The roofing market - France (2024)

1.2 Expansion of the global roofing market

The global roofing materials market was valued at $***.** billion in **** and is expected to approach $*** billion by ****, growing at a CAGR (***) of *. *% over the ****-**** forecast period.

Global roofing market size World, ****-****, in billions of USD Source: ****

1.3 A dynamic national market

The roofing market is included in the INSEE nomenclature under NAF code **.**B"Travaux de couverture par éléments", which covers :

roof covering installation of rainwater drainage systems

The roofing market France, ****-****, in billions of euros Source: ****

with the exception of a slight regression between **** and ****, roofing in France shows a positive long-term dynamic, with a real mechanical rebound after the health crisis of ****. Between **** and ****, the market grew by **. *%, reaching its peak with a total value of *.*** billion euros.In ****, the market experienced a real mechanical rebound, with sales of *.** billion euros, up **.**% on its peak in ****. The increase is even more marked in relation to ****. In fact, the market recorded a jump of **.*%.

Vegetated cladding and certain types of metal cladding, notably copper, are not included here due to the paucity of data. It should be noted that the last category in this table does not only include photovoltaic panels used for roofing.similarly, the category of sheet metal in this table can also be used for cladding and building shelters.

The main trend here is French dominance in clay tile production: in fact, the vast majority of French buildings are built with tiles produced on French soil ...

1.4 Analysis of French foreign trade

To analyze the roofing market, the following codes have been identified, although some of them (***) include other construction elements:

****** - "Ceramic roof tiles".

**** - "Worked natural slate and articles of natural or agglomerated slate (***)"

****** - " Cement, concrete or artificial stone tiles, slabs and similar articles"

Roofing made from copper/zinc/steel sheets, wood or asphalt shingles, or EPDM membranes are also included, but only to a minor extent. They are not included here, either because of the large number of irrelevant items in the corresponding customs code, or because of a lack of data.

French foreign trade trends France, **** - ****, % (***) Source: ****

Between **** and ****, France's trade balance for roofing materials showed a growing deficit, with imports rising much faster than exports. The coverage rate fell from **.**% in **** to **.**% in ****, indicating a growing dependence on imported products and a weakening of national competitiveness in this sector. This phenomenon is due in particular to the massive importation of concrete and cement products (***). The coverage rate for clay tiles and slates alone is currently **. *%. On the other hand, France is a major producer and exporter of sheet metal, which is used extensively in roofing, hence the need to consider the graph presented ...

2.1 The construction market, the main driver of demand

The market for residential and non-residential building construction and the market for elemental roofing work France, ****-****, index base *** **** Source: ****

The graph comparing the sales index for the building construction and roofing markets shows a very strong correlation.

Indeed, the relationship between these two markets is obvious, since the construction of residential or non-residential buildings necessarily involves roofing work in elements to construct the building's roof. Since new construction remains the dominant segment of the roofing market, it seems logical that an expansion in the construction market should result in an increase in demand for roofing work.

Non-residential premises

Floor area of non-residential premises under construction (***) France, **** - ****, in millions of square meters Source: Insee, Insee *first * months of ****, over ** sliding months

Non-residential floor area under construction (***) France, **** - ****, in millions of square meters Source: Insee, Insee *the term "non-residential premises" includes premises for public services or public interest, transport, education-research, social action, special works, health, education and social services, etc.health, culture and leisure, hotel accommodation, offices, crafts, industry, commerce, farming and forestry, and warehouses

Over the period **** to ****, a downward trend is discernible in non-residential construction in France, with building permits and housing starts in decline.

Focusing on data ...

2.2 A willingness on the part of individuals to focus on renovation to reduce energy losses in their homes

The French are very much in favor of improving their roof insulation for both economic and ecological reasons. In fact, they are well aware that poor insulation causes excess electricity consumption, which is billed to them at the end of the month. At the same time, this unnecessary energy consumption has an environmental impact that's all the greater for its carbon content (***).

What are the main sources of heat loss in your home? France, ****, in Source: ****

Although this data dates from ****, it is unlikely to change in the short term. More than a third of French people believe that their roof is responsible for heat loss from their home. The roof is the second most cited factor after windows(***). There is therefore a real awareness of the "heat sieve" nature of homes, and of the key role played by the roof in these problems. This awareness is creating a market conducive to roof renovation work, especially if such work is accompanied by financial incentives from public authorities.

Survey: Are you planning to carry out renovation work in ****? France, ****, in Source: ****

In France, in ****, **% of respondents probably or certainly plan to carry out renovation work, while **% say they probably or certainly don't ...

2.3 A more mixed picture, with several obstacles to renovation

The main types of energy renovation work carried out since January **** France, ****, %, %, %, %, %, %, %, %, %, %, %, % Source: ****

The top three categories of energy renovation work carried out since January **** mainly include insulation, which was chosen by almost half of homeowners, followed by the installation of windows/glazing and the replacement of the heating system or installation of heat pumps, which were opted for by around a third.

