Read online at www . proinstaller . co . uk
NOVEMBER 2021 | 45
Business
CASHFLOW CRISIS COULD BE LOOMING , SAYS INSIGHT DATA
Insight Data ’ s CEO and industry consultant , Andrew Scott , warns that the industry could face a cashflow crisis over the next few months .
“ As an industry we ’ ve been focused on managing supply-chain issues and employment headaches caused by the pandemic and Brexit , and managing customer expectations in extremely difficult circumstances . But it may be time to go back to the fundamentals of business and cashflow management as we approach Christmas and New Year .”
Andrew revealed the latest industry facts and figures and results of an installer survey during the recent Glazing Summit Conference .
“ The data shows consolidation with the number of installers and PVC-U fabricators declining . This can be good news , with less competition companies are winning more business but there are some underlying issues that could create some real problems over the next few months .”
Presenting at the Glazing Summit Andrew outlined how installers had large order books and many were fitting jobs now that were sold four or five months ago ( or longer ).
“ There are two problems here . Firstly , many of the jobs being fitted now or over the next couple of months were sold before suppliers implemented a string of price increases . It means jobs could be fitted at drastically reduced margins or even at a loss in some cases .”
“ Secondly , many installers have amassed huge order books where homeowners have paid large deposits months ago , providing a significant and artificial cashflow bonanza which in some cases has been used to prop-up the business , mitigate margin erosion or fund larger stock levels and work-in-progress .”
Andrew says now is the time to re-visit cashflow forecasts and budgets and take prudent business steps .
“ The industry has never faced a situation like this , and we all know how quickly cashflow can swing , especially after a few weeks of Christmas / New Year slow-down or bad winter weather . Installers don ’ t have the option of factoring or invoice discounting so planning ahead now could avoid a potential disaster , especially as suppliers are less likely to be flexible .”
Insight Data is the research and data company tracking the activities of over 15,000 companies across the fenestration sector .
This is an extract from the full Insight Data Report 2021 , which will be available shortly . Interested parties can register to receive a copy at www . insightdata . co . uk / reports /
SUCCESSFUL SUPPORT FROM EPWIN WINDOW SYSTEMS
Leading trade fabricator Heritage Trade Frames has expanded its consumer facing marketing support materials with a suite of high-end consumer leaflets . Produced by the award-winning Epwin Window Systems marketing team , the range of professionally designed literature promotes Stellar and Optima products that Heritage markets on behalf of its customers under its Safeguard branding . The newly commissioned literature was designed to help Heritage Trade Frames ’ customers to close more sales by communicating all the products ’ technical benefits to the consumer and enable trade counters to provide a quick product overview to their installer customers .
Phil Cresswell , Sales and Marketing Manager at Heritage Trade Frames , said : “ Feedback on the new literature from our customers has been incredible . They ’ ve told us that it has been some of the most effective marketing literature they have used from our industry , which is always good to hear as we know it ’ s proving to be successful .”
The literature pack includes leaflets for Safeguard PVC-U residential and French doors , Safeguard PVC-U casement windows and the Safeguard aluminium bifold door . They all feature essential information , compelling copy and high-quality lifestyle imagery throughout .
Phil commented : “ We worked with the Epwin Window Systems marketing and designs teams to develop an exacting brief for a powerful set of consumer assets . The knowledge and professionalism of the inhouse teams were superb , and they have delivered a range of successful literature , as the feedback from our customers shows .”
Gerald Allen , Marketing Manager at Epwin Window Systems , commented : “ We are constantly developing new literature assets to help our customers stand out from the competition . In the case of Heritage Trade Frames , we needed to develop a series of high-quality leaflets that highlighted the benefits of their products to the consumer and help the installer close the sale . We are delighted they have been so well received by Heritage ’ s customers .”
Heritage Trade Frames is a longstanding Epwin Window Systems customer and manufactures the award-winning Stellar aluminium and Optima PVC-U systems . As an Epwin Window Systems customer , the company has access to bespoke marketing solutions to support the business . The overall branding of the new literature sits perfectly with several additional consumer brochures designed by Epwin Window Systems to further showcase the Stellar and Optima ranges .
Heritage Trade Frames is one of the North West ’ s leading trade fabricators . Founded in the late 1980s the business set out a clear objective to manufacture and supply quality windows , doors and conservatories . Thirty years later , the objective is proving more than successful , with over a million products supplied and installed in homes and offices around the North West . And together with the support of Epwin Window Systems , the quality of Heritage Trade Frames marketing support matches the quality of its products .
www . epwinwindowsystems . co . uk