Pro Installer June 2017 - Issue 51 | Page 51

JUNE 2017 | 51 Review SHIFTING TRENDS REDEFINE INDUSTRY Tougher second-time replacement sells and the shift away from home ownership are driving long- term change in the window and door industry. The analysis was deliv- ered by Robert Palmer, Palmer Market Research during The FIT Show semi- nar programme. He said first time window and door replacements had dropped from 80% in 2000 to less than 30% in 2015, with ‘replacement of replacement’ installations now accounting for 70% of all installations. He argued that this was driving increased focus on aesthetics: “Homeowners want something that is tangibly different and the appearance of windows is increasingly important in the market”, he said. “That in turn is driving innovation in the industry and the shift to premium finishes and foils in retail markets. “While there will always be a place for standard budget white PVC, there has been definite shift in consumer expectation. “The industry has re- sponded with foils and premium finishes as well as the very substantial growth that we’re seeing in demand for aluminium.” To this end he forecast that aluminium is on course to reach a 17-year high by 2020, topping 220,000 frames by the end of the three-year period. This he said would be delivered by significant growth in the bi-fold market, which he forecast was set for growth of 30% through to 2020 in all ma- terial types to 55,000 door sets. Of these predicted that aluminium would take the lion’s share of the market at 35,000 units. Palmer cited ‘exponen- tial growth’ in the solid roof conservatory market as a second key area of opportunity. According to The Window, Door and Conservatory Markets in Housing in Great Britain, (October 2016) the market for replacement conserva- tory roofs was up 62% in 2015 to 11,200 installations and is forecast for contin- uing growth through to 2020. He also forecast continu- ing if steady growth in the composite door market, which he said would in- crease to around 850,000 door sets per annum in the next three years. But while citing size- able areas of growth, he tempered forecasts with predictions of continuing challenge. Alongside the shift to tougher second-time re- placement sells, Palmer said that the long-term decline in homeownership was also driving a long-term change in the market. This according to figures has dropped from a peak of 14.8million in 2005 to below 14.3million last year. Conversely the private rental sector was up from around 2million properties in 2005 to 4.5million. “The private rental mar- ket tends to be again, that little bit tougher and price driven. There are howev- er incentives - or perhaps more accurately disincen- tives for not doing so – to improve the energy effi- ciency of their properties. “MEES or Minimum Energy Efficiency standards give landlords just a year to bring the energy perfor- mance certificate (EPC) rating of their properties to no lower than E for new tenants and to all existing tenancies from 01 April 2020”, said Palmer. For more information, visit www.palmermarketresearch. co.uk email info@ palmermarketresearch. co.uk or call 020 83908131 TL 6020 DRESS ONE LEVEL UP. TL 6020 - Profi le for all-glass balustrades _Universal anchoring system depending on the application - low cost _1.5 kN Top mount _Multifunctional sophisticated chamber design adds incredible strength _For glass thicknesses between 12- 21.52 mm _Increased stability maintaining the slimline appearance _Suitable for use in private, commercial and public areas WE’RE ONLEVEL | WWW.ONLEVEL.COM T: 0161 804 9500 | [email protected] Alexandria Court, Ashton-under-Lyne, OL7 0QN Thank you to everyone who visited our stand at this year’s FIT Show