What are the main disincentives for homeowners to improve the energy performance of their homes? France, ****, % of homeowners Source: ****

The main reason most homeowners give for not improving the energy efficiency of their homes is the cost of the work, cited by **% of them, followed by the scope of the work, cited by **%.

Triggers for energy renovation work France, ****, % of total Source: ****

The main factor triggering energy renovation work is the failure, obsolescence or poor condition of the equipment, which accounts for almost a third of cases. It should be noted that for the remaining **%, various reasons motivated the decision to undertake energy renovation work.

Despite the intentions of the French presented above, roofing only comes fourth in the nature of home energy performance improvement work, with **% of the total. It is outstripped by fittings(***).

These figures show ...

3.1 Value chain

3.2 A fragmented market with many small structures, mainly located in northern France

Portrait of French roofing establishments

Number of establishments, workforce and average workforce size per establishment in the roofing industry (***) France, ****-****, in units Source: ****

In the roofing market in ****, the number of companies has increased by **% since ****, while the number of employees has risen very slightly by *% over the same period. This decline in headcount, with a constant number of establishments, is symptomatic of a concentration phenomenon within a market dominated by small businesses.

Generally speaking, roofing is a craft activity practiced by modest-sized structures.

Source: ****

The snapshot of the average roofing company in **** confirms the previous figures. Average annual sales are €***,***, with a gross margin of **%. The majority of companies in this sector are small, but with high gross margins.

Key financial transactions in the roofing sector

Source: ****

The sector is highly fragmented, which explains why the number of large-scale financial transactions in recent years has been limited.

On the map above, the northern regions of France clearly stand out as the main suppliers of roofing companies. Indeed, the five most northerly regions of France account for **% of all companies in the sector.

This proportion can be explained by the fact that three of these regions (***) are among the six ...

3.3 A sector structured into two business lines

Breakdown of the roofing and waterproofing sector, by branch of activity France, ****, as % of total Source: ****

Roofing dominates the roofing market, accounting for **% of total sales. The remainder of sales are generated by waterproofing activities, which have been on the rise in recent years(***).

The two business lines also differ in terms of customer base, since while roofing generates the majority of its sales in private residential housing, waterproofing acts mainly in non-residential. Waterproofing's main customers are therefore businesses and public authorities.

3.4 Distribution channels for roofing materials

There are several categories of roofing materials distributor, which can be differentiated according to size and specialization.

Multi-specialists

The big names in building materials distribution (***) all offer roofing products. However, their strategy differs in the way they integrate and promote their different activities.

Point P is an excellent example of this, with a strategy of specialization through the opening of some sixty expert branches, specialized in roofing materials and evenly distributed across the country. The specificity of these outlets is based on a richer offer and a much higher stock level. This strategy enables us to respond to specific requests within very short lead-times.

Traditional roofing specialists

There are several specialist roofing retailers (***) for needs ranging from large agricultural roofs to residential roofs.

Some of these specialists are even looking to diversify their business, such as Larivière, a traditional slate distributor in western France. Today, the company is targeting the "building envelope", i.e. all roofing services as well as façade and waterproofing services.

New entrants from other building materials sectors

Companies formerly specialized in one type of property are following Larivière's logic by seeking to penetrate new markets, particularly that of roofing materials. This is the case ...

3.5 The grey area of competition from posted workers and illegal workers

In labor law, the status of posted worker is a status defined by the European directive of December **, ****, enabling an employee working in one member state of the European Union to be posted to work in another member state. This status guarantees the employee a set of minimum rights applicable under the legislation of the country to which he or she is seconded. Thus, the salary and working conditions of a posted worker depend on the host country.

In social security law, on the other hand, social security contributions are those of the country of origin. This is due to the need to avoid breaks in social protection coverage for workers who are only abroad for a few days or months on an assignment.

changes in the use of posted workers France, ****-****, base *** **** Source: ****

The use of posted workers has increased *-fold over the past ten years, creating low-cost competition for many French industries. The construction industry is particularly hard hit by this phenomenon, since half of all posted workers are employed in the building trade. The influx of posted workers can lead to pressure on prices, as companies pay lower social security contributions and can therefore remain competitive despite ...

4.1 Types of roofing materials used

There are many materials that can be used to build a roof. The table below describes the various alternativesand their main advantages and disadvantages.

Source: ****

4.2 Roofing prices

New vs. renovation

The first factor with a major influence on roofing prices is the distinction between new and renovation. Indeed, the installation of a new roof will almost always be less expensive than that of a roof to be renovated. This higher price is due to the need to carry out additional tasks, including

cleaning and dusting of the old roof diagnosis and research (***) removal of old roofing removal of supports (***) creation of new headers for roof windows installation of any external roof insulation (***) storage and transport of rubble and site waste recycling and treatment of certain materials that can generate high additional costs (***)

Geographical area

Geographical location has a major impact on prices, not only because of the difference in services required between urban and rural areas, but also because of variations in real estate costs between towns, which are reflected in the final price.

