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.
• 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.
————————————————————————-
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.
[...] – I’ve already asked some tough questions to Nick Dutton of Synseal and Andy Jones of Edgetech on the site. I’ll be interviewing more people from the glazing [...]
the industry is in the late stages of maturity as far as replacement frames are concerned,the only growth you will achieve in conditions like these by;
competitors going bust and absorbing there customers.
undercutting traditional premium brand pricing
hurray!
product obsolescence – the windows are replaced because they are “shagged” i thank extruders like KB ,mechanical joints, non epdm rubbers,defunct hardware for letting us replace the crap with new.Its a pity that double glazing did not have the “death chip” rumoured to be found in most white/black goods,i forgot KB did!
population growth …. ok i can’t wait for that one.
the 240,000 new homes that “are to be built” every year until 2016.
as i have now clocked 18 years in double glazing my personal observation is that virtually every year the factory gate price has reduced by maybe 2% a year.
survival ultimately and as always been will being one of the lowest cost producers,delivering on time and a product that is fit and forget.
as a synseal trade fabricator I might add that our prices are very competitive as was proven recently when a large installer told his over priced german fabricator to hit the road
long may it continue!