Ali and high-value shine in flat market
– Palmer
4th October 2016

High-end products, high value installations and a resurgence of aluminium have provided the only glimmer of growth in an otherwise flat window, door and conservatory market, according to the latest report from Palmer Market Research.

Total volume dropped by 0.7% in 2015, according to The Window, Door and Conservatory Markets in Housing in Great Britain, but, it continues: “This was offset by a shift towards higher-end products and higher value installations, which delivered a 2% increase in installed value to £4.20 billion.”

The domestic retrofit sector continues to dominate, with a value of £3.242bn, a figure that the report forecasts will put on 1.5% to £3.28bn by the end of this year. But, by contrast, Palmer has massively revised last year’s forecast of 32% growth in the new build sector by 2020 to 3% contraction in the same period.

Aluminium remains tipped for growth, notably in the bi-folding door sector with pockets of significant opportunity throughout markets. Palmer also suggests that there has been a shift in the window sector towards premium products and away from ‘standard’ PVC-U installations.

Forecasts for the entrance door market remain for growth, while Palmer suggests that last year also saw a resurgence in patio doors – up by 6%.

Palmer argues the conservatory sector continued its somewhat lacklustre performance last year, with a downward trend predicted through to 2020. This is, however, offset by the shift towards ‘family room’ type installations and growth in the replacements market.

“What we’re seeing are a set of very different fortunes for different products in different markets. Certainly, aluminium as a material type and bi-fold doors remain in the ascendency, building share in new markets”, the report continues.

Robert Palmer, Managing Director, Palmer Market Research, summed up: “After an initial tumble following the Brexit vote, consumer confidence has steadied somewhat.

“We would suggest, however, that the uncertainty that will be generated as the UK negotiates its exit from the EU, is likely to dampen demand in home improvements, with a fall in value in 2017 and 2018 before a flattening through to 2020.

“This is also likely to lead to a ‘cooling-off’ of the housing market and a possible dip in prices, something which traditionally slows the supply of new homes. This may become more acute if first-time buyers opt to wait-out Brexit before getting on the property ladder.”

www.palmermarketresearch.co.uk