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Interview with Nick Dutton of Synseal

Posted by Renegade Conservatory Guy on 28 Apr 2008 | Tagged as: Uncategorized

In the first of a series of interviews with key individuals from the double glazing industry, below is an exclusive with Nick Dutton, the face of Synseal and the guy responsible for the rapid growth of the company over the last decade.

Nick Dutton (right) with Geoff Hoon (left)

 • There have been a number of high profile casualties in the industry over the last few months.  How do you see the rest of this year panning out for the double glazing industry?

There has undoubtedly been a lot of turbulence. And I’m not sure we are out of it yet. Albeit that is not necessarily a bad thing, the over supply in this market needs a correction and it is happening. Supply and demand will always find its natural equilibrium.

• With increases in fuel and raw material costs, and a reduction in demand from consumers, which part of the supply chain is being squeezed the most?

Costs are increasing in every aspect of life and business, and aren’t letting up. I don’t think that you can be quite as general to say that one part of the market particularly is being squeezed. I am concerned for companies at all levels that show a reluctance to pass on the cost increases.

• What do you see as the medium to long term outlook for Synseal, and the industry as a whole?

The market is polarising on a daily basis. Synseal is arguably in the strongest position of all the profile suppliers. Firstly, we are profitable. Secondly, we solely supply to the UK so we can’t decide to ‘close the UK operation down and go back to where the money is easier’. And thirdly we concentrate purely on one industry, so we can’t decide to ‘go back to core’! Couple these points with our independent status and the ability to move quickly as the market moves, the medium to long term outlook for Synseal looks great – especially with the polarisation.

• Have you found that Ultraframe has become a stronger competitor for Synseal under new ownership?

There doesn’t appear to be much change.

• Do you think there will ever be 5% VAT on Energy Efficient Windows?

I believe so. The shift to green is so dramatic it has become cool! Synseal will continue with its 5 per cent VAT campaign. We believe the government will have to act upon the grounds of equality. How can the government allow a situation to continue where they allow the benefit to almost every other aspect of the property if it is thermally efficient, but not windows?

• Why have you chosen to establish a separate company for the manufacture of composite doors?

Composite doors have enormous potential in our industry.  Setting up Door-Stop allows those who work there to be 100 per cent dedicated to its customers. It also releases Synseal to concentrate purely upon its customers needs without the distraction of trying to intertwine new products with different customers.

• Do you think there are too many extruders in the UK?

Competition is healthy, we exist as a result of it. Competition creates innovation and nurtures initiative. If there are too many extruders supply and demand will ultimately remove the weak.

• And finally, do you think Nottingham Forest will be playing Huddersfield Town again next year?

How are Huddersfield going to get promoted from 12th and 1 game to go?

For more information about Synseal please visit www.synseal.co.uk.

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If you would like to put your name forward for an interview with the Renegade Conservatory Guy, please get in touch with me by commenting below.  I have a couple more top people lined up for interrogation, so please keep your eye on my blog.

Anglian Home Improvements appear on BBC’s Watchdog programme

Posted by Renegade Conservatory Guy on 15 Apr 2008 | Tagged as: Uncategorized

I was watching the TV last night, and was surprised to see Anglian Windows with a major feature on the show. They say that any publicity is good publicity, but I’m not sure about that in this instance.

The show highlighted a series of failures by the company to provide good customer service, and a good product. In fact, much of the workmanship shown on the TV programme was shoddy. I won’t go into detail, and you can read the detail on the BBC website here.

What surprised me was that about a month ago, I wrote a post about Anglian closing their Rochdale factory, and was delighted that Martin Troughton, the Marketing Director from Anglian visited my website and stated the following:

As the marketing director of Anglian Home Improvements I think you will find that rumours of our demise are very premature.

Like everyone in the industry we are finding the market challenging and are making adjustments accordingly but we are healthy and profitable.

Also your comment on us cutting prices is also wrong we will however remain competitive so you better watch out when pitching against us - a keen price, a great product and a strong brand make for stiff competition.

