MD of buying group KBBG, Bill Miller estimates 2025 may bring more stable conditions but encourages retailers to be the best they can be

We anticipate a similar trading year in 2025, as in 2024. Hopefully, with more interest rate cuts on the way, things may improve slightly from the second quarter onwards.

For those retailers operating at the top-end, we anticipate that they will continue to out-perform the market.

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The low to middle sector of the kitchen market will continue to struggle, as consumers will still worry about the cost of living and remain reluctant to make a big investment.

I estimate we may see the KBB market growing by circa 5-10% in 2025 due to the more stable economic conditions and the anticipated interest rate cuts.

Challenges and opportunities

As in 2024, a lack of sales leads and the challenge of getting the consumer to commit will be the biggest challenge in 2025.

In addition, suppliers may reduce their own stock holding to try to navigate their own way through the year.

However, 2025 will also offer opportunities for those moving towards the higher end of the market and improving their online presence, including investing time into Instagram and TikTok.

Retail advice

I would encourage retailers to use a lead generation agency, such as Lead Wolf, to attract customers and close a deal more quickly.

Also ensure all your sales staff have up-to-date sales training, such as courses provided by Simon Acres Group.

Independent kitchen retailers are known for being resilient and their ability to meet their customers’ requirements.

Be confident the market is going to improve over the next 18 months and ensure all aspects of your business are as good as they can be, to meet the challenges of 2025.

Bill Miller has announced he will retire in January 2025, with Owain Harrison taking the role of KBBG MD.