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In a market defined by slow growth, squeezed margins, and intense competition, Bathroom Brands CEO Stephen Ewer is focusing less on short-term forecasting and more on long-term adaptability. 

Strategic investment, customer relationships and, above all, a belief in the power of design are forming the backbone of  the company’s strategy – sitting still in an inactive market simply isn’t an option as far as he is concerned

“The market went backwards last year,” he says. “And our planning actually assumes a series of shallow growth years and it could possibly take us beyond 2027 just to get back to 2023 levels.”

This outlook for market growth – albeit marginal – is underpinned by two assumptions: a slow but steady increase in the house build sector and a gradual recovery in consumer confidence. “We’re not anticipating another economic crisis, but we’re also not expecting a rapid rebound,” he explains. “So, our strategy is built around adaptability rather than prediction.”

Independent retailers remain the core customers of Bathroom Brands and to serve that sector to the standards they expect, Ewer acknowledges that suppliers need to understand how hard the market is for small businesses. “They’re operating in a tough environment, facing cost hikes from national insurance increases, rising business rates and utility bills. They need stimulus from their supplier partners, not strain.”

Evolution

A critical part of the company’s long-term strategy is ‘Project Evolve’, a full-scale technology upgrade designed to future-proof the business. However, as Ewer candidly admits, the transition did cause significant strain on their retail partners’ patience.

“We experienced significant disruption when we launched the new modules late last year. I sincerely regret that and truly understand how painful it was for our customers and our teams, but thankfully we’re through it now. We’ve returned to normal service and are starting to see the benefits.

“We’ve moved from legacy systems to a modern platform that supports data-driven decision-making, greater customer visibility, and supply chain efficiency. For example, we have a full view of customer interactions in real time and that gives us a wealth of data to constantly improve customer experience.”

And this need to understand the details in more depth is, according to Ewer, down to the volatility within the market making traditional ways of planning less reliable. “If you’re forecasting sales and product mix six or seven months out, even small shifts can leave you overstocked or unable to service demand. That’s why our focus is on building agility into the business.”

For Bathroom Brands, the market stimulus its retailers want comes in the form of carefully structured promotions and pricing strategies. “We focus on price stability and protecting retail margins. We’re giving consumers an attractive headline discount while ensuring our partners aren’t being undercut after all their effort.”

Importantly, Ewer stresses that Bathroom Brands does not chase fire-sale tactics. “We don’t do random promotions. We have a promotional calendar our retailers can rely on. By the end of this year, we will have held our prices for 36 months – and in some cases, we’ve even reduced them.”

The market is becoming increasingly competitive, and Ewer says differentiation remains key. “Our strategy is built on being design-led, offering full bathroom solutions, and democratising design. That means bringing style and quality to every price point.” 

The acquisition of Showerwall earlier this year fits neatly into that vision extending its reach from everything in front of the wall to the wall itself.

Although not originally a target, the Showerwall brand became an opportunity too good to miss when parent company IDS went into administration. “We were already exploring wall panelling as a category and had other acquisition targets in mind,” Ewer explains. “But when the situation with IDS arose, we moved quickly and retained the core commercial and production teams and integrated them into Bathroom Brands.”

Ewer believes wall panelling is on the rise, particularly in the mid-market, where it is displacing traditional tiles. “Developments in materials and digital printing have elevated that market into a more premium category. It’s now stylish, easy to install, and increasingly popular with both consumers and installers.”

The acquisition also brought strategic infrastructure benefits. “We gained a distribution site in Newcastle-under-Lyme that strengthens our service to Northern customers and gives us a Midlands base. It’s a great synergy for the group.”

Bathroom Brands has also doubled down on its retail support network. “We’ve always been committed to having reps on the road, and we probably have the largest dedicated retail sales team in the industry,” says Ewer. “With the addition of Showerwall, we’ve added four more sales managers with dedicated management support. It’s a big part of how we deliver service and value, face-to-face representation matters.”

Despite market pressures and operational challenges, Ewer says one thing has never changed: the brand’s commitment to design. “Design matters at every price point,” he insists. “It’s central to our identity. Our head of design Jorge Hernandez is doing a fantastic job and we’re continuing to invest.”

That investment includes the ‘Design House’ at the company’s Dartford HQ. “It’s a space for inspiration, creation and collaboration with the design community. It underlines our belief that great design should be accessible and relevant.”

Whether it’s reimagining bathroom aesthetics or overhauling IT systems, Bathroom Brands is playing the long game, focused not on waiting for the market to recover, but stimulating it where it can and ensuring that it is supporting it’s key customer base in preparation for when it does.

“In this kind of environment, resilience is about preparation, not prediction,” Ewer concludes. “We’re investing in design, in our people, and in systems that make us more agile. The pain, in the end, will be worth the gain.”

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