Jetstone plans to double UK turnover

Dutch stone distributor and fabricator Jetstone is planning to nearly double its UK turnover to £2.8million in the next two years.

The UK is the second largest market for Jetstone which supplies granite, quartz and most recently ceramic worktops to around 100-150 mid-upper market kitchen showrooms. In addition, it is also a distributor for Franke, Blanco and ABK sinks, Franke and KWC taps and the S-Box concealed worktop storage.

At the beginning of 2012, Jetstone doubled the number of sales agents in the UK – from two to seven - and it believes this will see the revenue boost from its current £1.5million turnover.

Jetstone used to supply the now defunct Moben kitchens, and alongside supplying independent retailers, the company is also seeking large volume accounts to drive sales. It already provides stone worktops to Tesco Kitchens, via Mark Two Distribution.

Marketing co-ordinator of Jetstone Remco Jaspers explains that large group accounts help to give the company kudos: “The fact that we had Moben and now Tesco does open the door to larger companies. As people will say, if they have worked with Moben and do work with Tesco, Jetstone is probably going to be a big company.”

Remco Jaspers also believes ceramic worktops will form part of the company’s success. Currently ceramic sales account for 15% of Jetstone’s turnover and he expects the material to account for 40% within two years.

The ceramic, which comes from Italy, is available in a satin texture in a variety of finishes from wood to metallic, through to Oxide finishes. It is not only used for worktops, with mitred edges allowing edge profiles from 10-100mm, but can also be used for flooring and wall cladding

The company is opening a second factory to help meet the expected volume for ceramic, which will boost the future capacity of the company by 36% to 750 orders per week.

Jetstone was founded in 1993 and operates across 7 countries, including a UK office in Hemel Hempstead. It has 120 employees, across the company, and supplies 400 orders per week. The company has 8,000 slabs in stock, with over 200 materials, including 26 ceramic colours as standard, but also has access to all supplier products.

Delivery is within 5-8 days, direct to retail customers, and all the worktops are fitted by Jetstone installers.

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Mark Two creates Easy Bathing for high street retail

A collection of inclusive, as well as specialist disability bathrooms, for independent retailers, has been established as the Easy Bathing brand by distributor Mark Two. The collection not only spans wet rooms, comfort level WCs, grab rails and bath replacement showers, but also boasts half-height enclosures and walk-in baths, through to power lift baths.

The launch of the Easy Bathing brand followed two years of research, looking at eliminating the clinical feel of modified bathrooms. It also uses the distributor’s knowledge of former Dolphin sales where 1:4 sales were ‘easy access’ solutions.

The need for a brand, such as Easy Bathing, is backed by a report on the ageing population, by Professor Peter Gore, which revealed 20million 50+ year olds account for 80% of the nation’s wealth and 40% of spending.

The specialist disability bathing products are provided by the likes of Gainsborough, Contour Showers and it is the first time they will be made available to high street bathroom retailers. The inclusion of these products in the Easy Bathing brand has been designed to bring a potential new customer base into independent retailers.

Mark Two has appointed ex-BCG marketing director Julie Butcher to develop and manage the Easy Bathing brand. She said: “Easy Bathing reflects the needs and desires of our ageing population but it works for the entire family, regardless of their age and abilities. Our research proved older people need a little more help in the bathroom, but it’s equally important for them to retain a sense of style – they have the disposable income to achieve this, they’re just looking for the right products in one place.

“We’ve built upon years of experience in the bathroom industry to create a solution that fulfils consumers’ needs in every sense – why should they have to compromise?

“For retailers who previously had to source individual products from multiple suppliers, Easy Bathing is a fantastic solution that offers great margins and really gives the customer what they’re looking for.”

Easy Bathing wants to develop a network of 50 retailers, across the UK, within the next two years. The bathroom retailers will be provided with exclusive sales areas, marketing and merchandising support, backed by consumer magazine advertising and a website to drive traffic into store.

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KBB businesses raise £60k for children’s charity

A team of 24 walkers from kitchen and bathroom businesses conquered the Atlas Mountains in Africa, raising over £60k for a local children’s charity.

Mark Two Distribution’s managing director Nick Hopkinson MBE and Craig Rothwell, managing director of 20-20 Technologies joined staff from DRL and Scott Dawson Advertising to raise money for Bolton Lads and Girls club.

The group completed the five-day challenge through Africa’s highest icy peaks in extreme conditions which reached -27°C.

Nick Hopkinson said: “It’s amazing what you can do with 24 people who have never been up a mountain before but who care passionately about giving chances to young kids. We set a target to raise £50k to help change young people’s lives and ended up with nearly £70k.

“Spending seven days in cold, harsh and sometimes dangerous conditions helped raise this money to pay for mentoring of looked after children and young carers in Bolton. Most of the party had never been up a mountain in their lives before and here we were leading them up Toubkal, the highest peak in North Africa, 4200 metres high, in the winter, in snow and wearing crampons!"
He added: “The group dynamic was fantastic - we not only changed the lives of the young kids benefitting from mentoring, but we changed our own lives too.”

Bolton Lads and Girls Club works with vulnerable young people in some of the town’s most deprived areas, providing more than 3,500 young people every week with a safe, warm and fun place to go with plenty of support and activities.

EDITOR’S COMMENT: Beware of the double dipper

Philippa Turrell, Editor
Kitchens & Bathroom News

Buckle your seatbelts; it looks like it’s going to be a bumpy ride. No sooner have we seen the back of the ‘R’ word, global economic experts are suggesting we get set for round two. Something about PIGS – I believe – but not to blame the pork industry.

