The household textiles market is estimated to be worth around £1.1 billion at manufacturers prices and has been subject to changes in product mix during the last decade. Household Textiles is a well-established market, comprised of a wide range of products, which continues to see significant change despite its maturity. The market continued to experience moderate- growth in 2001, which has continued in 2002. Prospects for the short-term future are for further moderate-good levels of growth, although performance will vary between sectors.
Of particular interest are the following:
Growing penetration of imports into the UK.
Influence of fashion/trends on household textile products
Rationalisation of manufacturing production capacity within UK
Evidence of some trading-up activity
Wider distribution of household textiles
Summery Of The Report
The household textiles market is comprised of four major sectors - bedlinen, bathroom textiles and table linen. In 2001, these four sectors combined were worth just under £1.1 billion, having experienced growth of 5% on the previous year.
The market has grown in the last 2-3 years compared with a relatively slow period in the late 1990's. Buoyant levels of consumer confidence and spending have boosted the market, which is also benefiting from the current focus on interior design and redecoration. Indications for 2002 reveal anticipated growth of 4-5% for the year, with longer-term forecasts currently indicating that the market will reach just under £1.3 billion by 2006.
International trade has long been a significant feature of the household textiles market, but import penetration has increased since 1995. During 2001, the household textiles market experienced a trade deficit of £383 million with imports now estimated to account for approximately 46% of the total market. The high value of Sterling in recent years has contributed to the success of imports in the UK, but other factors such as the progressive removal of import duties on certain textiles items has also had a significant effect.
The product mix for household textiles has remained relatively stable during the past 2-3 years. Bedlinen continues to dominate the market with just over 40% share in value terms, followed by filled products and bathroom textiles each with share between 24-30%, with table linen remaining a very small sector of the market.
The bedlinen sector was estimated to be worth £470 million in 2001 and is forecast to reach £490 million for 2002. The sector is comprised of duvet covers, sheets, pillowcases, bedspreads and blanket, with duvet covers dominating the market with over 40% value share in 2001. Growth in the bedlinen sector since 1999 has shown improvements since the slow years of 1998/9. The bedlinen sector is benefiting from a measure of trading up to better quality, higher priced items in the middle and upper market sectors, although the lowest sectors of the market are still characterised by very low prices.
Filled products are the second largest sector of the household textiles market with estimated value of just over £310 million in 2001. Growth in the market has been slower than other sectors of the household textiles market mainly due to the dominance of duvets, which have a relatively long replacement cycle. Cushions have shown steady growth in the last 2-3 years but have benefited from a trend for more opulent fabrics and wider ranges and sizes during the past 12-18 months. The garden furniture market remains a key end user of cushion products with the trend for wooden furniture helping to boost the cushion market. The pillows market continues to show a steady level of growth underpinned by the size of the contract market and a relatively short replacement cycle in the domestic market.
The bathroom textiles sector is comprised of bathroom towels, tea towels and bath & pedestal mat sets and was worth approximately £260 million in 2001, reflecting an increase of 4% in value on the previous year. Current indications show a comparable level of increase for 2002, and short-medium term forecasts indicate that this sector should be worth approximately £310 million by 2006. Towels have continued to dominate the market in 2001, accounting for over 70% value share. The growth in the towels market in recent years has been due to increased replacement of existing products, or additional purchases for use in domestic cloakrooms and en-suite installations, with beach towels and character towels remaining popular in the children's market.
Pedestal and bath mats sets have made steady progress benefiting from an upward trend to better quality higher value products. Tea towels remain a very small part of the bathroom textiles sector accounting for less than £20 million in 2001. This sector has been affected by the move to dishwashers in both the domestic and commercial sectors, with the availability of some very low priced imports also subduing any significant value growth.
Table linen is the smallest sector in the household textiles market and is dominated by the contract sector, with hotels and restaurants important end-use sectors. The domestic market has been affected by the move away from formal dining, but the continued focus on the garden as an area for outside entertainment and dining has seen the emergence of a significant niche for the table linen sector. Within the domestic sector, there has been some move to more up-market products during the last 12 months, however the sector remains vulnerable to wipe-clean and disposable substitutes.
In terms of suppliers, the household textile market has become more fragmented in recent years with the divestment of some textile divisions by conglomerates such as Coats and Courtaulds. The last 4-5 years has seen a continuing trend of the relocation of production facilities to lower cost countries in Africa, Eastern Europe and Asia. The wide range of products within the household textile market means that the majority of suppliers only have small overall market share.
Leading suppliers in the bedlinen sector include Coats through its Dorma and Vantona brands, whilst John Cotton, Fogarty and Delbanco Meyer are key suppliers of filled products. Leading towel suppliers include the now independent Christy and Stott & Smith, with Liddel Grandoption and Wedgwood supplying table linen. Suppliers of blankets have come under increasing pressure in recent years and leading suppliers include AW Hainsworth, and Whitley Willows, who are also leading suppliers of pedestal and bath mats. However, 2002 has also witnessed the demise of leading blanket supplier Early's of Witney.
Distribution of household textiles is very widespread and is dominated by department stores, mail order, independents and specialists. One feature of the distribution mix during 2001/2 has been the adoption of a wider range of household textile products by outlets such as furnishings and DIY multiples. Retail displays have also improved in recent years and the use of room sets displaying furniture and furnishing accessories may have encouraged consumers to invest in the whole design scheme rather than individual products.
