| 1. |
INTRODUCTION |
7 |
| 2. |
SUMMARY |
8 |
| 3. |
ECONOMIC ENVIRONMENT |
11 |
| 3.1 |
GDP |
11 |
| 3.2 |
INFLATION & INTEREST RATES |
11 |
| 3.3 |
UNEMPLOYMENT |
12 |
| 3.4 |
HOUSEHOLD CONSUMPTION |
12 |
| 3.5 |
HOUSING & CONSTRUCTION |
13 |
| 3.6 |
STERLING |
14 |
| 3.7 |
POPULATION PROFILE |
14 |
| 3.8 |
CONCLUSIONS |
15 |
| 4. |
THE BUILDERS AND PLUMBERS MERCHANTS MARKET |
16 |
| 4.1 |
DEFINITION |
16 |
| 4.1.1 |
Builders Merchants Market |
16 |
| 4.1.2. |
Product Range |
17 |
| 4.2 |
MARKET STRUCTURE |
18 |
| 4.2.1 |
Lightside |
18 |
| 4.2.2 |
Heavyside Products |
20 |
| 4.3 |
MARKET SIZE |
21 |
| 4.3.1 |
Market Background |
21 |
| 4.3.2 |
Current Situation |
23 |
| 4.3.3 |
Regional Performance |
26 |
| 4.3.4 |
Market at Constant Prices |
27 |
| 4.3.5 |
Future Prospects |
27 |
| 4.4. |
KEY MARKET INFLUENCES |
30 |
| 4.4.1 |
The Housing Market |
30 |
| 4.4.2 |
Construction |
35 |
| 4.4.3 |
Legislation and Standards |
37 |
| 5. |
THE BUILDERS & PLUMBERS MERCHANTS |
38 |
| 5.1 |
MARKET SHARES |
38 |
| 5.2 |
MERCHANT COMPANIES |
43 |
| 5.2.1 |
National Merchants |
43 |
| 5.2.2 |
Larger Regional Merchants |
50 |
| 5.2.3 |
Medium Size Regionals |
54 |
| 5.2.4 |
Smaller Regional Merchants |
56 |
| 5.2.5 |
Local Merchants |
57 |
| 5.2.6 |
Buying Groups |
59 |
| 5.3. |
CHARACTERISTICS OF BUILDERS & PLUMBERS MERCHANTS |
60 |
| 5.3.1 |
Product Range |
60 |
| 5.3.2 |
Stock Levels |
63 |
| 5.3.3 |
Profitability |
65 |
| 5.3.4 |
Turnover Per Employee |
67 |
| 5.3.5 |
Pricing |
68 |
| 5.4 |
BUYING PROCESSES |
69 |
| 5.4.1 |
Major Merchants |
69 |
| 5.4.2 |
Medium Size & Smaller Merchants |
71 |
| 5.4.3 |
Buying Groups |
71 |
| 5.5 |
MERCHANTS MARKET - STRENGTHS, WEAKNESSES, OPPORTUNITIES
& THREATS |
71 |
| 5.5.1 |
Strengths |
71 |
| 5.5.2 |
Weaknesses |
73 |
| 5.5.3 |
Opportunities |
74 |
| 5.5.4 |
Threats |
77 |
| 6. |
PRODUCTS |
80 |
| 6.1 |
PRODUCT MIX |
80 |
| 6.2 |
MERCHANT SHARES BY PRODUCT |
81 |
| 6.3 |
PRODUCT TRENDS |
82 |
| 6.3.1 |
Roofing & Insulation Materials |
82 |
| 6.3.2 |
Bricks, Blocks and Concrete Materials |
87 |
| 6.3.3 |
Cement & Plaster Materials |
92 |
| 6.3.4 |
Timber Products |
97 |
| 6.3.5 |
Plumbing and Drainage Materials |
100 |
| 6.3.6 |
Decorating Materials |
106 |
| 6.3.7 |
Heating & Ventilating |
111 |
| 6.3.8 |
Kitchens |
119 |
| 6.3.9 |
Ironmongery & Miscellaneous Products |
122 |
| 7. |
MERCHANTS' CUSTOMERS |
129 |
| 7.1 |
BACKGROUND |
129 |
| 7.2 |
BUILDERS |
130 |
| 7.2.1 |
Civil Engineering |
131 |
| 7.2.2 |
Commercial Construction |