Well, Martin I challenge you to come back to this website, and answer the following questions:

  • How do you think that appearing on Watchdog will affect your ’strong brand’?
  • When you state that you offer a great product, would you consider that the installations featured on Watchdog would be classed as ‘great products’?
  • Watchdog suggest that complaints about Anglian since last summer have risen 60%. Would you class this as an acceptable level of customer service?
  • If Anglian has closed 26 of its regional branches and all complaints are now handled from Head Office, can you assure me that customers are still likely to get the type of local service they will get from a local installation window company?
  • In a separate news item to hit the internet this morning I find that Anglian’s salespeople have been threatening old ladies. Can you confirm that your company is intending to keep control of its sales team?
  • How do you feel appearing on Watchdog will affect sales over the coming months?
  • Finally, the last window company to appear on Watchdog was St Helen’s Glass, and they went bust soon afterwards. Are you confident that Anglian is not now heading the same way?
  • My Glassex thoughts

    Posted by Renegade Conservatory Guy on 13 Apr 2008 | Tagged as: Uncategorized

    I visited Glassex for two days this year, having decided against having a stand this year. We had a stand last year, but it wasn’t overly successful, mainly because we didn’t show products, in my opinion.

    Anyway, what did I think of Glassex 2008?

    Well, there was quite a lot of negative talk going around. A few people suggested to me that they could have ‘done Glassex’ in half an hour.

    Glassex 2008

    For me, however, I felt i didn’t see everything I wanted within the two days. I have a tendency of talking a lot, and Glassex is a perfect excuse to catch up with old friends, colleagues, customers and suppliers.

    The main purpose of our visit was to sort our trading terms with our main supplier for the next 12 months - this was a struggle with rising energy prices and raw material prices. However, we are satisfied that our conservatories company are in a strong position to compete in a tough market in the near future.

    There were a few things that caught my eye:

  • Winkhaus were showing an 18 point locking mechanism. I think they thought it was a ’spoof’, but I actually thought it could be a strong seller, if they could bring it to market at a sensible price.
  • Winkhaus were also showing an ecoframe for composite doors. I suggested that there could be big opportunities for a complete ‘eco’ window system made from fully recycled products.
  • Kenrick were showing their anti-lock bumping and anti-lock snapping cyclinder. We have been running the product, but the new video they are showing will certainly aid sales.
  • We were interested in a foiling machine on the Sturz stand, although we intend producing a broader range of foiled options, without this major investment in the short term. We were quite pleased, though, that were was no-one showing white woodgrain - so watch this space!
  • Synseal have produced a consumer DVD which may be of interest
  • But, for me, the highlight of Glassex 2008, was seeing Bob Parsons from Synseal wandering around. He’s been through major health issues over the last 12 months, so to see him back at Glassex was a real bonus for me. I’m looking forward to touching base with him, when he returns to work in June/July.

    I feel that people should stop knocking Glassex. It’s a great showcase, and even though it is smaller that 10 years ago, there’s still a lot to see, and good business to be done. In a difficult marketplace, we cannot allow our industry exhibition to disappear.

    Glassex, LA and My Inbox Crap

    Posted by Renegade Conservatory Guy on 06 Apr 2008 | Tagged as: Uncategorized

    I’m back from LA now, and still recovering from Jet Lag - or is it a hangover, not sure?

    I learnt quite a bit about internet marketing - from how to manage a Google Adwords account, setting up a niche subscription website, creating an effective podcasting channel, through to buzz marketing.

    I was particularly impressed by one of the speakers - Andrew Locke. I think he is known as the Renegade Auction Seller due to his exploits on eBay. He showed the delegates a number of impressive online resources, such as 99Designs.com a site where designers from around the world will compete to produce you the best designs for the fee you set. Definitely worth checking out!

    I’m now back to business in the UK now - and looking forward to Glassex.

    Glassex logo

    I’ve heard rumours that this could be the penultimate event, which will be a real shame. I feel that, although, the show has decreased in size every year for the last 10 years or so, there is still good business being done. And our industry needs a flagship event where all the great and good can display their new products, and more importantly - socialise!

    Finally, you probably think I’ve gone a bit loopy, but I’ve set up a new website called My Inbox Crap - it’s a safe place for me to put all the very best and worse joke emails. If you have any really crap emails, then please send them on to me at matthew@myinboxcrap.com.

    Yanik Silver’s Underground 24 Seminar

    Posted by Renegade Conservatory Guy on 30 Mar 2008 | Tagged as: Uncategorized

    I’m in LA at the moment visiting the 4th Underground 24 event - basically a 3 day internet marketing conference.

    Yanik Silver’s Underground 24 Seminar

    I was invited by my good friend Barry Dunlop, as he felt I could learn quite a bit about how to succeed online from some of the internet masters. To be honest, a lot of it is way over my head!!!

