As we near the end of the year, we are able to take stock and look back at a 2019 that passed so quickly and, truly, I can’t believe it’s December! Very Michael McIntyre-esk I know!
It feels like only yesterday that we were setting out our plans for the year at our Management ‘Kick-off’ and Sales Conference. Much has been achieved in the past 12 months. As well as over delivering our sales and profit plan for the year, we have embarked on a commercial transformation programme that will influence the success of the business in years to come.
In our core business we have continued to build on our strengths and increase our market share in both residential new build and non-residential. The trade teams have effectively managed a very dynamic customer group with continued structural changes in Wolseley, TPG, Graham and Grafton throughout the year, coupled with strong growth across independent merchants. Fixed price merchants, primarily Screwfix and Toolstation, have continued to grow and whilst DIY has declined, this has been managed within our expectations.
We have further developed our capabilities and proposition in line with future looking market trends through Channel Broadening. All things digital are central to these initiatives, as well as how installer and consumer behaviour and buying habits are changing. We have continued to learn through our partnership with VictoriaPlum.com and recently stepped into directly trading with Amazon. The launch of a new website under the OneHub project further strengthening our digital footprint.
Developing Sottini as a retail brand in the design space was another of our key initiatives during 2019. We have made a great start and are well positioned to take Sottini to the ‘next level’ during 2020. Critical to the success of this retail initiative and the other channel broadening initiatives is a strengthened service proposition. Again, during 2019 we have been focussing on this and seen consistent improvements throughout the year.
All these successful initiatives are a result of teamwork across all functions. A key measure of our success is that we have continued to gain market share and outperform our competitors in an increasingly challenging market. This is illustrated by the fact that we have performed better than the other combined members of the BMA (Bathroom Manufacturers Association) each month, for the last consecutive 12 months. My thanks and congratulations to all of us!
Our commercial transformation activities have extended beyond channel broadening to the Flywheel Programme and a major investment in the London Design and Specification Centre (LDSC).
The Flywheel project is far reaching and a huge amount of planning and progress has been made through the year. We are now progressing the implementation and the Irish business has been the early adopter of the Salesforce.com CRM. The project and Irish teams have done an excellent job in launching new ways or working, a new organisational structure and a new CRM during December. The feedback is already very encouraging and lessons learned are being incorporated into the UK and Netherlands launch plans for the New Year.
The LDSC has already proven to be a huge success, at which we have hosted a number of events during the year, integrating with the Clerkenwell architectural and design community, and consistently received praise from our wider customers and partners. Much more to look forward to next year with a full calendar already in place!
Across the wider group a new corporate brand story has been developed together with the collaboration of Roberto Palomba and the creation of the Atelier Collections, which will be launched in the UK in 2020.
Again, my congratulations and thanks to everyone who has been involved in these projects and to all of you who have made such a success of this year.
l wish you all a very relaxing and enjoyable Christmas and New Year with your friends and family.
With warmest regards,
