a“At any other time, if almost every company surveyed reported rising costs, I would be worried about the signals for the market in the coming months,” said Richard Lambert, chief executive of the British Woodworking Federation, commenting on the results of the latest survey on the timber fire door market.
“But if you look at the bigger picture – sales increasing year-on-year and quarter-on-quarter; confidence in the trend continuing; no-one negative about prospects; almost half those surveyed working at capacity; and above all, more than half able to increase prices – there are no signs that things are flagging.
“And this was before Approved Document B (AD B) came into force on April 6. The general expectation is that the newly revised guidance will lead to more fire doors being sold, not least because of the change in guidance relating to loft conversions.
“There’s now an explicit recommendation in AD B to check that the fire door assembly installed in the building complies with tested design because small differences in detail can significantly affect the rating, and ultimately the fire performance. This puts the onus on the installer to make sure they get it right. Fire doors are precision-engineered safety products, and that means fire door installation is a specialist job. Third-party certification has raised standards through the fire door manufacturing and supply chain; now is the time for the market to insist on the final link by insisting on certificated installers.”
Survey results
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“New legislation and increasing demand for timber fire doors in new and existing buildings is fuelling market growth. We expect the market to continue growing in 2007 compared with 2006, with an overall year-on-year increase of 4% |
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Mike Green, director |
The latest timber fire door survey assesses the timber fire door market in terms of the percentage of manufacturers experiencing a particular business trend (for example, a sales rise) over those experiencing the opposite, expressed as a net balance. On this basis, a balance of 31% of manufacturers sold more timber fire doors in January to March 2007 compared with October to December 2006 (chart 1).
Year-on-year sales were also up, with a net 25% of manufacturers selling more timber fire doors in January to March 2007 compared with the same three months of 2006 (chart 1). Of those reporting a rise, most (71%) saw increases of 10% or more.
With regards to orders, a balance of 25% of manufacturers reported fuller order books compared with three months ago.
Looking ahead, a net 44% of manufacturers expect to sell more timber fire doors in April to June 2007 compared with January to March 2007 (chart 2). A balance of 50% also forecast higher sales over the next three months compared with the same period of 2006 (chart 2).
Optimism
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“People’s greater awareness of fire safety coupled with new legislation is influencing growth in the market. Our sales have continued to increase this year compared with 2006, leading to a greater share of the market. Overall we expect sales ofÊtimber fire doors to grow by 5% in 2007” |
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Ron Cohen, director |
On balance, 44% of manufacturers are more optimistic now about the overall prospects for the timber fire door market than three months ago. Confidence is mirrored across firms of all sizes and in all regions. Significantly, none of the manufacturers interviewed were negative about prospects.
Similar to last quarter’s survey, 44% of timber fire doors sold over the last 12 months were in fire door sets. Sixty-nine per cent of manufacturers continue to sell fire door frames and 63% supply additional components, for example, fittings for fire doors. Most manufacturers (88%) advise customers which components to use for fire doors.
Most manufacturers this quarter (net 94%) reported a rise in purchase costs of materials compared with three months ago. However, over the same period a balance of 56% of manufacturers also put up their prices to counter rising costs.
The main problems for manufacturers in January to March 2007 were similar to last quarter’s survey with supplier price rises (69%) coming top, followed by price cutting in the market, margin squeeze and supplier service and availability (44%). However, the single biggest problem affecting manufacturers over this period was supplier price rises, mentioned by 38% of respondents.
The Timber Fire Doors Report, a quarterly trends survey, is produced by Rigby Research and sponsored by the BWF-CERTIFIRE Fire Door and Doorset Scheme in conjunction with Timber Trades Journal. For survey details or a free copy of the full report call Stephanie Bradfield on 01453 521 621 or visit www.rigby-research.co.uk. Copyright BWF and Rigby Research 2007.
