Construction industry growth in 2020 has been encouraging.
Despite being in a recession, the construction industry was reported to have grown during the early stages of 2011. Whether this will continue through 2011 or not is anyone’s guess; but the results so far have been positive.
This is a welcome sign for many construction firms that are close to closure due to the global downturn. However the UK is experiencing a population explosion; with more people coming into the UK from abroad and UK birth rates going up the need for houses and facilities is growing ever greater. In 2020 we hope that Brexit will plug one of these problems.
Sector companies therefore can take a sigh of relief that things are starting to turn and the green shoots that were mentioned a few years ago now, are starting to show themselves.
In terms of marketing, construction firms should be starting to get the construction markeitng wheels turning. Getting PR out about themselves will help in creating a media buzz. The more buzz there is, the more the markeitng wheels will turn.
The sector in the UK historically has been very slow with regards to their marketing. Relying mainly on word of mouth for new business the industry has ticked along very nicely and thanks to the boom years back in 2002 construction companys could freely pick and choose the projects that they wanted to work on.
This has all changed in recent years as things stopped suddenly with the world market collapse in 2009 (the so called ‘credit crunch’). How much of this was media led and how much was actual crisis is anyone’s guess. Many blame it on the banking industry, taking big risks with borrowed money they fell into insolvency and the need for government support was called for (as the banks were too large to fail).
The media has a way of manipulating things that is quite unique. If they shout ‘fire’ then everyone panics. If they say all is well and things are great – everyone believes it. The world is dominated by the media and in many ways; they have a responsibility to ensure that things tick along. Construction industry growth has been slow, but ‘green shoots’ have been spotted.
This being the case, if the construction industry reports that all is well, and then the general consensus will be that all is well. It has been boosted by government borrowing, but how long can it be continued to be supported?