ECI Software Solutions has polled UK builders’ merchants to reveal their top challenges and opportunities for the year ahead with employment shortages, Net Zero challenges, increasing material costs and digital transformation cited as the top concerns.
The creation of ECI’s Builders Merchants’ Predictions report comes as further findings reveal that over 930,000 workers will be needed within the trade industries by 2032 to meet growing demands.
Chris Fisher, website and product data management solutions expert (BMBI) and VP of EMEA LBMH division at ECI Software Solutions, said: “To highlight the benefits of this industry merchants need to come together where we can show what this sector has to offer, like the Builders Merchants Federation (BMF) ‘Make the difference’ campaign. This will help to attract and retain the next generation of workers and innovating businesses with technology.”
With the employment gap widening, additional reporting shared that almost half of UK companies now have a structured plan in place to align with Net Zero goals – up from 34% in 2022.
And according to NBS, its latest Digital Construction report indicates that the digital transformation of the UK industry is well underway, with one in five using AI and machine learning.
Eric Hargreaves, Director and Founder of Your Choice Home Improvements, for example highlights that innovating might get businesses ahead of their competitors as “companies with large overheads and little innovation are struggling to compete.”
He continued: “Businesses that have been able to adapt to the challenges over the last few years, who have improved their product offering, and marketing capability and trimmed overheads, these companies stand to take advantage of the favourable conditions predicted in 2024. However, companies that have tried to ‘ride the storm’ the last couple of years with little innovation will likely continue to struggle and will fall by the wayside.”
Commenting on the ECI report, Chris Fisher added: “With the new year, there’s always slight concerns about the potential challenges that might arise. Builders’ merchants are faced with a lot of changes to the industry like Net Zero goals and tackling the employment shortages crisis.
“As the report shared, making this industry attractive to younger people and putting innovative strategies in place could be beneficial in the long run for builders’ merchants. It’s only a matter of time before businesses wake up to the limitations of legacy systems and introduce business management software. Introducing technology into the business provides the opportunity to upskill as well as supply more open opportunities for the next generation whether that is an apprenticeship or a new role.”
