| 1. |
INTRODUCTION |
7 |
| 2. | SUMMARY & FUTURE PROSPECTS |
8 |
| 2.1 | SUMMARY |
8 |
| 2.2 | FUTURE PROSPECTS |
10 |
| 3. | ECONOMIC ENVIRONMENT |
12 |
| 3.1 | GDP |
12 |
| 3.2 | INFLATION & INTEREST RATES |
13 |
| 3.3 | UNEMPLOYMENT AND HOUSEHOLD CONSUMPTION |
14 |
| 3.5 | HOUSING & CONSTRUCTION |
15 |
| 3.6 | STERLING |
16 |
| 3.7 | POPULATION PROFILE |
16 |
| 3.8 | CONCLUSIONS |
17 |
| 4. | THE BUILDERS AND PLUMBERS MERCHANTS’ MARKET |
19 |
| 4.1 | DEFINITION |
19 |
| 4.2 | PRODUCTS |
20 |
| 4.2.1 | Product Range |
20 |
| 4.3 | MARKET STRUCTURE |
21 |
| 4.3.1 | Lightside |
21 |
| 4.3.2 | Heavyside Products |
24 |
| 4.4 | MARKET SIZE |
25 |
| 4.4.1 | Market 2005-06 |
26 |
| 4.4.2 | Current Situation |
27 |
| 4.4.3 | Future Prospects |
29 |
| 4.5 | MERCHANTS SHARE OF CONSTRUCTION OUTPUT |
31 |
| 4.6 | BUILDING AND CONSTRUCTION MARKET INFLUENCES |
32 |
| 4.6.1 | Construction Market |
32 |
| 4.6.2 | The Housing Market |
35 |
| 4.7 | ADDITIONAL FACTORS INFLUENCING THE MERCHANTS |
38 |
| 5. | THE BUILDERS & PLUMBERS MERCHANTS |
39 |
| 5.1 | MARKET SHARE |
39 |
| 5.2 | MERCHANT COMPANIES |
44 |
| 5.2.1 | National Merchants |
44 |
| 5.2.2 | Larger Regional Merchants |
54 |
| 5.2.3 | Medium Size Regionals |
57 |
| 5.2.4 | Smaller Regional Merchants |
62 |
| 5.2.5 | Local Merchants |
63 |
| 5.2.6 | Buying Groups |
66 |
| 5.3. | CHARACTERISTICS OF BUILDERS & PLUMBERS’ MERCHANTS |
67 |
| 5.3.1 | Product Range |
67 |
| 5.3.2 | Stock Levels |
69 |
| 5.3.3 | Profitability |
70 |
| 5.3.4 | Debtors |
72 |
| 5.3.5 | Turnover Per Employee |
73 |
| 5.3.6 | Pricing |
74 |
| 5.4 | MERCHANTS’ MARKET – SWOT ANALYSIS |
75 |
| 5.4.1 | Strengths |
75 |
| 5.4.2 | Weaknesses |
76 |
| 5.4.3 | Opportunities |
77 |
| 5.4.4 | Threats |
78 |
| 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 |
85 |
| 6.3.3 | Cement & Plaster Materials |
91 |
| 6.3.4 | Timber Products |
95 |
| 6.3.5 | Plumbing and Drainage Materials |
98 |
| 6.3.6 | Decorating Materials |
101 |
| 6.3.7 | Heating and Ventilation |
103 |
| 6.3.8 | Kitchens |
105 |
| 6.3.9 | Ironmongery & Miscellaneous Products |
107 |
| 7. | MERCHANTS' CUSTOMERS |
110 |
| 7.1 | BACKGROUND |
110 |
| 7.2 | BUILDERS |
110 |
| 7.2.1 | Civil Engineering |
112 |
| 7.2.2 | Commercial Construction |
112 |
| 7.2.3 | Housebuilders/General Builders |
112 |
| 7.3 | PLUMBING AND HEATING CONTRACTORS |
113 |
| 7.4 | MECHANICAL AND ELECTRICAL CONTRACTORS (M&E) |
114 |
| 7.5 | OTHER CONTRACTORS |
115 |
| 7.6 | CONSUMERS |
115 |
