Cleanzine: your weekly cleaning and hygiene industry newsletter 18th April 2024 Issue no. 1110
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'Select few' grabbing all the growth
A new study by industry analyst Plimsoll Publishing has identified a group of 70 emerging companies in the UK Cleaning Equipment & Materials industry. In the last year these companies have increased sales by an average 15% and are taking further control of the market as we start 2012.
Over the last two years, growth in the market has been sporadic, averaging 3% two years ago and 2% last year. However, these high growth companies have managed to grow much faster. The following table highlights how they are grabbing market share at the expense of the rest:
| Growth companies | Affected companies | Rest | Industry | |
| No of companies | 70 | 62 | 582 | 714 |
| Average growth | 15% | -10% | 1% | 2% |
Of the 714 companies analysed in the just published Plimsoll Analysis, 62 were found to be suffering the consequences of these high growth companies. They saw their own sales fall, on average by -10% in the same period. David Pattison, author of this new market study states: "This is absolute evidence that whatever growth there is in the market is being captured by a select group of companies."
So what have these companies been doing to create this growth? David Pattison offers the following explanation:
"It's clear that the market is changing. The revenue and growth streams companies took for granted a couple of years ago have changed. Frankly, it's the one question that we all want to know the answer to: 'Where is the market heading?' These 70 winning companies seem to have the best idea."
Despite concerns to the contrary, this is not just a case of larger companies forcing out their smaller competitors. As the following table shows, growth is still being achieved by a number of small, innovative companies (as well as some of the majors):
| Turnover of company £000 | Growth companies | Affected companies |
| £500,000 | 2 | 2 |
| £1,000,000 | 1 | 7 |
| £3,000,000 | 12 | 12 |
| £5,000,000 | 4 | 5 |
| £10,000,000 | 15 | 5 |
| £50,000,000 | 21 | 21 |
| over £50 million | 9 | 10 |
| Total | 70 | 62 |
The new Plimsoll Analysis provides a full financial analysis on the Top 714 companies in the UK Cleaning Equipment & Materials industry. Their full financial performance over the last four years is presented in the publication. The analysis is designed for the busy manager who needs to spot trends in the market, identify and understand threatening competitors. For those looking for quick growth, the analysis can also be used to seek out acquisition prospects.Copies of the full 714 paged analysis are available now in PDF format.
Readers of Cleanzine qualify for a £50 discount by quoting reference PR/AA10
E: [email protected]
W: www.plimsoll.co.uk
19th January 2012