A Profile of the Western European Paint Industry – 2nd Edition

Citation

(2005), "A Profile of the Western European Paint Industry – 2nd Edition", Pigment & Resin Technology, Vol. 34 No. 2. https://doi.org/10.1108/prt.2005.12934bae.001

A Profile of the Western European Paint Industry – 2nd Edition

Keywords: Paints, Europe

Information Research (IRL) has announced the publication of the second edition of its title, A Profile of the Western European Paint Industry

In 2004, paint demand in Western Europe is expected to total 6.43 million tonnes and may rise to 6.81 million tonnes by 2009 if average growth of 1.1 percent p.a. can be achieved. Throughout much of Western Europe there is low growth in the high-volume decorative paints sector and modest growth in only parts of the industrial coatings sector, as OEM industries either stagnate or relocate. Architecture on the other hand, whether in construction, professional restoration, DIY- or professionally-accomplished finishing is very much the current motor of growth, which is good news for manufacturers of decorative paints as well as protective, coil and powder coatings.

Differing dynamics have changed the ranking of the top five national markets. Spain, in what seems to be the industry's best kept secret, has grown to become the second million-tonne paint market in Western Europe with demand at 1,003,000 tonnes, around two-thirds of the demand in Germany. Stagnation continues in Italy with demand between 950,000 tonnes and one million tonnes, France has overtaken the UK to become the fourth-largest paint market, at about 830,000 tonnes, with that in the UK at 795,000 tonnes.

Decorative paints account for 62 percent of the market at just less than four million tonnes, growth arising from various permutations of DIY and/or professional use in different countries. The decorative paint market is far from uniform across western Europe, and influenced by a wide range of factors, including various national characteristics, retail development (or the lack of it), social expectation, climate and type of architecture. Figures 1 and 2 provide an insight into the contrasting market characteristics of Germany and Finland.

Figure 1 Characteristics of the German Decorative Paint Market

Figure 2 Characteristics of the Finnish Decorative Paint Market

With regard to market characteristics across the whole western European region:

• •

  The decorative paint market splits into DIY use (40 percent) and professional use (60 percent).

• •

  Own-label paints account for 38 percent of the market and private labels 62 percent.

• •

  Fifty four percent of demand is for matt paints, 28 percent for satin finishes and 18 percent for glosses.

Paint is also very far from being uniformly priced across western Europe, and is most expensive in France and Scandinavia. Average prices are much lower where DIY retail giants are at home, chiefly in Germany and the UK.

Change and challenge will provide much impetus for the industry in the coming years. Some countries and sectors are adapting quicker than others to the effects of legislation and with different results. Those well-established with compliant technologies have been able to exploit the opportunities in other countries where there is still a lot of work to be done. Technical change will be the main driver, which places the responsibility on the raw material producers.

Dr Terry Knowles, author of the report said, "Paint manufacturers have ambitious plans for water-based and high solids technology and a broad range of ideas for how paint should be developed in the future, not only in terms of ecological performance but also as a product that can be sold to the public. Manufacturers are looking for closer collaboration and better communication with raw materials suppliers, as well as value for money and more product versatility".

A Profile of the Western European Paint Industry has a special focus on the decorative, protective and marine paints sectors and the following contents:

1. 1.

   Introduction;

2. 2.

   Executive summary;

3. 3.

   Background;

4. 4.

   Industry review (mergers and acquisitions, investments);

5. 5.

   Paint Markets in the leading five countries;

6. 6.

   Paint Markets in the Benelux region;

7. 7.

   Paint Markets in Scandinavia;

8. 8.

   Paint Markets in other countries;

9. 9.

   Current and future standing of the paint industry (including new Wish List and response to legislation features and Forecast); and

10. 10.

    Directory of paint manufacturers.

A Profile of the Western European Paint Industry (369 pp and 254 tables), which includes a 160-page directory of paint companies, is available now from IRL, priced 3,000 for a single hard-copy edition. Sections of the report, priced individually, will soon be available to purchase online at our web site.

For more information on this report, please contact Terry Knowles. E-mail: terry.knowles@brg.co.uk

For further information contact: Information Research (A Division of BRG UK Ltd), CP House, 97 - 107 Uxbridge Road, Ealing London W5 5TL UK. Tel: +44 (0) 20 8832 7830; Fax: +44 (0) 20 8566 4931; E-mail: irl@brg.co.uk; Web site: www.informationresearch.co.uk