As our industry continues to diversify and bring out ever more interesting, dynamic and ground breaking products, I can see the industry being split down the middle and it is happening right now.
I think it’s something akin to the car industry. There is just no middle ground now. There are plenty out there who just want a cheap, value for money car. And there are those that want the big luxury saloons like Audi, Mercedes and BMW. The middle ground of the car market has bottomed out completely, so I am told. And given what is happening with the window industry right now in terms of product options and varying levels of quality, the same is happening with installers.
There are those out there who will always sell a cheap white window, a cheap white panel door for peanuts and will always stay at that end of the market, despite the increasing range and popularity of new timber-alternative products and other high end options right now. Then there will be those that will adapt their installations business to accommodate for new high end products like the Loggia, timber-alternative windows and doors or even incorporating new materials into their portfolios like aluminium or timber windows and doors. These are the companies that will actively go seeking the higher value contracts, using these high-spec products to win them the business.
So, to make it clear, it my mind, the window industry is going to be split: one half cheap and cheerful, the other half premium and high-end. I can see the middle ground, just like the car industry, bottoming out completely leaving the customer the choice between cheap and white, or expensive but quality.
I don’t think that this is a bad thing at all. The industry has created this situation for itself, knowing it has had to find the big money out there. It’s the one-off big contracts that installers have got which have sometimes been crucial to the survival of the business, thanks to new high quality products that have come to market. The industry has identified that during these economic conditions, there are two clear groups of people: the savers – those willing to spend as little as possible, getting value for money wherever possible. The spenders – those who are lucky enough to have stable jobs, high income, low debt and willing to spend well on home improvements.
What this will do is create competition in places where there weren’t previously. Those expert bespoke companies specializing in one-off special jobs are suddenly becoming more populous. Suddenly timber-alternative windows are not such a restricted product. So it is going to be imperative that installation companies sell not only on the benefits of the products, but what they as a business do better than their competitors. Selling on quality is all about selling the products as well as the business. Unprofessional, wishy washy, slap-dash selling will not help shift these products. These are the sorts of products and contracts that require hours and hours of dedication and work that will help convince the customer that you are the professional outfit to install this ‘investment’ in their home properly.
Comments are always appreciated!
As new products are designed with new features the old features pass to the cheaper windows.
To use your analogy of car production.Most new products in car manufacture are designed for use on formula one cars.This is then used on high end production cars.But if it is an excellent design could be used on lower priced models in time.
High end windows were those with spag locking at one time.The cheaper ones had cockspur.Now all have spag.
Surely this is just natural design evolving
Good practical designed objects are just naturally kept until a better design is manufactured.
I fully agree that there are two diverse sectors to the market.
I must request though, that as an industry we stop using the contradictory statement ‘Cheap and Chearful’. In my experience buying on the cheap usually ends in premature failure. I think we should promote the term, ‘Cheap and Miserable’, then perhapse the installers in this sector might wish to trade up to the ‘Quality and Chearful’ sector of the market.
Innovation is absolutely key to the future of any business wanting to be around for the long term and to beat the competition today. I agree, I can see a polarisation in our industry, with forward thinking companies trying new products and developing new revenue streams. We can see this among our network, with the Loggia early adopters really understanding the product and driving some serious sales numbers.
Innovate don’t prevaricate!
The benefit of selling high end products, apart from the obvious one that you can retain decent margins, is that the customer’s perception of the company is enhanced. Very often we get an enquiry for high end, colour foiled, mechanically jointed products but end up selling standard white, welded products but at good margins. The customer aspires to the higher end product but doesn’t have the budget, by the time you go through the presentation and elimination of some products they have bought into the ethos of the company. The selling process then becomes, not which company the will buy… Read more »