UK DIY News
Customer Experience Will Drive Future Home Improvement Market
Throughout the COVID-19 pandemic, many sectors experienced a downfall. However despite supply shortages and rising import prices, the UK Home Improvement Multiples market increased by 6% during 2021.
The competition within the market is thickening due to general merchandise and variety stores such as B&M Retail, The Range and Wilko selling a number of overlapping product categories, at highly affordable prices. As an effect, these companies are now competing with the traditional DIY multiples such as B&Q, Homebase and Wickes which is making the traditional brands reassess and adapt their store format to compete and respond to changing consumer purchasing behaviour.
New build properties including both private and public housebuilding and social housing, accounts for over half of all output (57%). But Repair, Maintenance & Improvement (RMI) represents a growing share of all residential construction activity (43%), driven by the private sector.
The lockdowns during Covid-19 benefited the UK home improvement market, as householders continued to invest in their homes, with particularly high demand for decoration and garden products, as well as home office furniture/storage and home furnishings. This resulted in the UK Home Improvements Multiples market growing by 5% since 2021.
Editor of the Home Improvement Multiples Market Report UK 2022-2026, Abdul Tantouch, Research Manager at AMA Research comments on the condition of the market:
“The market continues to evolve with the largest operators revising store formats/layouts to improve customer experience and investing in digital capability. Convenience was a major driver in retail shopping trends as we witnessed increased penetration of internet sales, Click & Collect and home delivery services as a direct result of the pandemic. Prospects for the home improvement market remain favorable, although competition is likely to intensify between different retailers and differentiation lies in providing greater customer convenience and improved online experience.”
Enhanced digital experience and experimentation with local store formats are likely to aid sales, profitability and competitiveness, as a seamless customer experience will be the key to success. Despite the challenges Brexit and rising inflation bring, prospects remain favourable for the Home Improvement market, thanks the sustained demand for housing.
The information was taken from the Home Improvement Multiples Market Report – UK 2022-2026 by AMA Research, which is available to purchase now at www.amaresearch.co.uk or by calling 01242 235724.
Source : AMA Research
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