It could spell more trouble ahead for the kitchen and bathroom industry, which has already seen its fair share of business woes, with the recent financial difficulties at the low end of the market -  Focus DIY and Homeform – and premium-end market too at Simon Bray.

There are also recent shake-ups and uncertainties in the distribution chain, Mark Two suffered with the loss of the Focus DIY business, then got hit again by the demise of Dolphin. There have also been changes at Waterline, MD Mike Lawrence having resigned due to ill health, and unspecified alterations to the BCG business. Although, again, it is suspected it may be a change to personnel.

It could also be that parent company of BCG, Wolseley, has listed the company as one of 19 to sell or improve. Although it is unknown which Wolseley companies are still on the hit-list, industry pundits suggest BCG has been included alongside Bathstore. Could this distributor be set to join the likes of Electric Center and Brandon Hire which have already been hived off? And if so, who would be the likely buyer? There has already been talk of a management buyout but could an acquisition by a competitor be far more likely?

Oddly, though, while there are changes at supplied level, kitchen and bathroom retailers and designers appear to be flourishing. Those who are active in the world of social media have been reporting a flurry of orders, many of which are reported as unusual for this time of year. So, is the pull-through of sales just taking too long, as consumers take more time over making decisions to part with their cash? Or is this a retail anomaly, as consumers get in quick, before the next wave of financial fears, with little to back up orders after that?

While I certainly don’t advocate a ‘Chicken Little’ panic that ‘the sky is falling in’, I would suggest we all keep one eye on the future, while not taking one eye off the past. Don’t forget the valuable lessons you’ve already learned and should there be a second stalling, you’ll be better prepared for that icy dip.

Tesco restructure boosts kitchen and bathroom sales

Supermarket giant Tesco has restructured its bathroom and kitchen project, with the appointment of Mark Two to supply product and lead installations, boosting sales.

The restructure includes an appointment of a head of sales, new sales team and procedure, together with the recruitment of an in-house head of installations.

Tesco kitchen and bathroom sales are now being driven by Mark Two, which not only provides the product but also leads the installation. Liz Lakin, who works for Mark Two in conjunction with Tesco, leads the projects with Retail Installation Services (RIS) responsible for installation with the South.

In addition to Tesco, Mark Two also supplies independent bathroom and kitchen studios with its Lakes Kitchens and Balterley Bathrooms range. However, the distributor has recently lost business having supplied Dolphin Bathrooms and Focus, which both entered administration

However, it has led retailers to question whether the company’s focus on chasing volume sales with Tesco will detract them from servicing the independent and, ultimately, leading to its decline.

Diane Buckley of Stuart Henry Kitchens on the Wirral commented: “When Tesco get what they want, they will chew them up and spit them out”. She added: “When Mark Two has been spat out they will have no independents left because they will have deserted the Lakes range”.

Her view was re-iterated by anonymous industry insider M_eye_view, who commented: “Mark Two is going to find themselves in very big trouble soon, they keep chasing the ££s they will p**s off independents. They will walk. Tesco will squeeze Mark Two for what they can get and when they have what they want, pop goes Mark Two.”

But not all kitchen industry experts shared the same view. Tim Foley of Kitchensfitted.com said: "Good combination - be interesting to see how things progress. Catering for the masses wil always be more difficult." 

However, he believes Tesco with its online service will evolve better than other multiple outlets and DIY giants and present a possible threat to their business. But he says independents who embrace and invest in an online presence, give themselves the best chance to compete on a level playing field. Foley continued: "All businesses have to adapt and evolve - every change presents a risk - no threat if independents do similar."

And managing director of Mark Two Nick Hopkinson MBE shrugged off suggestions that Tesco would pose a threat to his business. He commented: “All change presents challenges. Without change we would have gone bust years ago.”

EDITOR'S COMMENT: Every little helps

Editor Kitchens & Bathrooms News,
Philippa Turrell

While much of the retail kitchen and bathroom industry is getting in a tizzy about the threat of cheap prices on the internet, challenges to their business may actually lie elsewhere. Tesco is now helping itself to yet more kitchen sales following a recent re-structure of its team. The supermarket giant has recently appointed a new sales team and Mark Two Distribution now provides the product and leads the installations. Could this powerful combination be enough to attract kitchen consumers away from the high street? This supermarket brand certainly has clout and if it has the right product, at the right price, plus a comprehensive after-sales service – it could be the value that consumers are looking for. Independent retailers which suggest their business is safe, because Tesco doesn’t offer a wide enough choice, may find themselves disappointed. The supermarket has already created an online marketing campaign to drive business and this is tied up with attractive consumer promotions. It could be just enough to entice purchasers.

 But could this arrangement between Tesco and Mark Two, actually create more difficulties for the distributor than high street retailers. The recent and much-publicised troubles of Mark Two have already seen the business lose money chasing volume sales. The company, which supplied both Dolphin and Focus, lost out following the collapse of both of these businesses. Could Tesco be the final nail in the coffin? Will we see this supermarket giant further squeeze Mark Two’s business with demands for keen pricing? Or will independents eventually walk away from the distributor, concerned that its interests only lay in servicing large contracts? Frequently, manufacturers are accused of running with the hares and hunting with the hounds? If it works for the company - fine - but it can also be the reason for a businesses’ demise. Has Mark Two overextended its business model or is it simply a case of every little helps?

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