Clearview National October 2017 - Issue 191 - Page 34

PROUD SPONSOR OF INDUSTRY NEWS INDUSTRYNEWS The UK fabricator and installer report Insight Data has published the ‘Insight Report’, an in-depth analysis of the UK window, door and conservatory industry. » » THE INSIGHT REPORT IS regarded as the most in-depth analysis of the industry, and is compiled following telephone interviews with over 15,000 companies and analysis of financial data spanning the industry. The full report includes analysis, trends and opinion on the current state of the industry, and includes detailed information on fabricators, installers, trade counters and the growth of ‘builder installers’ as well as developments in products and materials. Andrew Scott, managing director of Insight Data commented; “The industry is facing some of its toughest challenges yet, but there are also plenty of opportunities. Market intelligence is the key to informed, strategic decisions.” INDUSTRY OVERVIEW The previous Insight Report was last published in 2014. Since then, the number of window, door and conservatory companies has risen and now stands at 15,099. There has been significant ‘churn’ over the last 3 years, with 1,592 firms being removed from the database and 1,920 businesses added, giving a net increase of 328, largely consisting of small installation firms. The companies removed from the database include those that have gone out of business, merged, or changed direction/ markets, but an increasing number are firms where the owners have retired and the business has ceased trading. Across the fenestration industry, the number of manufacturers stands at 4,852, of which 4,178 are window and door fabricators, the b alance being specialist composite door, conservatory roof and sealed unit manufacturers. The number of PVC-U window and door fabricators continue to decline year-on- year and now stands at 1,407 companies, down from 1,534 in 2014. However, the rate of decline has slowed - there were 2,370 PVC-U fabricators in 2008. Small fabricators (100 frames per week or less) have seen most upheaval, with a significant number deciding to either cease manufacturing or investing in growth. This is reflected in an increased number of PVC-U 34 » OCT 2017 » CL EARVI E W- UK . C O M fabricators manufacturing 100 - 250 frames per week compared to 2014. At the other end of the scale, the number of fabricators producing 1,000 + frames per week has also marginally increased. Most PVC-U fabricators are now offering a broader range of products; either to improve revenue or margins, or to secure customer loyalty. Some companies have increased their manufactured range, while others are distributing products from specialist manufacturers. Fewer PVC-U fabricators are switching system companies completely, although more fabricators than ever are manufacturing more than one system. There are 175 PVC-U fabricators who dual or multi- source source, while several mergers/acquisitions have led to several fabricators within a group manufacturing different systems to satisfy market demands. In contrast, aluminium fabricators have remained consistent over the last 3 years at around 800 firms, although the nature of companies has changed. Smaller commercial aluminium fabricators have pulled out of manufacturing or ceased trading, but there has been a significant increase in PVC-U fabricators now manufacturing aluminium, with 243 fabricators manufacturing both materials. INSTALLERS AND TRADE-COUNTERS The number of window, door and conservatory installation firms has risen over the last 3 years to 13,281 firms; the increase primarily among small businesses (1 - 25 frames per week). In recent years a significant number of fitters have left their jobs with the large nationals and set up their own small installation business, often sourcing products from an increasing number of trade counter outlets. The clear majority of installation firms (9,097) are small, fitting 1 - 25 windows/ doors per week, while 25% (3,320) are fitting 25 to 100 frames per week, which is the ‘sweet spot’ for most trade fabricators. Installers can be split into two groups, those that fabricate and