DIY retailer B&Q plc has invited UK building products manufacturers to support it in its move into Asia where it plans 60 stores in mainland China by the end of 2005.
Speaking at the first annual DIY Forum organised by FEDIYMA, the Federation of European DIY Manufacturers Associations, in Brussels, B&Q’s international director Steve Gilman said there was enormous demand for home improvement and home decoration products among China’s 1.26 billion people.
He invited manufacturers to approach B&Q with products for the Chinese market but warned: ‘Don’t come with a copyable product. Come with a new, innovative product and take a risk with us, and we’ll work together to make the most of the China market.’
Stressing the tremendous potential of the pan-Asian market, Mr Gilman said that a B&Q store opening in Taiwan generated £1m in sales – the highest opening sales week ever.
In June B&Q opened the biggest DIY store in the world in Shanghai, but Mr Gilman cautioned that local knowledge was vital before moving into overseas markets.
At the forum FEDIYMA president Gilles Caille reviewed the globalisation of the DIY sector. He said North America and Europe accounted for 87.5% of the world market with 56.5% of sales coming from North America and 31% from Europe.
He added that, although the American market was significantly larger, European retailers were more advanced internationally. The UK, Germany, France and Belgium accounted for 70% of European DIY sales for a value of e109bn, and significant growth potential was emerging within other European countries.
