As someone who’s exclusively headhunted within the Building Product industry since 2004, our industry is often beaten up for our lack of innovation and pace of driving change.

Specific to the UK bathroom and plumbing industry, from what I’ve witnessed, it is undergoing significant transformation. And this is affecting the skillsets companies are prioritising from their senior level recruitment investment.

Driven by technological innovation, prioritising sustainable improvements, supply chain evolution, and changing consumer behaviours, executives are having to position their organisations to capitalise on these developments.

Digital Integration and Smart Technology

The number of new products that were showcased during last year’s Installer Show clearly demonstrates this trend.

For most end users – be this commercial or residential - the integration of IoT and AI has moved from novelty to necessity. Smart systems offering water usage analytics, predictive maintenance, and personalised user experiences have seen significant market growth since 2023. The divide between digitally enhanced and traditional offerings continues to widen, with technology adoption becoming a key differentiator for market leadership.

I’ve seen a big shift in skillsets sought to stay one step ahead of competition. Much like commercial suppliers within the allied HVAC market, manufacturers are waking up to the profitable impact reoccurring revenue streams have on offering maintenance programmes as part of their wider services.

Sustainability Driven Innovation

This will not come as a surprise to our industry. Many businesses are, quite rightly, having to factor in the need to acquire people with strong skillsets in sustainability across such functions as R&D, operations, and commercial.

Having been successfully rolled out in Australia, the British government is adopting their own Water Efficiency Labelling and Standards scheme. In turn, this dictates products demonstrating measurable sustainability credentials command premium pricing, despite challenging economic conditions. We’ve all seen the heightened introduction of ultra-low flow fixtures which utilise enhanced pressure technology.

Across the whole of the Building Product industry, I’ve witnessed a positive shift to circular economy principles - reshaping product development, with modular design and component reusability as examples.

Supply Chain Restructuring

From what I’ve witnessed over the past three years, companies are moving production back to the UK because of global tensions and changes to UK-EU trade rules. Additionally, many established players have taken the opportunity to review component suppliers and move away from partnership often held for decades.

Clearly, this shift helps companies deliver products faster and offer more customised options.

Companies have also changed how they manage inventory. Instead of keeping minimal stock (just-in-time), businesses are now storing more components on hand to avoid disruptions.

Companies are looking to take back the control of their supply chain, and I’ve witnessed an increased interest in investing in leaders from strong procurement, supply chain, logistics and (more broadly) operations backgrounds.

Market Polarization and Premium Segmentation

From listening to clients and leaders, the market is splitting into two main segments: high-end, tech-enhanced products and budget-friendly options. It would seem that the middle price range are losing popularity. Despite economic challenges, expensive bathroom renovations continue to appeal to the markets served. This trend rings true within fenestration, too – premium window and door systems continue to perform well, and the distressed market will never fall off a cliff.

Added to this, from what I’ve witnessed, the fastest growing sales approach combines design services, installation management, and extended warranties as a complete package. It’s certainly where the high-end margins and forecastable revenue streams are heading.

As these industry shifts accelerate, manufacturers must invest in leadership positions that specifically address emerging priorities. Traditional roles are evolving—today's Technical Directors require data analytics expertise, while Commercial Directors must understand subscription-based business models. Forward-thinking manufacturers are creating new positions like Chief Sustainability Officers and Digital Experience Directors to navigate these changes effectively.

If you’re seeking the competitive advantage in this evolving landscape, I’d welcome of the opportunity to discuss how these trends might impact your executive team structure and talent requirements. Drop me a note for a confidential conversation.

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