Analysts describe the Polish DIY market as stable Courtesy of ITBC Communication

DIY markets chain Bricoman will be expanding in Poland in upcoming years, with two new stores scheduled to open in 2013 and three expected to open annually in large and mid-sized Polish cities in later years, said Arnaud Boule, general director of Bricoman Polska.

According to Mr Boule, the Polish DIY market is stable, despite the economic slowdown. “In the long term, Poland is perceived as a place with very large potential in terms of the demand for construction materials,” Mr Boule said.

He added that this results from Poland’s stable economic situation in comparison to other European countries and the fact that the Polish residential market is still relatively poorly developed. Where the market is well-developed, construction materials are often not in great demand, he noted.

The current slowdown in the Polish housing market has not hit the DIY sector very hard. Mr Boule said that there has been some negative impact but added that while some entities have lost clients, others have gained them.

“Most large DIY market players continue to open new facilities, even though they do not see the turnover in their existing stores grow – or see very small growth – which means they are increasing their share of the market at the expense of the traditional distribution channels,” Mr Boule said.

Mature market

Magdalena Frątczak, retail agency director at CBRE, said that the DIY sector is seeing stable growth in Poland, with the leading players having already secured locations in large cities and started expansion into cities with populations of below 100,000.

She noted that stores belonging to the Polish Mrówka chain, for instance, are now appearing in towns with populations of less than 30,000. “In the next few years, we expect an increased interest in DIY chains in locations in cities in the east of Poland,” Ms Frątczak said.

According to Jan Jakub Zombirt, an analyst at the research and consultancy department of Jones Lang LaSalle, the DIY market in Poland now accounts for a total of approximately 1.8 million sqm of space in 211 facilities.

Mr Zombirt described the market as mature, pointing out that DIY stores are already present in most large and mid-sized cities in the country. He said that operators tend to focus on promising locations in small cities and fill niches in the large ones. Five major stores are now under construction in Poland, he added.