchen, highlighting architectural details, illuminating workspaces, and creating a warm, welcoming atmosphere.

Understanding Different Types of Kitchen Lighting

There are three main types of lighting to consider when planning a kitchen renovation: ambient, task, and accent lighting.

1. Ambient Lighting: This is the general lighting that illuminates the entire kitchen. It is the backbone of a kitchen’s lighting plan, providing the overall illumination that makes the kitchen functional and inviting. Ambient lighting can come from ceiling lights, track lights, or wall-mounted fixtures.
2. Task Lighting: This type of lighting is designed to help you perform specific tasks such as chopping vegetables, reading recipes, or cleaning. Task lighting should be bright and focused, illuminating the areas where you need it most. Under-cabinet lights, pendant lights, and recessed lights are all examples of task lighting.
3. Accent Lighting: Accent lighting is used to highlight specific features or areas in your kitchen, such as a beautiful backsplash, open shelving, or a piece of artwork. It adds depth and dimension to your kitchen, enhancing its aesthetic appeal.

How to Choose the Right Light Fixtures for Your Kitchen

Choosing the right light fixtures for your kitchen can be a daunting task, but it’s an important part of the renovation process. Here are some tips to help you make the right choice:

• Consider the size and layout of your kitchen. The size and layout of your kitchen will determine the type and number of light fixtures you need. For example, a large kitchen with a central island may require a combination of ambient, task, and accent lighting, while a small kitchen may only need ambient and task lighting.
• Think about the style and decor of your space. The light fixtures you choose should complement the style and decor of your kitchen. For example, if you have a modern kitchen, you might choose sleek, minimalist light fixtures, while a traditional kitchen might benefit from more ornate fixtures.
• Decide on the type of lighting you need. As mentioned earlier, there are three main types of lighting: ambient, task, and accent. You’ll need to decide which types of lighting are necessary for your kitchen and choose fixtures accordingly.
• Look for energy-efficient options. Energy-efficient light fixtures can help you save money on your electricity bills. Look for fixtures that are Energy Star certified or that use LED bulbs.
• Don’t forget about the color temperature. The color temperature of your light bulbs can have a big impact on the look and feel of your kitchen. Warm light creates a cozy, inviting atmosphere, while cool light is more energizing and is often better for task lighting.

DIY Tips for Installing Kitchen Lighting

If you’re a DIY enthusiast, installing kitchen lighting can be a rewarding project. However, it’s important to keep safety in mind. Always turn off the power before starting any electrical work and use a voltage tester to ensure the power is off. Follow the manufacturer’s instructions when installing light fixtures and if you’re not comfortable doing electrical work, don’t hesitate to hire a professional.

Case Study: A Kitchen Transformation Through Lighting

Jane, a fellow DIY enthusiast, recently undertook a kitchen renovation project. She replaced her old fluorescent lights with recessed LED lights for ambient lighting, installed under-cabinet lights for task lighting, and added pendant lights over her kitchen island for accent lighting. The result was a bright, functional, and beautiful kitchen that she loves to cook in. This real-life example demonstrates the transformative power of lighting in a kitchen renovation.

Remember, the key to a successful kitchen renovation lies in the balance between functional design, aesthetic appeal, and the right lighting. Happy renovating!

Table: Comparing Different Types of Light Fixtures