Summary
• Joinery orders have declined but the window market is holding up reasonably well.
• For Clearwood UK, Mumford & Wood and TimberWindows.com, 2008 has been a record year.
• The BWF can provide advice and guidance in the current economic climate.
• Companies should be looking ahead to capitalise on the economic recovery when it comes.

The joinery sector has taken a direct hit from the downturn in housebuilding, but while orders for stairs and doors have fallen, in comparison, the timber window market is holding up.

This is partly because the RMI market has been more robust than expected and refurbishments are good news for timber windows.

In fact, for some companies, 2008 has been a record year: from January to November, web-based window manufacturer TimberWindows.com recorded year-on-year growth of 44% and, even as the economic climate became more gloomy, sales were still buoyant.

“In September and October, in the midst of the economic turmoil, our sales were up 25% compared with the same two months in 2007, while November is on target to treble last year’s order intake,” said managing director Chris Brunsdon.

Manufacturing capacity

The company recently took on its 100th registered installer and added £15m extra manufacturing capacity with the expansion of its existing production facility in Poland and investment in a new partnership in the Baltics.

Although TimberWindows.com is forecasting an overall contraction in the market in the next two years, Mr Brunsdon expects the company to gain market share.

It’s also been a record year for Performance Window Group (PWG) companies Mumford & Wood and Clearwood UK.

This year, turnover at Mumford & Wood will reach a record £10.5m – up from £6m in 2006. Managing director Chris Wood said the company, which was recently named joint winner of the British Woodworking Federation‘s (BWF) inaugural Project of the Year award, would eventually be affected by the recession but “from a position of strength”. “We make to order so we haven’t been affected by the fact that housebuilders are not knocking out houses,” he said.

Timber’s appeal

Also, timber windows’ popularity continues, boosted by customers’ environmental concerns which have been reinforced by refurbishment programmes on television.

“People aren’t comfortable with plastic,” said Mr Wood. “TV programmes are all pushing timber; no-one is saying ‘I would love to use PVCu’.”

Mumford & Wood’s windows carry an energy rating and its Conservation range of entrance doors and casement windows recently received Secured by Design accreditation. The latest £500,000 investment included new sanding equipment and lead times have been trimmed to three or four weeks. Mr Wood believes the fact that Mumford & Wood offers a complete package, from design through to installation, also gives it strength and contradicts a traditional but popular view that joinery is “backward and slow”.

At Clearwood UK, sales rose 20% in the 12 months to November, and 2008 is the first time it has made a profit.

PWG chairman Roy Wakeman acknowledged it was a tough market but was confident about the future. “If your product and brand are as strong as the ones we have, you’ll get through it,” he said. “We will continue to look for investments and continue to expand.”

The market is quiet for George Barnsdale & Sons but “not life-threateningly so”, said sales manager Dave Christie. And, like other companies, it’s the window market that’s providing work. Recent investment in a new window line is paying dividends in terms of manufacturing efficiency, and Mr Christie said the company is “cautiously waiting” to make further investment.

Reduced activity

BWF chief executive Richard Lambert said the organisation is receiving reports of “dramatic falls” in activity and a lot of BWF members are seeking advice on short-term working, lay-offs and redundancies.

However, although companies may be feeling negative, Mr Lambert said there are positive steps that can be taken. His advice is watch your cash, be hot on collecting payments – and look ahead.

“There will be an upturn. It’s hard, but while you are trying to survive, think about what you need to do to get yourself in a position so that when things do improve you are in the best place to make the most of it,” he said.

“It’s easy to focus on how you get paid next week and how you find enough work but we have had some members talk to us about accreditation and certification. They are some of the things they were too busy to focus on when they had to get work through, but now they have time to look around and think about where they need to be going as a business overall.”

Mr Lambert also urged companies to approach their trade association for advice. “We have members who have really made their subscription work for them by using our advice and guidance,” said Mr Lambert. “And you won’t hear anyone in the BWF complaining about making us work hard; that’s what we’re here for.”