INDUSTRY COMMENT: YEAR IN REVIEW


RETAILERS REMAIN RESILIENT


As we look back on this year, it’s clear that the UK DIY retail industry is a dynamic and resilient sector, demonstrating strong adaptability in the face of economic challenges. In the face of ongoing pressures from the cost-of-living crisis, consumer interest in home improvement remains robust. Despite the challenging economic backdrop, the industry is seeing positive developments in consumer behaviour. Shoppers are increasingly turning to DIY solutions as a way to avoid the expense of professional services, highlighting the sector’s potential for growth. Moreover, the rise of second-hand and refurbished goods within the DIY market reflects a broader trend toward cost-conscious and environmentally aware purchasing decisions.


Retailers are responding to these trends by enhancing their digital offerings. The integration of online and in-store experiences, supported by technologies like augmented reality for virtual planning and AI-driven product recommendations, is helping to meet the evolving needs of today’s consumers. Loyalty programs and flexible payment options further enhance customer engagement, ensuring that the DIY retail sector remains a vibrant part of the UK economy. So as usual at this time of year, it’s time for our panel of industry experts to reflect on the challenges and successes of the last twelve months and look forward to what may be in store during 2025…


MIXED TRADING WITH WEATHER-DRIVEN SALES


Jeff Moody Managing Director, Bira Direct


Bira Direct has reported a year of mixed sales results for its members with unprecedented weather- influenced


trading patterns throughout 2024, and the current cold snap is driving strong sales in seasonal products. According to Bira Direct president John Jones, demand for electric blankets, air fryers, and


www.diyweek.net


heated airers has increased dramatically this winter. Whilst categories such as clothing and cookware departments have shown consistent strength in the post-Covid period, DIY sales have faced challenges amid broader economic pressures. Jeff Moody, managing director of Bira Direct, has observed that many of their DIY members are buying more frequently but in less volume than in the past to give them flexibility, resilience, more freedom with cash flow and less stock sitting in the storeroom. Bira Direct has responded to this by negotiating low minimum order values and frequent promotions on top selling products. Looking towards 2025, Bira


Direct anticipates moderate growth, held back by recent budget increases on costs to retailers on NI, minimum wage, and increased rates bills. The group expects that increased personal taxation will see fewer households move and more spent on improving existing homes, which should stimulate renewed DIY activity, particularly benefiting our knowledgeable members’ hardware departments. The outlook suggests a period of adjustment as retailers navigate new increased business costs while capitalising on the expected improvements in sector spending. Next year looks to be an interesting one for the Independent DIY and hardware retailers.


ELEVATING CUSTOMER EXPERIENCE THROUGH EMPLOYEE INVESTMENT


Ricky Johal


Head of Marketing & E-commerce, DK Tools


Achieving excellence in Customer Experience (CX) starts


with enhancing Employee Experience


(EX). This extends beyond reward and recognition - it involves purposeful investment in professional development that delivers mutual value for employees and the organisation.


Embodying this philosophy, I was privileged to have my MBA in marketing sponsored by DK Tools. This commitment demonstrates a dedication to strengthening the brand and applying the science of marketing to diagnose value proposition gaps, craft targeted strategies, and execute plans that achieve measurable business objectives and competitive advantage. This has been a dynamic and fulfilling year at DK Tools. A key milestone was the successful launch of the Amtech Flexi Tub range, a product with mass- market appeal. One standout moment was being approached by Constructionarium, an innovative not-for-profit training organisation. They provide built environment students with invaluable hands-on contractor experience, enabling them to construct scaled replicas of iconic structures, such as London’s Gherkin, within five days. DK Tools was proud to support their efforts by donating colour-coded Amtech Flexi Tubs to align with their blue, green, yellow, and red project zones - further demonstrating our commitment to nurturing future talent in the construction industry. Looking forward, my advice for the New Year is to adopt a strategic, long-term mindset while executing deliberate short-term actions to maintain momentum.


DECEMBER 2024 DIY WEEK 15


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