Furniture business sinks three or four lines to find new profit points

Furniture is a product that is born on the trend, and the advancement of the trend will inevitably make the product popular. However, the rise or popularity of furniture is still linked to the real estate industry. The real estate industry not only dominates the living space of furniture, but also dominates the width of the market.

Merchants sinking three or four lines to find new profit points home market welcome Xiaoyangchun

The rise and fall of the real estate industry directly affects the life of some furniture companies, so how to avoid the downturn in the real estate industry is a common issue for furniture companies.

According to industry insiders, the wait-and-see period of real estate transactions is a kind of problem, and this kind of problem is not long-term. For the industry represented by furniture in the downstream, the future market space of the furniture industry still has great potential. With the further acceleration of China's urban process and the in-depth advancement of new rural construction, a large number of affordable and applicable furniture are needed. China's furniture market still has great development potential in the future.

When visiting a number of Kunming home building materials stores, the reporter found that most of the merchants said that they should cut into the three aspects of new channels, new models and new fields, and put forward "people-oriented, channel sinking, model innovation, and extending the home industry chain". "Self-help" new tricks.

People-oriented is the key to winning

"In the fierce market competition, the survival and development of enterprises is fundamentally human. The ancients said: 'The rationality of human feelings cannot be ignored.' This shows that only the characteristics of human beings, the laws of human beings, and the desires of human beings are met. Emotion, action can meet objective reality. Decisive victory is not an empty talk, its essence is to win the consumer. Whoever wins the consumer wins the market. Therefore, pay attention to consumers, respect consumers, and maximize the satisfaction of consumers. Naturally, it has become a magic weapon for corporate marketing." Zhang Xiaoguang, general manager of Baijilong Home, believes.

In the new century, with the advent of the knowledge economy and the information age, the further development of the social economy, the material products are increasingly enriched, the market competition is gradually intensifying, people's consumption concepts are also developing toward the higher levels, and the degree of spiritual consumption and psychological consumption is also coming. The higher, the individualization, visualization, vividness, fashion, externalization and naturalization become the general trend and characteristics. A marketing expert wrote: "Consumer preferences are becoming more and more difficult to understand, consumers' eyes are becoming more and more sinister, consumers' legal awareness and environmental awareness are becoming more and more intense, and consumers are increasingly difficult to wait." The dealer lamented the consumer, "I don't understand your mind." All of this will eventually settle down to humanity. This kind of consumer demand with humanized color can only be achieved through humanized marketing.

"Humanized new developments and new changes have provided new markets for merchants. Humanized marketing as the best way to meet humanized needs will become the core and fundamental of brand marketing in the new era. Enterprises only use products and consumers. This bond of humanity is connected, everything is in the place, with emotion, moving with sincerity, with materiality, truly thinking for the customer, thinking for the customer, and deepening this concept into the marrow, reflected in the words, reflected in the staff Between the gestures, we can establish a good brand image, truly win customers and control the market.” Zhang Cheng, Director of Operation Department of Desheng Home Group made a good comment.

Sinking into third- and fourth-tier cities

Along with this year's property market restrictions, the volume of transactions continued to fall. Many household companies' performance figures were not satisfactory, forcing them to constantly seek new profit points. Zhang Xiaoguang, general manager of Baijilong Home, said that some companies have already made a clear-cut approach to starting from new channels.

Red Star Macalline, which opened stores in more than 60 cities across the country, will focus on developing second- and third-tier cities with potential this year. The relevant person of Red Star Meikailong believes that the first-tier cities that are currently saturated are currently subdividing demand and taking specialization and specialization.

Zhang Cheng believes that the real estate market volatility is a temporary phenomenon. "Rigid demand still exists. Married newcomers and families with conditional housing exchanges will still buy houses, decorate and buy furniture again." He said that September and October each year. It is the peak season for building materials sales, and then it will turn weaker; from the end of October to the Spring Festival, it is the peak season for furniture sales; from April onwards, building materials sales will usher in a new round of sales. “Therefore, the impact of real estate regulation is only For the time being, the decline in sales is not enough."

After experiencing the rapid growth of the real estate market, the home improvement companies and home stores in the downstream real estate industry have sprung up; nowadays, under fierce competition, various businesses have adopted promotional methods to win the market. There are more promotions, and consumers are beginning to become indifferent. How to occupy the market is not necessarily the price but the quality of service. Therefore, home building materials companies should be more confident from the factors that consumers care most about. Zhang Cheng said calmly.

