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Hardware, Plumbing & Heating Equipment Wholesaling in Germany - Market Research Report (2014-2029)

Nina Koefler Nina Koefler Frankfurt, Germany Last Updated: July 2024 WZ G46.74DE

Revenue

€77.5bn

2024

€77.5bn

Past 5-Year Growth

Profit

€X.Xbn

Employees

167k

Businesses

7,477

Wages

€X.Xbn

Hardware, Plumbing & Heating Equipment Wholesaling in Germany industry analysis

Since 2019, turnover in the wholesale of sanitary installation supplies and building elements has increased by an average of 0.4% per year. The development of the sector is primarily influenced by the construction sector, the sanitary installation industry and the net income of households. In recent years, construction activity in Germany has been at a high level, mainly thanks to favourable interest rates for property loans. In addition, increasing urbanisation could be observed in Germany, which led to a worsening housing shortage, particularly in metropolitan areas. This further boosted construction activity and thus also demand for sanitary installation requirements and construction elements.In the current year, IBISWorld expects only a slight increase in industry turnover of 0.2% to €77.5 billion. This development is likely to be driven by the delayed effects of the European Central Bank's (ECB) interest rate turnaround. The fact that the ECB has gradually raised its key interest rate since 2022 has made property financing more expensive. This has weakened demand for property, which in turn has led to a slowdown in construction activity. Accordingly, despite the first reduction in the European base rate, the construction industry is not expected to recover fully in 2024. There is intense competition in the industry. Wholesalers in the sector buy products from manufacturers and sell them on unchanged. In order to stand out from the competition, many smaller industry players are focussing on niche segments, while the larger retailers are trying to assert themselves on the market primarily through their comprehensive product range and customer service. < />The industry's turnover is expected to increase by an average of 0.5% per year to 79.6 billion euros between 2024 and 2029. Topics such as digitalisation and sustainability, particularly in the area of energy efficiency, will continue to occupy the industry in the coming years. The networking of value chains with suppliers and customers and the adaptation of the product range to the growing interest in sustainable products are likely to be of particular importance.

Trends and Insights

  • The development of industry sales is heavily dependent on construction activity. Housing construction has flourished in recent years, which has boosted sales of construction elements. However, the key interest rate hikes by the European Central Bank since 2022 have made property financing more expensive, which is hurting the construction industry and therefore also the wholesale trade.
  • The demand for heating installation requirements is currently increasing Due to the current high energy costs, many households are replacing their heating systems with modern, more energy-efficient alternatives. This is further strengthening the trend towards more sustainable buildings that has already been observed in recent years.
  • Wholesalers prefer to locate near their customers. A particularly large number of industry customers such as DIY stores have settled in the Central and Southern regions, as both the population and the average consumer income are high there.
  • Competitive pressure comes primarily from the manufacturers of radiators and boilers. In recent years, many manufacturers have used the direct sales channel to the end customer, bypassing the wholesale trade, which has come under additional price pressure as a result.

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  • Critical performance data and rankings
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 0.4 % over the past five years, to reach an estimated €77.5bn in 2024.

Trends and Insights

The sector is benefiting from ongoing urbanisation, but is suffering from high interest rates on construction loans

  • The sales trend in the wholesale of sanitary installation supplies and construction elements is closely intertwined with that of the construction sector.
  • Additional trends and insights available with purchase
Hardware, Plumbing & Heating Equipment Wholesaling in Germany
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

The revitalisation of the construction industry should support growth in the wholesale of plumbing supplies and building elements

  • Growth in the building construction sector is likely to improve again in the future. The main reason for this is the first reduction in the European base rate since the European Central Bank's interest rate turnaround in 2022, which made construction and property financing more expensive. As a result, there were cancellations of new construction projects and a decline in the number of building permits.

Biggest companies in the Hardware, Plumbing & Heating Equipment Wholesaling in Germany

Company
Market Share (%)
2024
Revenue (€m)
2024
GC Großhandels Contor GmbH
3,535.4
Richter+Frenzel GmbH & Co. KG
1,213.2
Schüco International KG
795.2

To view the market share and analysis for all 5 top companies in this industry, view purchase options.

