Optimistic retailers aim to stay strong and refuse to accept doom and gloom.
DIY and garden retailers in the UK are experiencing their worst summer since 2004, according to GfK's market information.

Two poor summers combined with cutbacks on spending has had a massive impact on the DIY industry with sales of £705m needing to be achieved this month to boost summer sales above the £2bn mark.

For this to happen, retailers would need to have their best August since 2005. Looking at the weather so far, this may seem impossible. However, DIY Week spoke exclusively to some of the largest retailers in the industry, was encouraged to find that resolution has stayed strong and a certain amount of optimism is still loitering in the wings.

Managing director of Tile Giant, Mo Iqbal, is determined not to let the current economic climate affect the company's plans. "There's no end of bad news in the media about the effect of the credit crunch on retail, but our aim is to continue to open branches in good locations and take market share."

The total market value for DIY has fall from £2.085bn in summer 2006 to £2.063m in summer 2007 as a result of a dry summer with hosepipe bans, followed by a summer season characterised by heavy rainfall and flooding.

Although summer 2008 has been more typical, sales in June and July are still well below those seen in 2005.

Daniel Fearnley, account manager at GfK explained: "This year we all hoped for a strong summer with warm weather but no hosepipe ban to get consumers back into the garden spending money on leisure products."

He continued: Unfortunately the summer sun has been less than consistent - which, combined with the credit crunch, means retailers are banking on the perfect August."

Talking about the August Bank holiday, which tends to mark the final spate of summer DIY and garden spending, Mr Fearnley said: "Retailers across the country will be crossing their fingers and hoping for a favourable weather forecast."

Lee Tiffin, business manager at Leekes, described the financial year so far as 'the perfect DIY storm' with a poor Easter and the worst summer in his memory.

He also accused the media of 'whipping retailers up into a frenzy' and convincing them that they can't afford to spend any money. "We are now being told we are going into a recession and there is no light at the end of the tunnel until 2010 at the earliest."

B&Q appreciates the climate is difficult but has suffered no ill effects as yet.

A spokesperson for the company said: "The UK market remains extremely tough, but B&Q is trading solidly as shown by sales figures showing a 0.2% rise in the ten weeks to July 12.

To help encourage spending and keep within customers' tight budgets the company told DIY Week it is offering price discounts on garden furniture and selected bedroom and bathroom ranges.

Homabse believes retailers can stay strong if they concentrate on keeping costs down. A spokesperson said: "DIY retailers will be severely challenged to maintain current financial performance.

"However, the long-run drive to improve product ranges, expand choice, upgrade stores and improve service will continue. A great deal of the short term focus will be on cost and margin efficiency."

Wickes md Jeremy Bird thinks retailers will be in for a fight to make the sales. "The economy is going to be tight for a good period of time and it has reduced people's disposable income. All in all there is less money in consumers' pockets so retailers are all fighting harder for that money."

A spokesperson for the company believes that Wickes has nothing to worry about as it has an effective strategy in place to help it cope with tough trading conditions. "Wickes continues to grow market share by concentrating on our well established and successful business strategy."