This means that prices can be up to **% higher in Paris / Île-de-France for complex jobs than in the provinces for standard jobs.

The diversity of job sites

It's difficult to establish a single pricing model, given the wide differences in the nature of the work performed. The following is a list of the main ...

4.3 A market subject to soaring raw material prices

The construction industry in France, including the roofing sector, is facing a significant rise in material prices. This trend, due to increased post-pandemic demand, supply chain interruptions and raw material shortages, is having a major impact on professionals and homeowners alike. Prices for roofing materials such as tiles, slates, metals and sealants have risen, resulting in higher costs for construction and renovation projects [***].

Production price index for qsdfghjklkjhbgfvdsqsdcfgvhjhgfdfghjkhgfdghjkhgfdfghnj,;njbhgvfcdxcfgvbhnjhgfd France, October ****- ****, base *** in **** Source: ****

Slate extraction is necessary for the manufacture of slate roofing. Between October **** and September ****, the producer price index for ornamental stone, building stone, industrial limestone, gypsum, chalk and slate in France rose significantly, from ***.* to ***.*, with notable peaks in October **** and January ****.

Producer price index for concrete building components France, October ****- ****, base *** in **** Source: ****

The data presented here include the manufacture of concrete roof tiles. Between October **** and September ****, the producer price index for concrete building components in France rose from ***.* to ***.*. This substantial increase reflects continuing inflationary pressure in the construction sector, with marked rises particularly in February **** and January ****, suggesting increased costs for building and renovation projects.

Production price index for concrete elements for clays and kaolins France, October ****- ****, base *** in **** Source: ...

4.4 Innovative roofing

R&D is omnipresent among roofing manufacturers. The aim is not only to renovate production tools, but also to innovate in terms of product ranges and colors. To finance their innovations, manufacturers can also call on the CTMNC (***), while developing quality processes at industrial sites.

Energy-efficient roofs

The energy efficiency of roofs is a fundamental issue today. To make further progress in this area, the Confédération de l'Artisanat et des Petites Entreprises du Bâtiment (***) has entered into a partnership with VELUX France to integrate the company's expertise in home energy renovation solutions. CAPEB members showcase VELUX France products in exchange for preferential prices and advice on how best to integrate light and fresh air in through the roof. [***]

In the same way, CAPEB is working with BMI, Europe's largest manufacturer of roofing and waterproofing solutions for flat and pitched roofs, to enable roofing craftsmen to use VELUX products.Europe's largest manufacturer of roofing and waterproofing solutions for flat and pitched roofs, to enable roofing craftsmen to discover the full range of BMI products, and also to develop new solutions tailored to their needs, thanks to a joint development process. [***]

Work also focused on roof coatings. For example, Leclerc ...

5.1 Regulatory framework

Requirements for a roofer

hold a certificate of vocational aptitude (***), or a diploma or certificate of equivalent or higher level.an approved diploma or qualification of equal or higher level, or three years' professional experience as an employee or self-employed worker Register with the Répertoire des Métiers

The main points of professional regulations

Guarantee of perfect completion, for one year from acceptance of the work Ten-year liability for new work Réglementation Thermique **** (***): reducing the energy consumption of homes Professional liability insurance Loi relative à l'artisanat, au commerce et aux très petites entreprises (***): obligation for micro-entrepreneurs operating in the construction industry to include information about their professional insurance on their quotes and invoices Ordinance n°****-**** of September **, ****: transformation of the personal account for prevention of penibility into a professional account for prevention Macron Law of October *, **** to combat illegal employment: compulsory professional identification card for construction employees[***]

DTUs

Compliance of roofing work with local planning regulations is imperative, with standards and articles of law governing various aspects of construction and renovation. The Documents Techniques Unifiés (***), are at the heart of these regulations, setting standards for materials, design and installation.

These documents generally include technical specifications (***) defining relations ...

5.2 Roofing grants and subsidies in France

There are a number of government subsidies and grants for roofing in France. These schemes are all the more attractive if the project includes a thermal insulation component designed to reduce the home's energy consumption.

National schemes

Reduced VAT rate Zero-rate loan (***) MaPrimeRénov' CEE (***) Energy vouchers

Local schemes

Local schemes mainly take the form of renovation grants awarded by regional or general councils. [***]

6.1 Segmentаtiоn

• EPDM FRАNCE
• Ecolis Groupe
• Asturienne
• ETEX Group (Etrenit)
• Icopal
• JОRIS IDE Groupe
• Lahera Productions
• Tuilerie Lambert
• SP Toiture
• Texabri
• Klober - HPI FRАNCE SАRL
• SАRL BWK FRАNCE
• Descours et Cabaud
• Terreal Groupe (Wienerberger Group)
• Attila
• Saint-Gobain Groupe
• VM Building Solutions France (Etex Group)
• Rikksen
• ArcelorMittal
• Edilians
• Amaeva Toiture EPDM