UK Home News- May 2012

Retail Overview     Dear Ms. Voisdie,     Wet weather impacts home sector, but domestic appliances fare better! So far, it has not been a bullish 2012 for home and living retailing. April, traditionally the key start to the DIY season, has been impacted by the rain, and consequently a decline in footfall has seen shoppers stay at home and stay dry. So much so that some sectors, which were showing year-to-date growth through March, particularly in the garden, are now showing double digit volume declines. Rich Maden takes you through in more detail below. In the home, emulsion paint has not seen its typical rise in sales during the wet Easter period. Sara Smith discusses the market and some of the potential reasons here. Good news can still be found in the arena of small domestic appliances and particularly in the food preparation market, which has seen demand increase by 2.3% across the past 12 months. Helen Warner takes you through the details and us Brits ongoing love affair with the kitchen and cooking. Another sector performing relatively well is dishwashers, which are not seeing a decline in sales. This is positive considering the wider performance of durables retailing; Richard Allen talks you through the latest trends here. Daniel Fearnley Business Group Director GfK Retail and Technology UK Click here to see what events GfK RT UK are involved in over the next few months. Follow us on Twitter!       Garden care sales washed away during a wet April     With the wettest April on record, retailers have seen sales for many exterior categories significantly decline. A -43% value decline in April 2012 has caused the garden care* category to contract to the lowest year-to-date (YTD) figure since 2008. Looking back to April 2011, total garden care was up 18% value YTD and had an exceptional start to the season; unfortunately, this has not been the same for 2012. Other exterior categories have suffered even more due to the rain; looking at April 2012 vs. April 2011, lawnmowers and waterbased treatment have declined -50% value and outdoor BBQ is reporting a -78% value decline.  more...       Emulsion painting a mixed picture for 2012     Ongoing trends in the emulsion paint market have continued through the beginning of 2012. Specifically, through continued rises in prices, the value of emulsion paint sold in Great Britain is going up, even while volumes are continuing to fall. Looking at the year-to-date for 2012 compared to the same period of 2011, 5% fewer litres of emulsion paint have been sold, at the same time as 6% more UK pounds have been spent on the coating material. The drop in volume demand is driven by the drop in movement in the housing market, with a significant correlation between property transactions and quantity of paint sold.  more...       TV driving consumers into the kitchen     In a tough economic climate, with consecutive months of low consumer confidence and pressures in consumer spending, the total small domestic appliances market has shown resilience for the 12 months ending April 2012. In volume, it has been relatively flat with near to 1% growth, in value terms however, the market has increased by 5.1%. This has been the trend for all areas, but the main contributor is small kitchen appliances, which have seen growth of nearly 9% over the period. Much of this rise is driven by the on-going success of premium categories, such as hot beverage makers and high-end food preparation.  more...       Low water consumption helps drive value sales     The dishwasher category has seen value sales increase 1% over the past twelve months, with the total market now worth more than £250 million. Volume sales remained flat over the year as the added value was provided by price inflation and a move towards more premium appliances. The freestanding segment continues to make up the bulk of sales, although the value growth has been driven by the built in sector, which has seen value grow by 6% to £100 million. Average prices fell by -1% for these built in appliances helping to generate consumer interest as volume sales improved by 7%.  more...       Contact  |  Unsubscribe  |  GfK Retail and Technology UK Copyright © 2012 GfK Retail and Technology UK   Published by GfK Retail and Technology UK, Sheer House, Station Approach, West Byfleet, Surrey KT14, Managing Director GfK UK: Ian McCann GfK Retail and Technology UK, Editor in Chief: Ami Brooks, Sheer House, Station Approach, West Byfleet, Surrey, KT14 6NL, Tel. +44 (0) 870 603 8247, Fax +44 (0) 870 603 8200, ami.brooks@gfk.com Reproduction or any other form of duplication only with the written permission of the publisher. All rights reserved. Newsletter powered by GfK SE Integrated Software Services.