    But, I’m meeting some great people here, such as Dean Hunt, Mason Thomas, and Michael Dunlop, all of whom manage to combine being generally nice people with making money online.

    My concern is that I come back to the UK, and my mind goes off on a tangent, which is easy to do. I currently co-run an £8m per year window company in the UK, and earn a decent living. But many of these internet marketeers seem to have vastly better profit margins and business models than my existing traditional manufacturing business. I’m sure there is quite a lot of exaggeration going on, but some of the speakers have managed to impress me with sensible, intelligent online marketing concepts.

    Yanik Silver

    For example, Tony Hsieh has managed to build a $1b online shoe business - Zappos.com - by ensuring that the company ethos is simple -

    …the very best customer service!

    And, today I was blown away by the sensible words from Mike Faith of Headsets.com, who has built a highly successful online business, specialising in selling headsets. His business is in the only specialist retailer of headsets, and suggests the secret of his success is through failure - in otherwords, learning from his mistakes. I was particularly impressed that Mike, a fellow Brit, started his sales initiation in the UK knocking on doors - selling replacement windows!!

    Anyway, I’ll be back in the UK on Wednesday with some really good ideas to improve our existing websites for upvc windows, doors and conservatories. The challenge is to not come back with crazy unrelated ideas!

    Phoenix Double Glazing Companies - survival of the weakest?

    Posted by Renegade Conservatory Guy on 07 Mar 2008 | Tagged as: Uncategorized

    Phoenix Double Glazing Companies - survival of the weakest?

    I read a very interesting article today in the Fenestration News, discussing survival of the fittest in the window industry.

    The article is by Chris Ball from MBA associates:

    A very experienced senior manager said to me this week that he was seeing in the window industry what he had seen in the steel industry when he worked there and it was evolving and altering under the squeeze of competition and price pressure. He described it as a situation where the strong got stronger and the weak got weaker but I’m not sure that is what we are seeing in the window industry as yet.

    I’m not sure Darwin would recognise what we are seeing as natural selection. Natural selection implies that the weak die out and the strong thrive but whilst we are seeing business failures, often very costly ones (if you happen to be a creditor or customer) we are not seeing as many of these companies stay ‘dead’ as you would expect. Capacity is not being removed from a market where there is surplus. So are we seeing the survival of the least fit? There is even a term for it, the ‘Phoenix’ company. This implies something splendid rising from the ashes but I’m not sure that best describes this phenomenon, certainly not if you have to compete with companies like this. They have an advantage when they are failing (they don’t pay their bills) and they have an advantage when they arise…. A clean slate and often highly discounted resources, all at the creditors (and sometimes customers) expense.

    Businesses fail for many reasons and sometimes events entirely out of the control of the management will pull down a perfectly good business, the failure of a major customer, a change in legislation etc. Some of our best business leaders have the learnt the hard lessons of a failure in their past sometimes of their own making. However sometimes businesses fail because they are not best equipped to survive. In other words the strategy or the execution of that strategy is flawed and actually enterprises like this need to fail for the furtherance of a healthy marketplace. But what happens when a poorly performing business is resurrected and rises with it’s debts magically wiped clean to continue to underperform? If you don’t pay your suppliers you can always undercut the competition on price. If you don’t pay your taxes and pick up resources from a receiver at a knock down price you gain a cost advantage. What this does is weaken good businesses and honest enterprises that pay their bills and work hard to earn the just rewards of success.

    If I was a fabricator struggling hard in this market and I saw this phenomenon threatening my business I think I’d be livid at the injustice of it all, life is hard enough! Worse this happens sometimes with the apparent blessing of suppliers that you would expect to behave with a degree of corporate responsibility, why is it that they don’t see the damage this does to their loyal and hardworking core customers? Does short term expediency skew their judgement? Is there a disconnect in their own interests and those of their customers? Whatever the end result is the perpetuation of a degree of overcapacity that a falling market will only exacerbate.

    So if the least well equipped to survive are given an advantage over the best equipped we are not seeing natural selection leading to developing strength. Rather we are likely to see a situation where everyone gets weaker and in the long run everyone suffers. In other words a degenerative disease that threatens the species not just individuals.

    Back in 2006 I wrote an article entitled “Are we seeing the end of the )window world as we know it” maybe the shift in business model postulated in that article will be the accelerated by the downturn we all expect to see over the next 12-24 months, call it what you want, credit crunch, recession whatever. Certainly the current market model is not enhanced by survival of the least fit.

