By Neil Cooper-Smith, senior analyst, Business Pilot:
There’s a real sense that the window market has finally shifted up a gear this month with all the major metrics moving confidently in the right direction:
- Average sales were 56.3 – up 15.1% on the previous month
- Average leads were 116.3 – up 8.7% on the previous month
- The average order value was £3,666 – up 2% on the previous month
- The average lead time was 20.4 days – down 12.8% on the previous month
- The average conversion rate was 42.2% – beating September to this year’s #2 spot
From the start of October, homeowners were enquiring more and buying more, while installers were converting more leads and turning orders round more quickly.
After three quarters of sluggish activity in 2024, this news – even on its own with no context – will be a shot in the arm for an industry hungry for volume.
These figures are collated from the Business Pilot customer database, and reflect the activity of companies of all sizes, in all locations and all market sectors. So, it provides a good snapshot of the health of the window and door market in the UK.
As a caveat, we should expect the market to bounce back after the summer lull. So, these figures are not unusual, but they do also correlate with an uptick in house-buying activity. According to property website Zoopla, sales activity in October was at its highest since the 2020 boom.
Analysts expect this activity to continue into the New Year, as the thresholds for Stamp Duty are dropping from April 2025. This will be more pronounced for first time buyers who will have to start paying Stamp Duty from £300,000, down from £425,000. And then they will only get the 5% relief up to £500,000, not £625,00, and nothing above that.
On the issue of October’s budget, despite potential inflationary pressures with the increase in the Minimum Wage, many analysts expect the Bank of England to reduce the current Bank Rate from 5% on November 7. This has encouraged some lenders to start cutting interest rates early, which should also help stimulate the housing market.
