According to recent press and quoting references and finding made in the latest JKMR 2023 Overview Report on the UK Fitted Kitchens Market, 'The Fitted kitchen market hits all-time high in value'.
But given the report (although released in 2023) is based on 2022 figures and as most of us know, the economy went to sh*t in September 2022 and has steadily gotten worse since.
Surely then, the recent Kbb press on the JKMR 2023 Overview Report on Fitted Kitchens is outdated at best?
When we look at the last 12 months of Google search traffic for the search term "fitted kitchens" what we can actually see (for this search term) is a drop in search activity from a high not yet reached since August 14th 2022 and a general downward trend over the last 12 months to a point on August 5th 2023 when the total search traffic was just 30% of what is was 12 months ago.
More Fitted Kitchens Doom and Gloom?
Whilst the JKMR 2023 Overview Report on Fitted Kitchens cannot change what has happened since Q3 of 2022 and has not attempted to suggest the current circumstance are reflected by the events of 2022 upon which the report is based, the fact remains that the JKMR 2023 Overview Report on Fitted Kitchens is outdated and does not reflect the continued pain that has been felt by many kitchen retailers from the outset of 2023.
Kbb Projects Perfect Storm
The reality of the current situation is that amidst a backdrop of rising inflation and interest rates over the last 12 months, to levels not seen since the 1990s the UK economy has stagnated and so has consumer confidence, meaning that big ticket Kbb projects (of which a new kitchen is often the most expensive) are being severely affected, not just with rising costs, but rising costs of borrowing and lower levels of consumer demand.
Regarding interest rates, the reality of going from 0.1% to 0.25% on December 16th 2021 and then successive rate rises since to 5.25% (as of August 4th 2023), has hit the UK property, mortgage, and home improvement markets with a 'perfect storm' to consumer demand.
With August usually a slow month, what with the school holidays and the current climate Kitchens Kitchens will be spending the month speaking to a number of Kbb retailers and independents and showcasing their point of view to be published over the coming weeks.
We all hope that the recent news of inflation falling can be followed by interest rates holding and perhaps the tide turning and consumer confidence and demand returning once again as we head towards the end of 2023.
*To feature in the upcoming reports please get in touch