2024 data from the Business Pilot Barometer indicated a continued slowdown in the home improvement sector, with leads, sales, and installation registrations all experiencing year-on-year declines. However, when analysed over a five-year period, key performance indicators demonstrate a notable shift in consumer behaviour and overall demand that could be key to unlocking future growth.

Data from Business Pilot generated between 2019 and 2024 highlights a 16% drop in average sales and a 22% reduction in leads over this period, reflecting the slower-moving market that the majority of installers will testify to.

This is backed up by a wider waning of consumer interest in new window and door installations, with Google searches for glazing-related terms decreasing by 5% over the same period. While these figures may raise concerns, Elton Boocock, Managing Director of Business Pilot, suggests that the downturn is more reflective of post-Covid normalisation than outright market failure.

“The market has contracted, but that’s only part of the story,” explains Elton. “What we’re seeing is a more considered purchasing process. Homeowners are taking longer to make decisions, gathering more information, and shopping around before committing. Lead volumes may be down, but the quality of those leads has improved in many cases.”

This cooling-off in demand aligns closely with the broader UK housing market, which has experienced significant turbulence due to high mortgage rates and affordability challenges. Annual transaction volumes have remained below pre-pandemic levels – currently tracking at 6% lower than 2019 – reducing the need for renovation projects typically undertaken by new homeowners.

This is also exacerbated by a tempestuous economic climate post-Covid, with rising energy costs, interest rates, and costs of living, resulting in fewer people willing to commit to large-scale investments.

Despite the overall decline in project volume, a notable trend has emerged – higher-value projects are becoming more common.

Business Pilot’s data reveals an 84.5% increase in average order value, suggesting that while fewer people are undertaking renovations, those who do are prioritising premium products and long-term value.

This shift is particularly evident in product-specific trends, where PVC-U remains the most popular material of choice but is more vulnerable to economic shifts. Meanwhile, timber and aluminium products, which the data shows have longer lead times and lower conversion rates, continue to attract a niche but dedicated customer base.

“Consumers today want value, not just the lowest price,” Elton explains. “That’s why we’re seeing an increase in order values. Homeowners aren’t necessarily buying more, but when they do invest, they’re choosing higher-quality products that offer better energy efficiency and durability.

“This is a key insight for installers; focusing on premium offerings and demonstrating long-term benefits can help drive higher-value sales, even in a quieter market.”

However, rising costs remain a significant hurdle for the industry. Inflation, material expenses, and increases in National Insurance Contributions (NICs) are eating into installer margins.

The additional NIC burden alone could cost businesses up to £2,000 per employee per year, making it harder for companies to remain profitable.

To counteract these pressures, operational efficiency has become a necessity. Business Pilot’s platform enables installation companies to streamline processes and reduce administrative overhead.

Features such as automated FENSA registrations, integrated payment processing through Blink Payment, and real-time performance tracking allow businesses to operate more effectively without increasing costs.

“Margins are under pressure, and businesses need to adapt,” Elton says. “That’s where tools like Business Pilot come in. We help companies work smarter by automating routine tasks, improving cash flow with faster payments, and giving real-time insights into business performance. The more efficiently you run, the better positioned you are to withstand market fluctuations.”

Looking ahead, 2025 is expected to bring a potential home improvement resurgence, with 46% of homeowners planning renovation projects. According to research by Häfele, 13% are looking to upgrade their windows, while 15% are considering new doors.

This outlook is supported by this year’s Business Pilot Barometers, which show signs of renewed consumer interest despite ongoing economic pressures. January saw a significant 116% increase in leads from December, with sales following a similar trend, rising from 29 in December to 48 in January. However, February saw a 15.7% dip in leads, indicating a natural stabilisation after the New Year surge.

But with economic uncertainty still looming, success will depend on how well businesses position themselves to capitalise on this renewed demand. Installers who can align their sales strategies with consumer priorities – focusing on premium products, energy efficiency, and customer education – will be in the strongest position to thrive.

“The key takeaway from 2024 is that the market isn’t dead – it’s evolving,” Elton concludes. “There’s still demand, but businesses need to be smarter about how they approach it. Those who focus on efficiency, high-value sales, and customer-driven strategies will come out ahead, regardless of broader economic challenges.”

To find out more please visit www.businesspilot.co.uk, email info@businesspilot.co.uk or call 0333 050 7560.

About Business Pilot

Business Pilot is a powerful CRM and business management tool built for installers by installers. It provides complete visibility over operations, from lead management to job scheduling and financial reporting, allowing businesses to operate more profitably.

About Blink Payment

Founded in 2012, Blink Payment is a UK-based payment technology platform offering seamless online and in-person transactions. With a 4.6* Trustpilot rating, Blink Payment is trusted for its competitive rates, secure payment solutions, and outstanding customer support.

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