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Money Nampering by Boom Year in Start Markets

18:16  27 april  2021
18:16  27 april  2021 Source:   sueddeutsche.de

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The Hardware stores in Germany belonged to the winners of the crisis in the Corona year 2020. Because many Germans use the pandemic to beautify their own four walls or the garden. But now price increases are threatened with many products.

Nach einem Jahr mit bis dahin unerreichten Wachstumsraten ist der gute Lauf der Bau- und Gartenfachmärkte im Moment unterbrochen. © Nicolas Armer / dpa After a year with unmatched growth rates, the good course of construction and garden markets is interrupted at the moment.

"We will certainly not come about to make price measures," said the main manager of the trade association's home improvement, building and garden (BHB), Peter Wüst, in Cologne. Suppliers would have announced on wide front price increases. According to BHB, wood and building materials are affected as well as imported products from East Asia, in which increased logistics costs impact.

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Anyway, the good run, which lasted the construction and garden markets last, stopped at the moment. Through the current Lockdown, sales were already broken by around 50 percent in the first quarter, reported desert. A decline in sales even throughout 2021 seems inevitable. The problem: While hardware stores were largely open in the first Lockdown, they currently do not apply as system-relevant. This is subject to the same restrictions such as the fashion trade.

The Corona Year 2020 had brought the Do-It-Yourself industry until then unknown growth rates. Sales rose by around 14 percent to a good 22 billion euros. In demand, everything was in the pandemic, what could help to make the forced stay in their own four walls more pleasant and pound their own garden. Especially colors and painting accessories as well as garden equipment sold as good as never before.

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not only the HomeOffice had been upgraded, emphasized the spokesman for the BHB board and OBI Managing Director Peter Tepaß. Many have also built their own gym or private spa in Lockdown at home and installed outdoor kitchens in the garden. There was no lack of money. Finally, many travel and restaurant visits had to be.

In April 2020, sales were more than 20 percent above the previous year's level, in May it was even more than 30 percent. Even in the normally demand for demand, sales were significantly higher than in other years.

also the e-commerce boom did not pass the industry. Online sales with goods from the Baumarkt assortments increased by 26.5 percent to just under 5 billion euros in 2020. Here, however, pure online providers such as Amazon or Manomano secured the lion's share of the business. They came to a market share of 50.6 percent, the construction and home improvement markets with their online offers merely at 23.7 percent. But the stationary dealers 2020 have grown faster for the first time with their online offers than the pure Internet providers, explained the BHB.

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"In America, people have bought weapons at the beginning of the pandemic. In Germany, they have been equipped in the hardware store with blades and hammering to have the feeling of being able to oppose the crisis, "said the psychologist Stephan Grünewald from the Cologne Rheingold Institute's development. The Institute, which attempts to fathom with deep psychological interviews, the mood in the population had to investigate the importance of home improvements and gardening in Corona times on behalf of the BHB.

Germany was at the beginning of the pandemic year 2021 "increasingly marked by turmoil, aggressiveness and hopelessness," the psychologist judged. «The leased life in Lockdown just keep most people just by working." With hammering, screws and materials from the hardware store, apartment and garden would be expanded to the trutzburg against the pandemic. He also recommended to open the hardware stores quickly.

Even if 2021 is likely to become a mixed year for the hardware stores, the industry looks quite optimistic about the future. Home Improvements have become a natural in the crisis for many people, said Wüst. For 2022, the industry hopes again on pleasable numbers.

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This is interesting!