New findings from Palmer Market Research reveal that the total installed value of the UK conservatory market jumped by 9% to £1.05bn last year – the highest level since 2009.
According to the Market for Domestic Conservatories 2017 average installed prices also rose by 12%. The rate of fall in volume also slowed to 1.4% compared to 6% last year.
“Although the market appears to be in long-term decline, the conservatories that are being installed are larger and more sophisticated”, write the report’s authors. “. . . Another important trend is the growth of replacement conservatories.”
Nonetheless, the market still hit a new all-time low in volume of 77,700 units, with a 4% decline in first-time installations.
Robert Palmer, Managing Director, Palmer Market Research, said: “The conservatory sector remains a pretty mixed bag. ‘White boxes’ have lost their retail appeal and the market has seen a shift to larger, higher value installations and more flexible spaces.”
Figures from Palmer show that PVC-U remains the dominant material type across sectors, with aluminium remaining static and failing to replicate the inroads that it has made in other areas. Wood is again forecast to be static this year, ahead of decline going forward.
The Market for Domestic Conservatories also tracks the rapid growth seen in orangery and orangery-hybrid – up 38% in 2016. “There has been a perceptible switch to more versatile structures”, the report continues.
This, they add will also drive future growth in replacement products, which accounted for 29% of the total home improvement market last year.
The trend towards higher value products, reflects a broader shift across the window and door industry as a whole. The Window, Door and Conservatory Markets in Housing in Great Britain, published in September, citing growth of 1% in volume terms and 7% in value terms to £4.5bn, with fortunes very much defined by product and material type.
This is echoed in The Market for Domestic Conservatories, which is available as a stand-alone report offering detailed analysis on the trends that will define the conservatory sector through to 2021.
“Going forward as with the industry as a whole, the conservatory sector represents a mix of opportunity and some areas of potentially quite painful contraction through to 2021”, said Palmer.
“This will be influenced by product type and in many cases, style of installation. There will also be growth opportunities from some perhaps more unexpected areas, so the fortunes of systems companies, fabricators and installers will be very much down to how they position their offers now.”