Products & Services Segmentation

Hardware, Plumbing & Heating Equipment Wholesaling in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Gas, water and heating installation requirements, Building supplies and Tools and hardware. Gas, water and heating installation requirements is the largest segment of the Hardware, Plumbing & Heating Equipment Wholesaling in Germany.

Trends and Insights

High energy costs are fuelling demand for gas, water and heating installations

  • This segment includes radiators and boilers, bathtubs and sinks that are not made of ceramic, sanitary fittings and valves.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Companies in this sector trade in installation supplies for sanitary facilities and heating systems. The sector also sells hand tools and small hardware items as well as metal and plastic construction elements. The wholesale trade in sanitary ceramics is not part of this sector.

What's included in this industry?

Gas, water and heating installation requirementsBuilding suppliesTools and hardware

Companies

GC Großhandels Contor GmbHRichter+Frenzel GmbH & Co. KGSchüco International KG

Purchase this report to view all 5 major companies in this industry.

Related Terms

B2BCONSTRUCTIONURBANISATION

Industry Code

WZ 2008

WZ 46.74 - Hardware, Plumbing & Heating Equipment Wholesaling in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The development of industry sales is heavily dependent on construction activity. Housing construction has flourished in recent years, which has boosted sales of construction ...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The demand for heating installation requirements is currently increasing Due to the current high energy costs, many households are replacing their heating systems with modern,...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Wholesalers prefer to locate near their customers. A particularly large number of industry customers such as DIY stores have settled in the Central and Southern regions, as b...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Competitive pressure comes primarily from the manufacturers of radiators and boilers. In recent years, many manufacturers have used the direct sales channel to the end custom...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

There are no major players in the sector. The companies in the sector are mainly small and medium-sized wholesalers that operate regionally and only have one or two locations...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of GC Großhandels Contor GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Richter+Frenzel GmbH & Co. KG's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Schüco International KG's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 2 additional companies

Detailed analysis

  • Description and key data for GC Großhandels Contor GmbH, and factors influencing its performance in the industry
  • Description and key data for Richter+Frenzel GmbH & Co. KG, and factors influencing its performance in the industry
  • Description and key data for Schüco International KG, and factors influencing its performance in the industry
  • Description, key data and performance trends for 2 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Depending on the season and weather, sales can fluctuate in the industry. For example, construction projects are often delayed during a long winter, resulting in a temporary ...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Intense price competition leaves no room for high profit margins. However, wholesalers in the industry can increase their profitability if they succeed in negotiating volume ...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany in 2024?

The market size of the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany is €77.5bn in 2024.

How many businesses are there in the Hardware, Plumbing & Heating Equipment Wholesaling in Germany industry in 2024?

There are 7,477 businesses in the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany, which has declined at a CAGR of 1.0 % between 2019 and 2024.

Has the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany grown or declined over the past 5 years?

The market size of the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany has been growing at a CAGR of 0.4 % between 2019 and 2024.

What is the forecast growth of the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany over the next 5 years?

Over the next five years, the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany is expected to grow.

What are the biggest companies in the Hardware, Plumbing & Heating Equipment Wholesaling market in Germany?

The biggest companies operating in the Hardware, Plumbing & Heating Equipment Wholesaling market in Germany are GC Großhandels Contor GmbH, Richter+Frenzel GmbH & Co. KG and Schüco International KG

What does the Hardware, Plumbing & Heating Equipment Wholesaling in Germany include?

Gas, water and heating installation requirements and Building supplies are part of the Hardware, Plumbing & Heating Equipment Wholesaling industry.

Which companies have the highest market share in the Hardware, Plumbing & Heating Equipment Wholesaling in Germany?

The company holding the most market share in Germany is GC Großhandels Contor GmbH.

How competitive is the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany?

The level of competition is high and steady in the Hardware, Plumbing & Heating Equipment Wholesaling industry in Germany.

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Competitors

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Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.