Page 28 - HW July 2022

door & window furniture
BEFORE WE GET into the products themselves, having sought input from a wide range of players in door & window furniture it is clear that the market is flattening.
At retail we are hearing that the dollars are remaining about the same despite volumes having declined, which tells you that of course unit prices have gone up.
How much of this is to do with supplier cost increases and how much with an ongoing upward migration of demand for higher quality and digital products is unclear.
According to one supplier: “We’re doing okay because we’re still getting the same dollars at the moment. But of course, units have reduced.
“So there’s definitely a little bit of a flattening going on. To what extent it’s still a little bit hard to say.”
Ronnie Pocock, Marketing Manager at ASSA ABLOY
Opening Solutions New Zealand, isn’t alone as he shares this outlook: “We’re pegging based on industry talk there will be a slowdown in the market, as customers choose to keep money in their pockets to pay the ever-rising ‘cost of living’.”
Putting a more positive spin on a possible market realignment is Bryce Carter, Allegion New Zealand’s National Channel Manager – Residential, who’s says: “It feels like supply and demand is coming back into equilibrium.”
“New home consents remain positive and we’re operating in a strong market. Although supply challenges remain in some building material supply categories, the pipeline of work to be completed remains – with timelines adjusting accordingly.”
And, although Bryce believes the high current level of consents indicates “a positive pipeline of new construction through to 2024,” he also foresees some slowing of new builds, which “will probably align to what’s achievable in relation to homes constructed considering labour and resource capacities.”
Has Bryce perceived any shift in demand from Allegion’s perspective between products aimed at new home starts and the renovation market?
Apparently not: “Renovation and aftermarket sales remain positive, especially sales for connected electronic locks.”
“We have seen our retail sales perform strongly this year, and demand is still strong.”
Still, with the aforementioned “re-alignment” of new home starts as a consequence of increasing land and building costs, and mortgage interest rates, says Bryce Carter: “There may be a focus and shift back to a higher percentage of home DIY.”
TAKING A POSITIVE OUT OF COVID
And as for that supply chain... Admitting frustration with the ongoing inflation of freight costs and interminable delays, Nick Rutter, Managing Director at GD Rutter, isn’t totally negative when he says “In normal circumstances, if we had the stock, we’d be going gangbusters. But we haven’t got the stock at the moment because of the shipping delays.”
On top of a range of global level sourcing and scheduling readjustments, at a local level Bryce Carter says Allegion New Zealand has increased its inventory holding and invested more resources into demand planning to improve forecasting accuracy.
For Bryce, one of the positives to come out of all this disruption has been “a shift towards greater collaboration and visibility in our partners providing forecast demand to ensure consistent supply.
“I think the supply chain challenges currently being faced by the construction industry in New Zealand have encouraged a free-flowing dialogue and increased a collective understanding on the importance of forecasting, especially when there’s volume aligned to a specific product specification.
“It is positive to see an opening up of communication and ensuring all parties are forward planning and looking ahead to make sure that we deliver for our customers.
“I think at the end of the day that it’s just highlighted that we’re
A blurring of the lines?
The main part of this article has concentrated on the residential market. But what’s happening in the commercial arena?
Miles Nelson certainly isn’t alone in addressing the commercial market, but I was interested to hear some of Marketing
Manager David Eeles’ comments around growth in mixed-use developments – commercial use tenancies on the ground floor with residential apartments on the upper floors.
With this crossover of purposes has come a crossover in residential and commercial hardware:“For aesthetic consistency we have developed some of our Milano lever handles to suit both residential and commercial doors,” says David.
The non-residential retrofit market is changing too, he says, with many education institutions swapping out traditional master key systems for keyless card access.
Miles Nelson of course has a range of specially designed mortice locks to help mitigate the challenges associated when changing to card access and contractors and locksmiths in particular have been enjoying the benefit(s) this solution provides.
In terms of finishes in the non-residential space, Miles Nelson has been seeing more black hardware specified for commercial spaces, as well as unlacquered brass appearing in bars and restaurants and upmarket show homes where black and satin graphite (gun metal) finishes remain popular.
www.miles-nelson.com
26 NZHJ | JULY 2022
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