| 7.7 | LOCAL AUTHORITIES AND PUBLIC BODIES |
116 |
| 7.8 | OTHER |
116 |
|
TABLES AND CHARTS |
| CHART 1 | UK BUILDERS AND PLUMBERS’ MERCHANTS’ MARKET 2000T TO 2010 – BY VALUE £ BILLION AT MERCHANTS SELLING PRICES |
8 |
| CHART 2 | INTEREST RATES AND INFLATION (CPI) FROM 1990-2009 |
13 |
| CHART 3 | PDI & SAVINGS RATIO AT CURRENT PRICES 1990-2009 |
14 |
| TABLE 4 | EXCHANGE RATE FLUCTUATIONS 2004-2007 - STERLING TO THE DOLLAR, AND THE EURO, SPOT RATES |
16 |
| CHART 5 | AGE DISTRIBUTION OF THE RESIDENT UK POPULATION 2001 (‘000) |
17 |
| CHART 6 | DISTRIBUTION STRUCTURE - LIGHTSIDE |
22 |
| TABLE 7 | UK BUILDING & PLUMBING MERCHANTS’ MARKET 2000 TO 2010 – BY VALUE (£ MILLION AT MERCHANT SELLING PRICES) |
25 |
| TABLE 8 | MERCHANTS SHARE OF UK CONSTRUCTION OUTPUT 2000 TO 2006 (£ BILLION CURRENT PRICES) |
31 |
| CHART 9 | VALUE OF CONSTRUCTION OUTPUT (UK) - ALL NEW WORK AND RMI – CURRENT PRICES (£ BILLION) |
33 |
| CHART 10 | CONSTRUCTION OUTPUT (GB) 2000- 2006 NEW WORK/RMI – CURRENT PRICES (£ BILLION) |
34 |
| CHART 11 | HOUSING COMPLETIONS 2000 TO 2006 – UNITED KINGDOM (‘000) |
36 |
| TABLE 12 | NUMBER OF RESIDENTIAL PROPERTY TRANSACTIONS IN ENGLAND AND WALES 2000 TO 2005 |
37 |
| CHART 13 | MERCHANTS’ MARKET SHARES 2006 |
40 |
| CHART 14 | CHANGING SHARE PERCENTAGE NATIONAL MERCHANTS 1997, 2001, 2004 AND 2006 |
41 |
| CHART 15 | COMPANY INDIVIDUAL SHARE COMPARISON 1997 AND 2006 |
42 |
| CHART 16 | MIX OF MERCHANTS BY TYPE 2006 |
43 |
| TABLE 17 | KEY INDICATORS UK BUILDERS’ MERCHANTS’ MARKET – WOLSELEY UK LTD |
45 |
| TABLE 18 | KEY INDICATORS UK BUILDERS’ MERCHANTS’ MARKET – TRAVIS PERKINS* |
47 |
| TABLE 19 | KEY INDICATORS UK BUILDERS’ MERCHANTS’ MARKET – SAINT GOBAIN (JEWSON & GRAHAM) |
49 |
| TABLE 20 | KEY INDICATORS UK BUILDERS’ MERCHANTS’ MARKET – GRAFTON UK BUILDING PRODUCTS DISTRIBUTION* |
51 |
| TABLE 21 | KEY INDICATORS UK BUILDERS’ MERCHANTS’ MARKET – BSS GROUP PLC |
53 |
| TABLE 22 | CHANGES TO DEFINITION OF LARGER REGIONAL MERCHANTS 1990 TO 2006 – BY TURNOVER SIZE AND NUMBER OF COMPANIES |
54 |
| TABLE 23: | LEADING SMALLER REGIONAL MERCHANT COMPANIES 2006 |
63 |
| CHART 24 | MERCHANTS BY TURNOVER 1996, 2000 AND 2006 |
65 |
| CHART 25 | PERCENTAGE OF MERCHANTS STOCKING BY PRODUCT GROUP 2006 |
68 |
| TABLE 26 | MERCHANTS STOCK IN WEEKS 2000 TO 2006 |
69 |
| TABLE 27 | MERCHANTS PROFITABILITY 2000 TO 2006 |
70 |
| TABLE 28 | MERCHANTS DEBTORS LEVELS 2000 TO 2006 |
72 |
| TABLE 29 | MERCHANTS TURNOVER PER EMPLOYEE 2000 TO 2006 |
