“The end of the double-season Golden Week promotion season means that the best sales time of the year has passed. Knowing that the market environment is not good this year, we are ready to even relax some traditional off-season, but the sales in October. The situation is still not strong, and the expected sprint has not arrived as expected." The owner of the ceramics store in the Venus Building Materials Market in Luohu Tianbei 4th Road said that this year is not destined to be good.
With the end of "Silver Ten", the final sales season of this year will also be closed. On February 29 this year, the reporter of Nanfang Daily once wrote that "the butterfly industry effect caused by the cooling of the property market" and the home improvement industry fell into "severe winter". Now, one year has passed, and the reporter once again visited eight localities at Tianbei and Baoan North. The home improvement store on the road section, the interviewee told reporters that even in the downturn of the property market last year, the market conditions in the same period have not been so low.
It is worth pondering that although all merchants have adopted a large promotion strategy during the year, the market is still not showing much improvement. The home improvement market is so weak, where is the crux? In the future, how will the home improvement industry move forward?
Whether the store is vacant or not
Since the end of last year, the voices of the home furnishing merchants in the country to close the store and switch jobs have been heard. As early as the beginning of the year, the industry insiders interviewed have predicted that at the end of this year, Shenzhen may have a large number of brands withdrawn.
It is understood that during the double festival in October, the large-scale home stores such as Shenyejiafu, Jinhaima, and Hongxing Meikailong all said that the double-sale promotion greatly improved the performance of the merchants. However, after a brief noisy, the reporters went to the 8 home improvement stores that were visited at the beginning of the year on weekdays and weekends. The traffic was as good as ever. Under such "quietness", there is another kind of dynamic: the vacancy of shops is more obvious than at the beginning of the year.
The reporter observed that some stores have posted more notices of “interior decoration†in the store. Although the vacant phenomenon of the store is there, in general, it does not exceed 10%. However, when the reporter consulted a number of merchants in the store, some merchants told reporters that in July and September each year, the home store was facing the problem of re-signing with the settled merchants. As far as they know, during that time, there were more than a dozen shops in the store to choose to withdraw.
“Clearance†and “One does not stayâ€, the eye-catching promotional language occasionally attracts several citizens to enter the store, but the price is high and the number of boards is small. In the long-lasting downturn, Gong boss, who is doing the door and window business, talked with the store management about the conditions and decided to finish the store this year. “There are not many real estate makers in the store, and it’s not bad to have one or two of them. In addition to the factory-operated stores, most of them are losing money.â€
Gong Bo said that everyone is trying to figure out the aggregation effect, but the situation is not very good. "Now, by the end of the year, how much can be sold and sold, and then the store will be closed. It seems that the situation will be repeated in the year."
Does the road to expansion break through?
While withdrawing from the store and opening the new store, it is a strange phenomenon that the current brand home selling place presents. But whether the expansion of the road can really help the store out of the market "cold period", but people have to doubt.
At the end of July, the new style of the good-looking home in the Buji area opened. According to the introduction, the first weekend of the opening of the store, the traffic volume and volume of the store leaps and bounds, reaching more than three times the usual weekend; in August, the European city Xiangjiang home new opening, known as The first domestic 5G home complex, re-installed for two days, launched a total of 8 million profit-making feedback; September 23, Shenzhen building materials home brand enterprise - Huameiju home life square Shajing store opened, this is the opening of the gorgeous residence in Shenzhen The second store has been opened since then, and various promotional incentives have continued...
For the traditional model of home stores, the field rent is the benefit of its survival. If you do not open a new store or increase your rent, you will not be able to expand your turnover. For home manufacturers and dealers, the downturn in the big environment has made most companies do not want to follow up, but they are worried about their performance and dare not follow up. As a result, the contradiction between market players has become increasingly hot.
The domestic and foreign home improvement enterprises have gradually realized that this state is not desirable. Wang Tingguo, general manager of Milan Spring Radiator, said that the current building materials companies should follow the new store in the store to be selective. "Since last year, there have been many losses in each of the newly opened stores. Some brand stores may be The market share has been blindly opened, which has become a burden for enterprises." He said that in the case of Milan Spring, the opening of new stores has been very targeted.
"As with many industries in the current society, the home industry is now in a surplus stage, including not only products, overcapacity, but also sales stores." Industry expert Mr. Han said, "The threshold is now lower and more homogeneous. Competition is becoming more and more serious, coupled with the impact of the surrounding economic environment, the furniture industry feels very much pressure is inevitable."
It is worth noting that under the premise of poor environmental vitality, the overall home museum can be said to be a new thing in these two years. For example, the Art Exhibition Center has extended the past one and two phases to three phases, and the pavement is still in short supply. Shenzhen's first home furnishing market, “Slow Lifeâ€, Sungang Craft City Phase III Slow Life·Home Jewelry Center, before the opening, 95% of the shops have been rented out.
The Jewelry Boutique or Home Experience Pavilion provides a new space for the sale of furniture. The home products are used as exquisite jewelry to provide a new green for the industry, and the differentiated new stores are maturing.
The property market has a good recovery
The home improvement industry is sluggish. Many people in the industry will point their finger at one round after another, and they will not relax the property market regulation policy. They believe that the overall sluggish property market has dragged down the downstream home building materials industry.
