UK market for replacement domestic doors and windows is a
substantial but mature sector. Volumes have been in steady underlying decline,
but the market returned to value growth in 2014, partly reflecting the release
of pent-up demand due to rising consumer confidence and an improving housing
market.
The dominant position of PVC-u, especially in the windows
and patio door sector, is a key feature with the PVC-u dominated direct sell
route to market particularly strong in these product sectors. Aluminium and
timber also retain shares, though aluminium is largely restricted to specific
applications or products. Composite doors have gained significant market share
and have grown rapidly in popularity in recent years.
Some major restructuring has been seen in this sector in
the last 2 years, with further rationalisation anticipated at all levels of the
supply chain. In particular, the composite door sector has seen significant
change in terms of acquisitions and companies exiting the market in 2013/14.
Our forecast for the development of the door and window
replacement market for 2015 is for further good growth in the region of 5%, given
continued growth in the general economy, strong consumer confidence and a good
housing market. For the longer term, forecasts are for steady recovery of
around 2-3% growth, reflecting market maturity and a steadily rising economy –
though growth rates are unlikely to be buoyant on a sustained basis.
“We anticipate that,
certainly in the short term, the market will be primarily driven by demand from
the private rather than public sector, because of the impact of cuts in
government spending for the forecast period” said Andrew Hartley, Director of AMA
Research. “However, a return to the
volumes seen in the 1990s is not likely. Increases in the market will be
limited by a number of factors including the maturity of the market, high
household penetration levels, and the extended lifespan of door and window
products.”
New legislation may encourage replacement of windows and
doors to some extent, as regulations for thermal efficiency etc. become
stricter over time, while security and appearance will also drive second/third-time
replacement. New niche sectors also continue to offer opportunities – bifold
doors have been a recent example as homeowners look to open up access to their
garden areas with large, flexible glazed areas.
By 2019, it is expected that the market for domestic
replacement windows and doors will reach a value of around £2.5bn at retail
selling prices. In the longer term, the UK replacement door and window market
is likely to see further consolidation at all levels.
The ‘Domestic Replacement Door and Window
Market Report – UK 2015-2019 Analysis’ report is published by AMA Research,
a leading provider of market research and consultancy services within the
construction and home improvement markets. The report is available now and can
be ordered online at www.amaresearch.co.uk
or by calling 01242 235724.
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