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Home » Business » Marketing » Get a Stake in PVC Fencing

bpwork
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Get a Stake in PVC Fencing

Submitted by bpwork
Wed, 19 Nov 2008

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PVC fence markets are posting rapid gains, prompting profile extruders to install new machines by the dozens and convert existing plants from pipe and siding production. New players are jumping in, too including makers of wood-filled composites.
As occurred in PVC siding and windows a decade ago, fence profiles are now seeing explosive growth and rapid plant expansions, including conversions of entire plants from pipe, siding, and other construction profiles. While demand for all types of fencing typically grows 5-7 annually, and this year's growth could hit 50 in ranch (post and rail), 12 in decking, and 2 price increase early this year hasn't dampened sales, he notes.
What triggered this year's explosive growth is sudden, broad customer acceptance of PVC fences, especially among smaller contractors and buildings-supply houses. They offer PVC as a high-end choice to customers. "There is clearly a shift to maintenance-free building products. It's not that people love a product that looks plastic," Riese explains. "But people are not in love with scraping and painting their fences, either, and they're willing to pay more not to have to do it."
"Ranch," or post and rail, is the commodity end of the PVC market, and is the most price-competitive with wood fencing. In fact, some PVC fence makers say they can undersell wood in some cases. At the high end, residential fence sells for 30 more than wood, depending on the complexity of the fence system. But even in this sector, all the new extrusion capacity flooding the market is starting to depress profit margins, notes William Zell, sales and marketing manager at Westech Fence in Mt. Vernon, Ind.
The explosive growth of PVC fences, even at a price premium to wood, isn't lost on the makers of wood-composite decks and rails. They are eyeing fences as their next potential market. Wood-flour-filled polyolefins and PVC have already gained acceptance in non-structural profiles for decking and in metal-reinforced railings. They have the advantage of the look and feel of natural woodgrain, which plain PVC fencing can only imitate with streaks of pigment.

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David ZHENG is the CEO of http://www.china-fence.com .A company specialized in selling all kinds of fence products such as temporary fence,wire mesh,fence manufacturers,steel fence post,wire fence,portable fence etc.


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