    To end on a positive note it’s in changing markets that most money is to be made, opportunities present themselves that wouldn’t otherwise be seen in a stable environment and it is the most exciting of times to be in business but change is scary stuff especially if you don’t have the degree of control you would want! The senior manager who kicked off this train of thought had seen it all before in the steel industry and was happy to be back in it up to his neck! Strategic change is about a small number of very big decisions and if you have it right you don’t have to change strategies often. Maybe now is one of those times and it’s going to be fascinating to see how the species evolves and hopefully be part of that process.

    Gap Home Improvements - uPVC stockists and great hosts.

    Posted by Renegade Conservatory Guy on 05 Mar 2008 | Tagged as: Uncategorized

    Gap Home Improvements - uPVC stockists and great hosts.

    Our double glazing company has dealt with Gap for many years. We were their first customers when they opened their Leeds branch about 6-7 years ago.

    Gap Home Improvements

    And, out of all our suppliers, I rate GAP right at the top of the list.

    They supply us with uPVC fascias, soffits and guttering, window boards for our conservatories, and they have a great range of door panels. They also have probably the best composite door on the market - Rock Door. The quality of products and range are second to none.

    They deliver on time and all the usual stuff, but the reason I rate the company so highly is simply because they offer a level of hospitality that is unsurpassed (Man U games, York Races, Aintree etc) and these get togethers help build trading relationships (even friendships).

    So I’d just like to thank GAP for all your efforts as a supplier - it does get noticed!

    Anglian Windows closes Rochdale factory

    Posted by Renegade Conservatory Guy on 05 Mar 2008 | Tagged as: upvc doors, upvc windows, double glazing, Uncategorized

    Anglian Windows closes Rochdale factory

    There’s been quite a few rumours flying around recently about Anglian struggling. After the demise of Zenith / Staybright and various other double glazing companies - you’re always going to get gossip.

    Anglian Windows

    But, yesterday, I got information from a very well informed individual, that Anglian really are struggling. I’ll not go into detail, but the news surprised me really, as Anglian Group has always been a strong brand name in our marketplace.

    Then today I find out that Anglian have closed their Lancashire factory with the loss of 165 jobs.

    In an update to Anglian’s staff, Stig Hansen, managing director of Anglian Group’s manufacturing division, said: ‘Anglian Group in common with other companies in the sector, is currently experiencing a downturn in sales and profitability in its new build and other markets as a result of the prevailing economic climate.

    ‘It is therefore with regret that Anglian has today announced the closure of its Rochdale factory with the loss of 165 jobs. The company will commence a redundancy consultation process with the Rochdale workforce with immediate effect.

    ‘Prior to formalising the proposal to shut the Rochdale plant, the company also considered a number of other options to reduce manufacturing capacity including job losses in Norwich and a combination of job losses in both Rochdale and Norwich plants.’

    Anglian are also trying to reduce costs in other areas, such as taking 100 of their fitting vans off the road.

    I’ve got mixed feelings on this news. In some respects I’m quite happy about it because:

  • I have a competing double glazing company, so there is more business potentially for us
  • I feel that the industry needs to shed 5-10% of its capacity during the current restructuring
  • Anglian have been cutting their prices recently, which drives down margin for everyone
  • Anglian salespeople tend to be hard sell - a practice I’m keen for the double glazing industry to shed
  • Despite all the above, I also feel very sad about this news because:

  • Anglian is one of the few well known brands in our industry, so if they go bust, it will not be good PR for the industry as a whole
  • I feel for the 165 lost jobs in Rochdale and Norwich - very sad for the families concerned
  • Anglian will be a barometer for the industry, so if they’re struggling to sell conservatories, windows and doors - then everybody is
  • It’ll be interesting to see how Anglian performs in 2008.

    The Armstrongs - Website sales meeting

    Posted by Renegade Conservatory Guy on 25 Feb 2008 | Tagged as: Uncategorized

    The Armstrongs - Website sales meeting

    I know just how expensive it is to generate window, door and conservatory leads, having spent thousands on Google Adwords over the years! It’s nice to know I’m not the only one who has thrown money at a conservatory website.

    The team from Coventry’s third largest double glazing company debate whether the wheels have come off their website:

    Classic TV! When’s the next series?

    Bush and Blair video

    Posted by Renegade Conservatory Guy on 20 Feb 2008 | Tagged as: Uncategorized

    Bush and Blair video

    This is funny:

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