With several major KBB brands going under in the last twelve months, Waterline’s new CEO, Michael Marriott, offers a rallying cry for others who are worried about what their future might hold
Keeping an eye on the news these days can be anxiety inducing. No news is good news, after all and things aren’t easy for anyone running a business and the kitchen sector is far from immune to the turbulence.
Since the first thoughts of Brexit and its possible implications and repercussions were born, the KBB industry has sailed in somewhat choppy waters. It’s led to a great deal of uncertainty around pricing, not least because of the issues around shipping costs from overseas for brands that are imported.
This is a journey that has only been further worsened by a global pandemic and cost of living crisis, I might add. It has certainly been a time for keeping that lifejacket close to hand for businesses that want to weather the storm.
The kitchen industry has seen its fair share of ‘names’ failing to keep afloat, with reports of manufacturers going bust not just in the UK but in Europe too. The most recent of these was the sad news of the demise of Mereway Kitchens, a well-established British brand. All this negativity hits the retailer hard, naturally, as they’re left with unfulfilled orders and a major dip in their confidence.
Storms come and go, of course, and even the very worst of them can’t last forever. But to have the very best shot of weathering them when they do hit, it’s important that retailers do what they can to make their business strong and robust.
There’s a lot to be said for British manufacturing. That Made In Britain label has never been such a useful anchor, not just in terms of quality but also in how it can help alleviate much of the uncertainty that exists around imported goods. I would argue that as a sector, we can do lots more to promote the benefits of products manufactured in the UK. Brexit aside, there is a drive among consumers to buy sustainably and purchase furniture with long warranties, while keeping revenues within our country can only be positive.
All together now
It’s not all down to the retailer though; manufacturers have a duty to be “long-termist” in their approach to business too. There are manufacturers out there who look for short-term gains and profits, often because they’re reporting to shareholders. But while this can make the figures in front of you look good, it is important to invest in the tough times and take note of the barometer, to be able to weather the storms when times are more turbulent.
Distributors are in no way exempt either. The only way we can help our customers ride out the tough times and weather uncertainty is by being prepared.
While we can’t predict the future, it’s important to have a long-term plan that factors in some contingencies. We try to anticipate customer pain points and see if we can give them a good headwind, should the storm strike.
And that’s why even in the fairer-weather times, there should be no room for complacency. At Waterline we also have improvements in mind for the business, both in terms of customer service, and product development. In fact, these are being worked on behind the scenes many years in advance.
Being family-run rather than part of a big corporation requires more vigilance too; we’ve always ensured that we have the cash reserves to be able to make large investments needed to move the business forward .
Adaptability and foresight are crucial in navigating through turbulent waters and ensuring long-term success – so how does your business stack up?