UK FENESTRATION NOW TO NAVIGATE

Whether we want to talk about it or not, the UK economy is on the brink of something bad. Inflation is out of control, the cost of living is soaring and the chances of the UK falling into recession are already highly likely.

This isn’t a UK problem. The US, EU and other Asian economies are all in the same boat. The flood of spending post-lockdown, plus the trillions upon trillions of dollars of stimulus pumped into the global economy to keep it from collapsing has led to the high inflationary environment which is now causing us all major problems.

As a result, consumer spending is dropping, and consumer confidence is actually the worst it has been since 1974. The public faces a tidal wave of rising prices for pretty much everything. Meaningless boosterism is pointless at this stage. As a sector, UK fenestration needs to be proactive now to navigate the hangover of the boom we have all experienced over the last two years.

Act now to benefit later

The tone of the commentary in our sector is now markedly changed since this time last year. Away from social media narcissism, genuine conversations I am having with key industry contacts show a truer picture. Sales are slowing.

It’s easy to say that sales would always slow from the highs we saw in 2020 and 2021, but it is the pace of the slowdown that we have to keep an eye on.

For example, for many fabricators, money is only made once around 85% of the weekly frame output is made. Even a small drop, coupled with rising prices, could cause serious damage to some fabricators who don’t run a tight ship.

It’s imperative that the sector acts now. We know what is coming down the road. You don’t need to be an economist to see the issues that we’re going to have to navigate. So whilst it is tempting to cut back on things like marketing and advertising, doing so only compounds the problem. Why choose to go withdraw further, just as the market enters a tough period?

The sector as a whole has to start ramping up its marketing immediately and in a big way. Installers need to step up in their communications to the public in order to stay relevant and in front of people’s minds. The battle for the public’s attention becomes harder when there is so much more focus on ensuring the basics like food, fuel and gas are affordable.