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2011 Eleven "Flat and slightly long"
The 11th Golden Week in 2011 continued to extend the 11th status in 2010. Overall, this year ’s Golden Week business performance was flat and slightly long, which is a relatively optimistic result. The data is, "This year has increased by about 12% compared to last year." The person in charge of Yifeng Furniture, Boan Furniture and other brands said that this year's performance was basically the same as last year.
Starting from the national macro-control of real estate in 2010, the home furnishing industry has shown a completely different situation compared with the historical high-speed development, from not worrying about selling goods to finding customers. In the context of limited overall market demand, companies pay more attention to changes in market demand, and more and more companies are more actively exploring new growth methods.
Changes in market demand
According to Jiao Fuzheng's analysis, there have been two major changes in the market this year. First, the structure of the consumer population has changed. "Because of purchase restrictions, the demand for improvement and the demand for renters are increasing significantly." Merchants are also changing. The first-tier market reflects very little, the overall competition in the second-tier market is not very fierce, and it is easy to stir up. The first-tier market also changes. Good merchants are very good, and there are many bad merchants. It's rising, but maybe it's a decline in terms of the number of profitable merchants. "
"So the next step is how to reduce ourselves from a level that may be declining or maintaining a level of profitability. It may be a problem that more companies and stores need to pay attention to," said Jiao Fuzheng.
Zhang Fucai, chairman of Qiangli Furniture, believes that one of the characteristics of this year's home market is: 1. Large brands are more rational in their sales promotion, and smaller brands sacrifice profits to discount. 2. The market demand is declining, and the effectiveness of the home store is decreasing. 3. The gap between brands has narrowed, he said: "The gap between large manufacturers and about 10 manufacturers is not very large. This also shows that the market share is declining." Zhang Fucai also mentioned another phenomenon, which is the emergence of workers from small brands in the home talent market.
Yan Guangcai, CEO of OuRen Floors, believes that the demand for household products in the Beijing market has shifted from urban commercial areas to surrounding suburbs, and market demand in Miyun, Yanqing, Fangshan and other places is prominent. From a national point of view, "using the purchase restriction policy as a geographical distinction, the difference between the hot and cold market is obvious." Hua Nai Home Zhang Zhiliang analysis.
Changes in home furnishing companies
As Yan Guangcai said: "The market has shifted from a seller's market to a buyer's market, and the golden age of China's real estate is about to enter a turning point. The furniture and building materials industry must begin to study long-term development strategies." Companies are also seeking their own development route.
Do business
At the end of September, the Top 100 International Furniture Pavilion, covering an area of ​​20,000 square meters and representing many European solid wood brands, was opened. Chen Xiaotai, Chairman of Top 100 Home Furnishing, called it the start of the top 100 commercial operations, which was in parallel with the manufacturing of the Top 100 brands.
"Curve is easier to overtake" This is a point thrown by Chen Xiaotai in an interview in the opening of the Top 100 International Home Museum. Chen Xiaotai believes that when the market is generally bad, it is when the army can emerge, "When everyone is driving normally, it is beyond Opponents are more difficult. Only when there is a detour can we have a chance. The more the market is sluggish, we should make some responses. " Therefore, the top 100 opened a 20,000-square-meter shopping mall when the entire market was relatively sluggish. Chen Xiaotai said: "We also created a lot of momentum on the 11th. We have increased rather than dropped last year. This may be the reason."
Go to the suburbs
Qiangli started to open independent stores in various districts and counties in the suburbs of Beijing as early as a few years ago. Yan Guangcai, the European floor, said: "The Beijing government consciously evacuated the population to the suburbs during the 12th Five-Year Plan period, and the market is undergoing new adjustments." Therefore, the strategy of the Europeans is to "make brands in urban areas and sell in suburbs" into the community. The work of the European floor was carried out earlier, and the decline in sales in the urban area was compensated by the suburbs, and it also helped consumers form loyalty to the brand.
Into the community
Many companies have started to explore the needs of various real estate communities. The marketing director of Feimei Furniture Wang Meng said in the forum: "It is not enough to rely on store sales now. Although Feimei Furniture is a new brand in the industry, but We did the community earlier, and we have been relatively successful in this regard. In this regard, we have also received support from Red Star, including shuttle buses, mall promotion, etc. "
"The community is the terminal extension of stores and shopping malls. Doing a good community is equivalent to expanding the area of ​​the store and extending the effect of the store." Lin Feng, a model furniture agent in Beijing, said that this year, 11 models cooperated with Runze and other communities and have been promoting and following up. It has also received very good results.
After about a year of laid out Oujia flooring, "walking into the community" can bring 5% -10% of sales to Oujia, and it performs well in tapping the needs of secondary decoration. Liu Leitao, Regional Manager of Oujia Flooring, said that the owner's attention is focused on two aspects: integrity and price.
There are still some companies that have not yet entered but are very optimistic. "In entering the community, Coleino has not specifically started to implement it," said Colino Wang Lihua. "But we think that entering the community can drive the sales of the renovation of the old house. The industry as a whole is beneficial. "
Cut into the low-end market
"Market demand can be viewed from three levels: high-end, mid-range, and low-end. If it is flat, it should be at both ends, but the largest part of our market should be at the mid-end. The largest area affected by this regulation is the mid-end. Market, and in the future, the low-end market of the home furnishing industry will become larger and larger with the regulation of real estate policies, "said Zhang Meili, deputy general manager of Boan Home Furnishing.
Therefore, Zhang Meili believes that it is necessary for our furniture companies to quickly enter the low-end market, form a bundle at the terminal and the store, and maintain a calm mind to "winter". At the same time, improving customer service is the best way out.
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Changes in market supply and demand drive furniture companies to change
In 2011, the first-tier purchase-restricted cities officially entered the "effective period" of the New Deal in the property market, and the demand of the home furnishing industry showed a shortage. The diversion of online shopping malls and the substantial expansion of traditional stores have all brought great pressure to home furnishing enterprises, from high-speed blasting development to long-term development. The traditional "Golden Week" gold is no longer, but presents more practical significance.