Trends like the energy transition, electrification and in certain areas housing shortages cause a huge demand for installation work. Also, new buildings and their systems are becoming increasingly complex, often making the installation more complex and time consuming.
Meanwhile, there is a demographic factor at play that heavily influences the supply side of the qualified labour equation. Due to an aging population, the number of installers retiring is greater than the number of young installers entering the sector. The resulting labour shortages are an ever more pressing issue in the installation sector.
More than half of electrical installation companies experience a labour shortage
To gauge how this affects electrical installation companies in practice, we asked electrical installers from seven European countries whether they experience or expect labour shortage in their company, and how they plan to deal with it.
The results, which are included in the Q2 report of USP Marketing Consultancy’s Electrical Installation Monitor, show that over half of electrical installers mention they are experiencing a labour shortage in their company. This share varies from 44% of installers in France, to a whopping 66% in Spain.
The main solution is to hire non-qualified staff
The most mentioned way to deal with labour shortage is to hire non-qualified staff and educate them within the installation company. This shows that the shortage is first and foremost a qualitative labor shortage. Installers expect to solve this by hiring non-qualified staff and training them up to the desired level of qualification.
Given that this is the most mentioned solution by quite a distance, we expect the need for training for installers to increase in the coming years. Next to training institutes and other professional educational organisations, manufacturers can play an interesting role here as well.
Excellent opportunity for manufacturers to improve customer intimacy
The demand for training provides manufacturers with an excellent opportunity to differentiate and add value to their brand. Product differentiation is getting harder and harder in the installation market, which means manufacturers need to focus more on services to distinguish themselves. Providing training as a service can do just that.
The training itself provides an opportunity to fully engage with the installers and demonstrate your dedication to their needs. Along with the training, new products and developments can be presented. Over coffee breaks or lunch, a true connection can be made with the trainees, who are all potential future customers and users of installation products.
These ways of improving customer intimacy can be very lucrative, as our research also shows that a large share of installers who follow training from manufacturers are more inclined to use their brands. For a full overview of the training needs and demands of electrical installers in seven countries, check out USP Marketing Consultancy’s Electrical Installation Monitor.