Home furnishing companies expand their existing businesses and seek to "winter"

2011 is destined to be an unusual year in the history of home. The rising cost of raw materials and labor, the restriction of the property market, and the weak consumer market have brought a lot of pressure on the home furnishing industry. How to seize business opportunities and create brilliance in a dull market? The industry believes that expanding existing businesses, tapping new related fields, closely following policies, and launching online sales business will undoubtedly become the industry's “winter” way.


Home furnishing companies are seeking to "winter"

Home business expands existing business

Each home furnishing company is also striving to find new breakthrough points in the specific market strategy and channel development, transforming the market segment and expanding the existing business. Shengde Decoration has been committed to the operation of its brand Kaishangmumen; Boloni Decoration has increased its brand. The development of products, Jimei Home is aimed at the Beijing suburbs market, Ouhua Shangmei has played a direct marketing card since August, and now the decoration further deepens the brand features, and continues to create a classic case of the old house transformation; Wrigley bathroom began in various supermarkets Opened its own cabinet marketing point, the top 100 furniture also created the top 100 international homes for high-end customers. Home and Jiamei are committed to building the largest hotel market in Beijing with the highest quality and highest grade. Guo Kui, general manager of Ouhua Shangmei, said that in the home market and the homogenization of the Beijing store system, mining business opportunities in new areas may increase the survival and development of enterprises.

Home improvement business targeting security housing

It is worth mentioning that the collective transformation of the entire home improvement industry, from the situation of the first three quarters, the performance of many home improvement enterprises is not very satisfactory, and the form of next year is still unclear, real estate regulation, in addition to the impact of products Home improvement companies are also among the home furnishing companies that sell. On the other hand, as the country strives to promote the construction of affordable housing, the share of affordable housing in real estate development will continue to grow in the coming years. The reporter learned that the home improvement enterprises that used the "fine decoration" as the mainstream production mode have already taken the route of batch decoration. The company began to sell in the form of a package. Such as the 70 square meters "35500 economic package" launched by Shichuang Decoration, the "economical affordable housing package" launched by the current decoration, and the 60 square meters of the complete set of "economical affordable housing 5S finished home" launched by Yaguangya, the cost is even more Controlled at the level of 30,000 yuan. This package product of home improvement business is tantamount to fixed-scale production and seems to run counter to the current market trend. In this regard, some analysts believe that this change in home improvement enterprises is only a temporary strategy to cope with market changes. As with active investment in affordable housing projects, low-margin oppressors must be customized to control costs. And when the market environment improves, the mainstream of personalized decoration will still return.

Single product pursues e-commerce model

“The regulation of the property market, the rising prices of raw materials, and the escalation of competition, the days of home furnishing companies are no longer as good as they used to be.” A home business executives commented on the current situation facing the industry. In the face of heavy pressure, more and more companies are no longer fighting each other, and instead warm up. Among them, the most interesting thing is to introduce e-commerce. It is understood that a number of well-known home furnishing companies including Qumei, Shengxiang, Nature, TATA wooden doors have already tested water e-commerce. On May 27th, the opening of the Taobao Mall Aibo Home Experience Center caused a sensation in the industry. The cooperation with Taobao included well-known brands such as All-Friends Furniture and Top 100 Furniture. As the new member of the store, the home of Xianghe also said that it will build the largest online home shopping mall consultation display platform to facilitate consumers to more fully understand product information and business trends, and obtain the promotion policies and new products of home stores and brand merchants in the first time. Through a comprehensive propaganda strategy, the shopping group is firmly locked. The business websites that specialize in online purchase of household items, such as Qijia.com, also have a significant year-on-year increase in sales of major nodes compared to last year.

It’s better to say “cool” than to be cool.

“In fact, the customer’s needs are more precise. If there is a demand for a house to buy a house, then change the house and then decorate it. Only after purchasing various home decoration and building materials. This is actually back to the self-sufficiency of each industry, that is, to provide Real service. The real estate bubble is gone, no matter how many opportunities are left, it is genuine. Just satisfying these needs is your own market. It is better to say that it is more calm than the market is cold." . Han Xiaojing, marketing director of Shichuang Decoration, said. Yin Bo, general manager of Lan Jingli, said: "Home furnishing enterprises should adapt to changes in the environment, rather than waiting for environmental changes." Whether it is service, refine market, industry transformation, or structural adjustment, open up new e-commerce fields, All of them are tests of the changing ability, adaptability and product combination ability of a home-based enterprise. Home furnishing enterprises should strive to adjust the time and strain to adapt to the “variable market”.

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