131 |
| 7.3.3 |
Housebuilders/General Builders |
131 |
| 7.3 |
PLUMBING AND HEATING CONTRACTORS |
133 |
| 7.4 |
MECHANICAL AND ELECTRICAL CONTRACTORS (M&E) |
135 |
| 7.5 |
OTHER CONTRACTORS |
135 |
| 7.6 |
CONSUMERS |
137 |
| 7.7 |
LOCAL AUTHORITIES AND PUBLIC BODIES |
138 |
| 7.8 |
OTHER |
138 |
| 7.9 |
GENERAL |
138 |
| 8. |
FUTURE PROSPECTS |
139 |
| TABLES & CHARTS |
| CHART 1 |
MERCHANTS MARKET 1996-2006 - £ MILLION AT MERCHANTS SELLING
PRICES |
8 |
| CHART 2 |
INTEREST RATES AND INFLATION (RPI) FROM 1990-2005 |
12 |
| CHART 3 |
PDI & SAVINGS RATIO 1980-2005 |
13 |
| CHART 4 |
AGE DISTRIBUTION OF THE RESIDENT UK POPULATION 2001 ('000) |
15 |
| CHART 5 |
DISTRIBUTION STRUCTURE - LIGHTSIDE |
18 |
| TABLE 6 |
UK BUILDING & PLUMBING MERCHANTS MARKET 1996 TO 2006 -
BY VALUE (£ MILLION AT MERCHANT SELLING PRICES) |
21 |
| TABLE 7 |
REGIONAL VARIATIONS OF CONTRACTORS OUTPUT |
26 |
| CHART 8 |
UK MERCHANTS MARKET AT CONSTANT (1995) PRICES 1996 TO 2006 -
£ MILLION AT MERCHANT SELLING PRICES |
27 |
| TABLE 9 |
HOUSING COMPLETIONS 1996-2006 GREAT BRITAIN ('000) |
31 |
| TABLE 10 |
HOUSING STARTS 1996-2006 GREAT BRITAIN ('000) |
32 |
| TABLE 11 |
VALUE OF NEW UK HOUSING OUTPUT AND RMI OUTPUT (£ MILLION) |
33 |
| TABLE 12 |
NUMBER OF PROPERTY TRANSACTIONS IN ENGLAND AND WALES
1996-2002 |
34 |
| TABLE 13 |
CONTRACTORS OUTPUT - NEW WORK AND RMI NON HOUSING - CURRENT
PRICES (£ BILLION) |
35 |
| TABLE 14 |
NEW ORDERS OBTAINED BY CONTRACTORS 1996-2002 CURRENT PRICES |
36 |
| CHART 15 |
MERCHANTS MARKET SHARES 2002 |
39 |
| CHART 16 |
SHARE PERCENTAGE TAKEN BY THE TOP FIVE MERCHANTS 1990, 1995,
1999, 2001 & 2002 |
40 |
| CHART 17 |
MIX OF MERCHANTS BY TYPE 2002 |
42 |
| TABLE 18 |
KEY INDICATORS UK BUILDERS MERCHANTS MARKET - SAINT GOBAIN (JEWSON
AND GRAHAM) |
43 |
| TABLE 19 |
KEY INDICATORS UK BUILDERS MERCHANTS MARKET - WOLSELEY
CENTERS PLC - UK BUILDING PRODUCTS DISTRIBUTION |
46 |
| TABLE 20 |
KEY INDICATORS UK BUILDERS MERCHANTS MARKET - TRAVIS PERKINS
PLC |
47 |
| TABLE 21 |
KEY INDICATORS UK BUILDERS MERCHANTS MARKET - BSS GROUP PLC |
48 |
| TABLE 22 |
KEY INDICATORS UK BUILDERS MERCHANTS MARKET - GRAFTON UK
BUILDING PRODUCTS DISTRIBUTION |
49 |
| CHART 23 |
MERCHANTS BY TURNOVER 1996,1999, 2002 AND 2003 |
57 |
| CHART 24 |
PERCENTAGE OF MERCHANTS STOCKING BY PRODUCT GROUP |
62 |
| TABLE 25 |
MERCHANTS STOCK IN WEEKS 1996-2002 |
64 |
| TABLE 26 |
MERCHANTS PROFITABILITY 1996-2002 |
65 |
| TABLE 27 |
MERCHANTS DEBTORS LEVELS 1996 TO 2002 |
66 |
| TABLE 28 |
