In 2000, the consumer market for power tools was worth an estimated £264m at retail selling prices (rsp), with accessories contributing a further £67m. The following 12 months saw more modest growth than in recent years, and
Key Note estimates the value of the market at £277m in 2001, with sales of accessories remaining at £67m.

The power tools sold to the consumer sector include drills, screwdrivers and combined drill/drivers, saws, sanders, angle grinders, planers, routers, multifunction tools, decorating tools (wallpaper strippers, painting systems, paint sprays and heat guns), wet-and-dry vacuum cleaners designed for DIY or outdoor use, pressure washers, steam cleaners, tackers, staplers, glue guns, scrapers and electric brushes. Growth has been strongest in cordless tools and innovative products, such as multisanders and powered paint sprays.

The market is affected by the general level of spending on DIY, which has been strong in recent years, owing to the growth in the housing market and the popularity of television programmes focusing on DIY and interior design. In 1999 and 2000, growth in sales of power tools and accessories outperformed overall growth in spending on DIY goods. This was the result of a high level of product innovation and the availability of lower-priced, entry-level tools.

After showing double-digit value growth for several years, the market for power tools (excluding accessories) slowed in 2001. Volume growth still exceeds value growth. There were two important related trends in 2001: the influx of low-priced products from China and other countries with low labour costs accelerated, and sales of superstores' own-label ranges boomed, to the detriment of some of the established brands.

Despite the pressure on prices, Key Note forecasts continued growth in the market, at least in line with the growth in spending on DIY, with sales of power tools growing in value by around 5 percent per year, and accessories by 4 percent to 5 percent per year, between 2002 and 2006.