Recognize the situation and enhance confidence

The National Building Materials Circulation Index (BHI), which was also released by the China Building Materials Circulation Association, is still trembling. In 2011, there were about 3,500 home building materials above designated size in China, with annual sales of 1.28 trillion yuan, a year-on-year increase of 16.34%. The growth rate dropped by 5.64 percentage points from the previous year. The highest annual prosperity was 121.29 in May, which was 13.61 points higher than the highest in the previous year (still in May). The lowest value of this year's prosperity was 81.5 in February, and the comparable March was 98.16, compared with the previous year. In the same period, it dropped 1.84 points. It is worth mentioning that in January 2010, BHI was only 85.74, down 15.13% year-on-year, and the chain was down 18.9%.

Although there is no “double down” situation, the overall downward trend is obvious. Still let us see a cold winter in the spring, the situation that the building materials and home furnishing market gradually turned into the off-season in December last year will continue, and even this weak situation will occupy the first quarter of this year.

In fact, since the building materials home market has turned into the off-season, all the stores have done their homework, and started their own off-season marketing strategies to normalize the holiday promotion.

There is also hope in the building materials home store in 2012. The first is to change business ideas, transform retail sales to supporting supply, and eat and protect the big cake. Second, strengthen service innovation, introduce decoration design and construction, and stimulate and induce the re-decoration of existing households (old houses); The third is to enhance the company's ability to withstand pressure, and to warm up the group. Once the economic situation changes, it can be outstretched. The fourth is to do a good job in building credibility, do a good job in brand promotion, and practice internal strength.

Home industry or ushered in Xiaoyangchun

Under the influence of the market economy, the peaks and valleys will alternate. With the continuous introduction of the real estate new policy follow-up policy, after the property market price has landed smoothly in a certain location, it will set off a new wave of purchases, which will drive the development of sales in the home furnishing industry, and make the home furnishing industry ushered in a small spring after the sales decline.

The rebound after the wave trough is expected. We can't understand the policy of the country's introduction. The purpose of the state's property market policy is to "prevent the excessive rise of housing prices in some cities and effectively solve the housing problem of urban residents." Fundamentally suppressing the development of real estate, more is aimed at investment buyers, giving real consumers more opportunities and space to purchase houses. Under such circumstances, as the demand for rigidity is further satisfied, the furniture market may welcome more opportunities and more space.

After more than a year of adjustment, the property market price has become more reasonable, and consumer enthusiasm for purchase will also drive the positive development of the home industry. The target customers targeted by the furniture industry are often the real consumers who buy from the house.

The overall situation has been set, what measures should the home industry take to stabilize the market before the sales volume declines? Red Star Macalline, Desheng Home, Baiji Long Home, B&Q and other home building materials companies agree that the development strategy is better. As we all know, speculative buyers can not bring actual economic benefits to the home furnishing industry. On the contrary, rigid demanders and demanders of improved housing are the main force of terminal consumption, that is, they control the sales performance of the home industry.

For the demand for the decoration of rigid demanders, the purpose of their decoration is to improve the quality of life. Therefore, when choosing large household items or decoration materials, it tends to be in the middle and high-end products, because the low-end household products market will be affected. In this market context, home furnishing enterprises should adjust their development strategies as soon as possible and adjust the proportion of production of products to expand the market share in the chaotic period of the property market. The so-called speculation is based on profit-making.

Encourage industry technology to increase efficiency. When the market expectations are not accurate enough, the rapid expansion of production capacity and market expectations of the home industry and the relatively shrinking market demand will create difficult contradictions. Therefore, the use of technology to improve work efficiency and thus reduce product costs is the best means for enterprises to survive difficult times. In the market's bearish environment, home furnishing enterprises will also stimulate the enthusiasm of industry technology to improve efficiency, the quality of home furnishing products will be improved to a certain extent, and the reduction of product costs will make a great contribution to the smooth transition of home furnishing enterprises.

When the reporter talked with Zhang Xiaoguang, he remembered the words he said - the home products should be fast-moving consumer goods! With the development of the market, the people's consumption level, the improvement of the quality of life, the sofas, coffee tables, and old-fashioned decoration styles in the home will be replaced. "A set of furniture with a lifetime" will always be history, and "changing furniture like changing clothes" will make the home industry enter a new era of efficient development! Of course, this will take time. At the same time, it will take the home business to learn from the successful experience, adjust the industrial structure appropriately, and speed up the pace of technology to reduce costs.

Furniture companies should turn the current market direction of the property market to the direction of the residential market with low furniture penetration rate, let the furniture face the true largest original market, and become the propaganda guide, the original brand, the brand, and the original market. It is the ultimate goal of the furniture industry.

In short, the building materials and home furnishing market in 2012 is a year of oscillation. Hope and difficulties coexist. Who can win the pressure before us, who will become the winner.

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