Shenzhen Guohao Furniture Chairman Yu Guozhong reminded enterprises and dealers to have a psychological preparation for a protracted war. "We hope that dealers have a psychological preparation, because it is estimated that within three years, the country's macroeconomic regulation and control should not be too big. The adjustment is not good this year, and next year will not necessarily be good."
“The real estate and home industries, like teeth and Lips , are inextricably linked.†Zhu Changling, chairman of the China Furniture Association, said in an interview that the real estate industry will generally affect the home industry after a year or half a year of downturn.
However, the reporter interviewed many insiders and learned that even if the current trend of the property market recovery can affect the home industry, how good the degree is, the home improvement enterprises have not much confidence.
Whether the real estate market can really recover, this issue is indeed "a bit overhanging." The expression of real estate mentioned in the report of the 18th National Congress has only one “establishing a housing system combining market allocation and government guarantee, and strengthening the construction and management of affordable housingâ€. In this regard, Dong Hao, director of the Real Estate Research Center of Beijing Normal University, believes that this can be seen as the top-level design of the CCP's solution to the housing problem, but this expression is not new, and it has been said for several years.
"In the face of rising housing prices and falling downs, the policy cannot be cancelled in the short term until the right way is found. Even after the 18th National Congress, certain aspects will still be severely suppressed, because as long as they do not suppress, House prices will rise, and housing prices will affect stability, which is a problem without solution." Dong Wei said.
“The home improvement industry must find its own way of living and can no longer rely on real estate†to become the voice of the interviewees. He Xunzhen, chairman of the Guangdong Furniture Chamber of Commerce and chairman of Fuzhidao Furniture Co., Ltd. suggested that, in the internal aspect, while focusing on sustainable development, the industry should tap its strength from the source and strengthen the competitiveness and vitality of its products. The vitality of the product stems from the quality of the product, the variety of the variety and the originality of the design. Externally, we will focus on emerging foreign trade markets such as Southeast Asia, the Middle East and Africa to open up the “Blue Oceanâ€. In China, new measures such as “renovation of furniture and old furniture†and “furniture to the countryside†may be tried.
Mode change breaks through the dilemma?
Online shop has gradually become a new home building materials
Mr. Zhong, who lives in Longhua New District, is currently busy renovating the house. They used a half-package form to entrust the decoration project to the decoration company. The tiles, floors, kitchen and bathroom, electrical appliances, wallpapers, hardware, etc. used in the decoration were mostly purchased through the Internet.
He told reporters that the reason why the online procurement, the first is convenient, you can get the decoration big things without leaving the house; the second is because the building materials online, the price is cheaper than the purchase in the physical store, and some products are the seller's main Promotion, the seller's introduction of the product is very detailed, the quality can be guaranteed.
Mr. Zhu also gave an example. Before the decoration started, he saw a special event on the official website of a well-known brand of home decoration. The lower cabinet was 3 meters and the upper cabinet was 1.2 meters. It also included drawer tracks, hinges, handles and disinfection. Cabinets, gas stoves, range hoods, sinks, faucets, etc., the price as long as 10,000 yuan in the early stage, the extra part will be replenished according to the price of 10% off.
"My kitchen is not big, the cabinet is 3.8 meters is enough, the difference can not make up much, very affordable." On the Internet, the order, and then to the physical store registration, the designer will come to the door size, "flowers so little money, enough I don’t have to go out to buy a brand, I still enjoy the service, and I feel that it’s cost-effective!â€
Faced with the current high rents in the store, many companies have embarked on a new development path. Traditional home stores have opened up e-commerce channels, and home e-commerce has opened offline stores. With the continuous expansion of the online shopping group, the transformation of e-commerce by traditional furniture enterprises has become a general trend.
According to the website of the State Administration for Industry and Commerce on September 10 this year, the number of online shopping users has reached 210 million, accounting for 39% of the 538 million netizens. Online shopping has become an important part of residents' lives. Last year, the scale of the national e-commerce market transaction was 7 trillion yuan, of which the online shopping market transaction volume reached 773.56 billion yuan.
With such a prospect, the slogan "Do not do e-commerce, you will regret it after five years." As a result, many companies have placed high expectations on the field of e-commerce. This trend has led many home stores and home improvement building materials companies to establish online shopping malls. With the popularity of the Internet, consumers will prefer online shopping as a convenient way to shop.
He Bin, the director of the furniture decoration department of Shenzhen Real Estate Information Network, who is familiar with the home decoration building online group, told reporters that in order to cater to the needs of different consumption levels, many first- and second-line building materials businesses now choose to cooperate with the building materials group buying websites. Most of these businesses have physical stores. The online sales price of a product is generally two to thirty percent cheaper than a physical store. The building materials group purchase website directly cooperates with the manufacturer, which saves a lot of expenses in the middle. The mature website will also supervise the after-sales service of the merchants, so many consumers are now gradually purchasing home improvement building materials online.
The so-called Cheng also online shopping, defeat also online shopping. He Bin said that although there are a lot of household products on the Internet that are not quality enough, which has negatively affected the whole industry, the shrinking market and rising costs have indeed made the home improvement market downturn. Therefore, online sales have caused a lot of problems in the traditional market. A big impact, the days of physical stores are really bad.
On the whole, the combination of e-commerce and entities may become the trend of the future furniture market development.
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