European DIY retailing 2007 analyses the market conditions as average EU sales densities have begun to fall. The report looks at the dynamics, growth trends and drivers, key indicators and provides detailed recommendations.

It also profiles the top operators in the market including Kingfisher, Leroy Merlin and OBI, covering market share performance of the European Top Ten.

In 2005 the European DIY market grew by 2.2% to EUR126bn and it is expected to grow by another 2.0% in 2006. However at the same time the average EU sales density has started to decline by 1.2%, with the top two markets showing worrying prospects. Germany's outlook is bleak and the UK market has gone into reverse.

In Eastern Europe growth in DIY expenditure has slowed somewhat from its peak of 19.6% in 2000-01 to 8.0% in 2004-05. In order to exploit the buoyant growth a number of players have established operations in these markets in recent years. Consequently, the Eastern European markets of the EU are now quite saturated with Western DIY retailers.

Further consolidation across a number of European DIY markets appears inevitable over the next years. A number of recent events indicate that the wheels of the consolidation bandwagon have already begun to roll. The merger of two smaller German players - Hagebau and ZEUS and Praktiker's acquisition of rival Max Bahr in August 2006 confirms this.