How Covid-19 has Changed NZ’s Construction Industry

NZ’s Covid-19 response has made our country a desirable place to live. Many overseas Kiwis have returned home while very few are leaving our shores, leading to a significant population growth. With more people staying put, there’s been a huge surge in investing in property, heating up an already hot property market.

What does this mean for the construction industry?

Simply put, the residential construction sector is booming, and the commercial construction sector has seen record levels of advanced work. The NZ economy, and the construction industry in particular, is in a very strong position. We’ve noticed:

• The demand for housing is exceeding supply

• House prices are increasing

• More homeowners are renovating their homes

• Builders are struggling to keep up with demand

More Kiwis investing in construction businesses

This strong economic position coupled with a booming housing market has seen a change in people’s attitudes towards work. Rather than slogging away for somebody else, experienced individuals are now investing their efforts into their own business to grow personal wealth.

The construction sector, particularly the residential market, is a sound investment. However, while managing specialist operations like plumbing and electrical businesses require extensive trade knowledge, and group housing franchises involve significant early investment, scaffolding is a relatively easy business to operate. It’s a growing industry and regulation around scaffolding is not likely to go away.

Why INTAKS stands out from the pack

If you are interested in owning a profitable scaffolding company with heaps of potential, it’s important to find the right fit. Here’s why INTAKS stands out from the pack:

• Our scaffolding equipment is purpose-designed for the residential market and commercial edge protection, which means less gear on site and a cleaner, better worksite for builders and other tradies.

• We use aluminium – unlike much of the competition using heavy steel that requires more trucks and hiabs to deliver, our lightweight aluminium is easy to transport, significantly reducing your handling costs.

• Wage costs can be reduced due to quick install and dismantle times and, on shorter-term residential-type projects, wages is typically the greatest single operating cost. Controlling wages is therefore key to profitability.

• Our technology is cutting edge, letting owners quickly build a profitable business in a busy and competitive market.

By providing the ability to dramatically reduce wage and transport costs on your projects, while still achieving the same revenue as your competitors, INTAKS equipment allows you to generate higher margins. In other words, you either get a greater profit than the competition, or a similar profit level with a smaller operation.

An eye to the future

Even if the market changes down the track, INTAKS operators have insulation from potential downturns as their reduced wage and transport costs allow them to continue working under tighter margins than their competitors will be able to withstand.

Now’s your chance

The unique position NZ is in means that there’s never been a better time to start up your own business in the construction industry. Talk to INTAKS today about our scaffold and edge protection business opportunities.