Acquisitions Highlight Growth for Custom, Luxury Windows and Doors

Windows and doors are key components of a home’s overall aesthetic.  Popular programs on HGTV and the DIY Network, for instance, illustrate the importance of custom designs and personalization for setting a home apart, reflecting the homeowner’s tastes and style, and boosting overall curb appeal.

Window & Door Suppliers Boost Presence in High-End, Custom Markets

Major players in the US window and door industry are responding to these design trends by launching new premium product lines, as well as by expanding customization services that provide customers with more options. 

Merger and acquisition activity is also key for companies looking to expand their capabilities in high-end, custom window and door segments.  According to analysts at The Freedonia Group, “While the more premium window and door product categories continue to account for a smaller portion of overall demand, healthy sales gains in these segments are prompting firms to boost their exposure in higher end markets.” 

Acquisitions are an important strategy here, enabling suppliers to:

• reach new markets and expand their customer base
• increase product offerings, as well as grow specialty and service capabilities
• gain access to key technologies and/or popular product tradenames

Growth in Premium Windows & Doors Fuels Acquisition Activity

Leading window and door manufacturer JELD-WEN has engaged in significant acquisition activity in the past two years to expand its foothold in custom and luxury markets.  JELD-WEN has purchased the following companies:

• Milliken Millwork (MMI Door, acquired in August 2017) – an important distributor of doors (including JELD-WEN products) and provider of customization services that will further expand JELD-WEN’s market reach in the Midwest.
• LaCantina Doors (October 2015) – a manufacturer of high-end folding and multislide patio doors that will increase JELD-WEN’s foothold in the quickly growing market for large glass area, multipanel patio door systems.
• Karona (September 2015) – a producer of specialty wood stile-and-rail doors, a product segment that is expected to see above average gains as homeowners continue to upgrade to higher quality panel interior doors.

Pella – another major player in the US window and door industry – has participated in similar acquisition activity to boost its specialty and high-end product offerings.  Recent acquisitions by Pella include:

• Duratherm Windows (November 2016) – a designer and manufacturer of high-end customizable wood windows and doors that will benefit Pella due to its good reputation, luxury Duratherm brand name, and geographic reach along both the east and west coasts.
• Reilly Windows & Doors (July 2016) – a designer and manufacturer of custom window walls and doors that Pella is integrating into its Pella Crafted Luxury collection (along with Duratherm products), which targets high-end residential markets.
• Grabill (May 2015) – a producer of custom luxury windows and doors (e.g., window walls and multislide patio door systems) for elite residential and commercial markets.

Leading window and door manufacturer, Marvin Companies, also expanded its footprint in the premium segment through its purchase of TruStile Doors in May 2015.  TruStile Doors manufactures custom wood stile-and-rail doors for interior applications in high-end homes and commercial properties. 

Find Out More!

To learn more about additional supplier activities and other key trends in the US window and door industry, check out three new reports from The Freedonia Group:

• Windows Market in the US
• Doors Market in the US
• Windows & Doors Market Forecasts

These reports offer analysis covering:

• key material trends
• leading markets (new residential, residential I&R, new commercial, commercial I&R)
• major product types (e.g., double-hung & casement windows; entry, interior, & patio doors)
• trends by US region and subregion
• industry composition and market share

About the Author:

Carolyn Zulandt is an Industry Analyst at the Freedonia Group where her work covers topics related to the US and Global Chemicals and Construction and Building Products markets.