Three markets, three different developments. Whereas the market for elastic floor coverings in Great Britain and Ireland is in a downwards spiral on account of the Brexit crises (2017: -1.5% in volume), and is stagnating in Italy (0.3% in volume), in Spain the growth curve is rising off the charts (+3.5% in volume). These trends are also largely expected to continue, according to a study by Interconnection Consulting.

Spain Marches On

According to the study, average annual growth in Spain to 2021 will be 6.2% in volume. The favored area of application for elastic floor coverings in Spain is residential buildings, with an average market share of 27.6%, followed by health/medical with 16.9%. The leading product group in Spain is LVTs (Luxury Vinyl Tiles), with a share of 38.2%. Katarina Gajdova, author of the study, explains the advantages of LVTs: “They have a wide array of design options, can recreate the appearance of stone or wood flooring, and, compared to these materials, LVTs do not come with extensive installation and maintenance costs.” LVTs are also the fastest growing product group in Spain (average forecast growth per year to 2021: 9.1%). The market share of the top five companies is 69.4% (top 10: 76.7%).

Slow Growth in Italy

The average annual growth in Italy to 2021 will be 1.5% in volume. The largest area of application for elastic floor coverings in Italy is health/medical, with an average market share of 24.4%, followed by residential buildings with 17.3%. The dominant product group is homogenous vinyl/PVC (23.1%). Homogenous vinyl consists of one single layer, which offers the vibrancy and depth of the selected color. One layer gives the floor covering rigidity and durability. Homogenous vinyl can thereby be employed in areas with high foot traffic, explains Gajdova. LVTs are in second place, with a market share of 22.6%. As in Spain, LVTs represent the largest-growing product group and are even set to become the highest-volume product group this year. The market share of the top five companies is 62.6% (top 10: 76.6%).

Long-Term Troubles Predicted for Great Britain

Growth in Great Britain and Ireland for the upcoming years will remain at 0.3%, a stagnation largely caused by the Brexit vote. The largest area of application is in residential buildings, with an average share of 36.4%, followed by health/medical with 17.0%. Here, too, LVTs are the leading product group, with 41.8%. The second-largest group is heterogeneous vinyl, with 19.8%. In this region as well, LVTs are the group with the highest growth prospects: 2.3% annually to 2021. The market share of the top five companies is 53.6% (top ten: 76.6%).

17/09/2018

Copyright: Interconnection, Publication free of charge for coverage regarding the study and InterConnection Consulting.