MERCHANTS TURNOVER PER EMPLOYEE 1996 TO 2002 |
67 |
| TABLE 29 |
BUILDERS & PLUMBERS MERCHANTS PRODUCT MIX 2002 AT
MERCHANT SELLING PRICES |
80 |
| TABLE 30 |
BUILDERS & PLUMBERS MERCHANTS SHARE OF THE MARKET
SECTORS 2002 AT MERCHANT SELLING PRICES |
81 |
| TABLE 31 |
THE UK ROOFING AND INSULATION MARKET |
83 |
| TABLE 32 |
PRODUCT MIX - ROOFING & INSULATION MARKET 2002 (£ M AT
MERCHANT SELLING PRICES) |
84 |
| TABLE 33 |
THE UK MARKET FOR BRICKS, BLOCKS AND CONCRETE GOODS - 1996 -
2002 (£M AT MERCHANT SELLING PRICES) |
88 |
| CHART 34 |
MIX OF BRICKS, BLOCKS & CONCRETE PRODUCTS BY VALUE 2002
AT MERCHANT SELLING PRICES |
89 |
| TABLE 35 |
PRODUCTION, STOCKS & DELIVERIES OF ALL BRICK TYPES (M)
1996 TO 2002 |
90 |
| TABLE 36 |
PRODUCTION, STOCKS & DELIVERIES OF ALL CONCRETE BUILDING
BLOCKS (000 SQ. METRES) 1996-2001 |
91 |
| TABLE 37 |
THE UK MARKET FOR CEMENT AND PLASTER MATERIALS 1996-2002 (£
MILLION AT MERCHANT SELLING PRICES) |
93 |
| TABLE 38 |
PRODUCT MIX OF CEMENT & PLASTER PRODUCTS 2002 |
93 |
| TABLE 39 |
CEMENT AND READY MIXED CONCRETE PRODUCTION 1996-2002 ('000
TONNES) |
94 |
| TABLE 40 |
SALES OF AGGREGATES IN GREAT BRITAIN 1996-2002 ('000) TONNES |
95 |
| TABLE 41 |
UK TIMBER PRODUCTS - 1996 TO 2002 (£ MILLION AT MERCHANT
SELLING PRICES) |
97 |
| CHART 42 |
TIMBER SALES BY MAJOR PRODUCT GROUPS 2002 BY VALUE |
98 |
| TABLE 43 |
THE PLUMBING MATERIALS MARKET 1996-2002 (£ MILLION AT
MERCHANTS SELLING PRICES) |
101 |
| TABLE 44 |
PRODUCT MIX - TOTAL PLUMBING AND DRAINAGE MATERIALS MARKET
2002 - (£ MILLION AT MERCHANTS SELLING PRICES) |
102 |
| TABLE 45 |
THE UK DECORATING MATERIALS MARKET 1996-2002 - BY VALUE
(£M) |
107 |
| TABLE 46 |
PRODUCT MIX WITHIN THE DECORATING MATERIALS MARKET 2002 -
VALUE (£M) |
107 |
| TABLE 47 |
THE UK SPACE & WATER HEATING MARKET 1996-2002 - BY VALUE
(£M) |
111 |
| TABLE 48 |
PRODUCT MIX WITHIN THE HEATING AND VENTILATION PRODUCTS
MARKET 2002 BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
112 |
| TABLE 49 |
PRODUCT MIX - SPACE HEATERS 2002 BY VALUE - (£ MILLION) |
115 |
| TABLE 50 |
THE UK KITCHEN FURNITURE MARKET BY VALUE 1996 TO 2002 - ( £
MILLION AT MERCHANT SELLING PRICE) |
119 |
| TABLE 51 |
DISTRIBUTION OF KITCHEN FURNITURE - 2002 BY VALUE |
121 |
| TABLE 52 |
MARKET FOR IRONMONGERY AND MISCELLANEOUS PRODUCTS 2002 BY
VALUE - (£ MILLION AT MERCHANT SELLING PRICES) |
123 |
| CHART 53 |
UK VAT-REGISTERED BUILDERS 2003 |
130 |
| CHART 54 |
UK VAT REGISTERED PLUMBING AND HEATING CONTRACTORS 1998 AND
2003 |
134 |