73 |
| CHART 30 | BUILDERS AND PLUMBERS’ MERCHANTS’ MARKET PRODUCT MIX 2006 – £ MILLION AT MERCHANT SELLING PRICES |
80 |
| TABLE 31 | BUILDERS & PLUMBERS’ MERCHANTS SHARE OF THE MARKET SECTORS 2006 AT MERCHANT SELLING PRICES |
81 |
| CHART 32 | UK ROOFING AND INSULATION MARKET 2001-06 £ MILLION MERCHANT SELLING PRICES |
83 |
| CHART 33 | ROOFING AND INSULATION MARKET 2006 - £ MILLION AT MERCHANT SELLING PRICES |
84 |
| CHART 34 | UK MARKET FOR BRICKS, BLOCKS AND CONCRETE GOODS 2001 TO 2006 - £ MILLION AT MERCHANT SELLING PRICES |
86 |
| CHART 35 | MIX OF BRICKS, BLOCKS & CONCRETE PRODUCTS 2006 BY VALUE £ MILLION AT MERCHANT SELLING PRICES |
87 |
| TABLE 36 | PRODUCTION, STOCKS & DELIVERIES OF ALL BRICK TYPES (MILLIONS) 2001 TO 2006 |
88 |
| TABLE 37 | PRODUCTION, STOCKS & DELIVERIES OF ALL CONCRETE BUILDING BLOCKS (000 SQ. METRES) 2001 TO 2006 |
89 |
| CHART 38 | THE UK MARKET FOR CEMENT AND PLASTER MATERIALS 2001 TO 2006 - BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
92 |
| TABLE 39 | CEMENT AND READY MIXED CONCRETE PRODUCTION 2001 TO 2005 (‘000 TONNES) |
93 |
| TABLE 40 | SALES OF AGGREGATES IN GREAT BRITAIN 2001 TO 2006 (‘000) TONNES |
94 |
| CHART 41 | UK MARKET FOR TIMBER PRODUCTS 2001 TO 2006 – BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
96 |
| CHART 42 | TIMBER SALES BY MAJOR PRODUCT GROUPS 2006 - BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
97 |
| TABLE 43 | THE PLUMBING MATERIALS MARKET 2000 TO 2006 – BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES |
99 |
| CHART 44 | PRODUCT MIX FOR PLUMBING AND DRAINAGE MATERIALS MARKET 2006 – BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
100 |
| CHART 45 | UK DECORATING MATERIALS MARKET 2000 TO 2006 – BY VALUE (£ MILLION AT MERCHANT SELLING PRICES) |
101 |
| CHART 46 | PRODUCT MIX WITHIN THE DECORATING MATERIALS MARKET 2006 – BY VALUE (£ MILLION AT MERCHANTS SELLING PRICES) |
102 |
| CHART 47 | THE UK SPACE AND WATER HEATING MARKET 2000 TO 2006 – BY VALUE - £ MILLION AT MERCHANT SELLING PRICES |
103 |
| CHART 48 | PRODUCT MIX HEATING AND VENTILATION PRODUCTS 2006 - % BY VALUE (£ MILLION AT MERCHANT SELLING PRICES |
104 |
| CHART 49 | DISTRIBUTION OF KITCHEN FURNITURE 2006 - % BY VALUE |
106 |
| CHART 50 | MARKET FOR IRONMONGERY AND MISCELLANEOUS PRODUCTS 2006 % BY VALUE (MERCHANTS SELLING PRICES) |
108 |
| CHART 51 | UK VAT-REGISTERED BUILDERS 2006 |
111 |
| CHART 52 | UK VAT REGISTERED PLUMBING AND HEATING CONTRACTORS 1998 AND 2006 |
113 |