The German bathroom market was
worth an estimated €2.2 billion in 2006 and will see growth of over
€200 million in the next 3 years, according to the first edition of
the new report “Bathroom Market – Germany
2007”. The report, reviews the
entire bathroom market in Germany, offering a comprehensive analysis
of both the overall market and its main product sectors, including
baths, sanitaryware, showers, brassware, furniture and accessories.
The report provides market size estimates by product sector, clear
analysis of the major market and product trends, profiles of the
main manufacturers and distribution channels with their respective
market share, and forecasts of future prospects up to 2010.
The
research for the report found that the German bathroom market has
experienced a difficult period since the beginning of the decade,
driven by the poor economic climate and low levels of consumer
confidence. Any growth achieved by the main manufacturers in the
industry has tended to be driven by export opportunities. Within
the German market, the main product areas which have continued to
perform relatively well feature the shower sector in particular,
benefiting from the increasing popularity of showering and the
relatively low household penetration.
Forecasts
suggest that there is likely to be greater market polarisation, with
cheaper imports being marketed through various channels, and the
recovery of the DIY sector perhaps aiding this development. In
contrast the wellness trend, the shifting population structure and
consumer confidence improvements are all likely to support growth
opportunities in the higher quality product groups.
Regarding
product developments, significant improvements have been made in
terms of quality and design. Contemporary styles dominate virtually
all the product sectors within the bathroom market, with the key
areas of differentiation including the wide range of shapes,
materials and colours. Another major trend is towards “wellness”,
with the bathroom increasingly viewed as a refuge dedicated to
relaxation. Wellness products such as whirlpools/spas and
particularly hydro/steam showers have gained in popularity in recent
years.
The key
suppliers of baths and sanitaryware include Keramag, Villeroy & Boch,
VitrAbad Gmbh, Duravit Ag, Kohler and Ideal Standard. Grohe,
Hansgrohe, Kludi, Ideal Standard and Hansa are the major companies
in the brassware sector, while The key suppliers of shower
enclosures, trays and screens in Germany include Duscholux, Huppe,
Kermi and Koralle.
In terms of
distribution, the merchants continue to play a dominant part in the
market. The DIY multiple channels have maintained their share over
the last two years. Increasing levels of consumer confidence and
spending may well offer opportunities for DIY multiples to improve
their position over the short-term future.
AMA’s report
also provides an insight into future prospects for the German
bathroom market, and states that the next few years are likely to be
more positive, driven by the recovery in business confidence in
particular, and supported by the more recent recovery in consumer
confidence. This is likely to drive the market for wellness
products, offering some opportunity to add value into the German
bathroom market. The shower sector presents the best growth
potential and bathroom furniture should also experience healthy
growth. The sanitaryware and brassware sectors are likely to benefit
from good levels of replacement purchases, although the high level
of imports in these sectors is likely to constrain value growth.
