Local stores "grow a hundred flowers", triggering changes in the overall situation of furniture stores

A large amount of funds pushed up housing prices and led to a surge in real estate development. That is to say, since 2010, there has been an increase in the demand for exports such as flashbacks, large-scale infrastructure construction, and industry-driven stimulus. There is a huge demand for low-end labor. It is a large amount of capital and manpower that is constantly entering real estate, labor wages are rising, profits in other industries are continuously declining, and the final production costs of various products are constantly rising due to increased labor costs, which has become the most important reason for rising prices.

Because many people invest in traditional value-preserving products such as houses, stocks, gold, antique paintings, and mahogany furniture. As a result, the prices of these products with original value preservation have skyrocketed. Instead, these so-called hedging products have accumulated huge bubbles. In fact, value-preserving products have become the most dangerous products. China's production efficiency has not improved or even regressed, and its product added value is extremely low, but the labor force has increased significantly in the short term. China will face the risk of a comprehensive decline in exports, real estate, government investment, and economic stimulus next year. Furniture, as a labor-intensive and low-value-added industry, has a double vortex of insufficient consumer confidence and price instability.

80% dealers are in a difficult situation

Due to the industry's sluggishness, the major stores can be indifferent, and "quiet" is unusual, but under such "quietness", there is actually another kind of dynamic: the tide of merchants withdrawing stores is surging. Taking Macelong, the red star of Buji, Shenzhen as an example, nearly 30 merchants have withdrawn from the entire store, and the vacancy rate has exceeded 10%. In fact, the withdrawal of the store has begun since the end of last year, but it was not obvious at the time, but looking at the store this year, the brand entry has changed. Some insiders predict that after the "golden nine silver ten", a large number of brands will withdraw.

You Guozhong, chairman of Shenzhen Renhao Furniture, reminded companies and distributors to be prepared for a protracted war, "We hope distributors have a psychological preparation, because it is estimated that within three years, the country ’s macro-control will not have Too much adjustment, the situation is not good this year, and it will not necessarily be better next year ... "When the author asked the situation of the furniture store, information from dealers, manufacturers, and stores showed that there were about 80 % Dealers are in a difficult situation. Many of the old dealers who were able to manage their business in the past are eating the old ones and barely maintaining them.
In the past, the stores that could not be entered suddenly became easier to enter.

Many people report that the stores that could not be accessed in the past suddenly become easier to enter. The situation is changing very fast. Last year, the situation of walking in a relationship and breaking a leg in order to enter a store has changed. After half a year, the situation has changed a lot. The emergence of the withdrawal of hypermarkets, the integration of the new store's blowout and the overall concept of home furnishing are the main reasons for this situation. Judging from the situation in various parts of the country, Xiangju Home and Red Star Macalline have more cases of withdrawal. The withdrawal is followed by the brand replacement. Although some stores still say "I don't have a place here", I will add a sentence "I will help you find a way". The direct consequence of the mutual strangling of furniture circulation giants is the surplus of stores, and the area of ​​home stores per capita in places like Hangzhou and Xiamen has reached an alarming number. For example, Xiamen is currently calculated on the basis of the registered population of the island. At present, the per capita household store area in Xiamen has exceeded 0.8 square meters per person. If 4 people are regarded as one family unit, there are 450,000 households with a registered population of Xiamen, and each family has a household store operating area of ​​more than 3.2 square meters per household. According to the analysis of the "two-eighth rule", only 20% of the 450,000 households will make purchases, that is, 90,000 households. Then the actual purchasing households have a household store operating area of ​​more than 16 square meters every month, and the annual cumulative is 192 square meters.

The consequence of the "more meat and less wolf" situation is that the meat is rotten at home. “Strong dragons are hard to hold their heads”, and local stores have sprung up recently. The most recent local projects that I have casually called for are Ouhua Shangmei Changchun Store, Shandong Pingdu Yishi IKEA Home Plaza, and Ouhua Shangmei Shenyang Store. , Chongqing Juxinmei Furniture, Hubei Yichang Kanglong Furniture Plaza, Hubei Yidu Kanglong Furniture Plaza, Shenzhen Longhua Shifeng Qunxing Furniture, Hubei Hongan Rongyuan, Hebei Xingtai Bluebird, Shenzhen Longhua Royal One, Pizhou Happy Buy Can't wait for thirty. The whole house can be said to be a new thing in the past two years. For example, the Shenzhen Art Exhibition Center has expanded the first phase and the second phase to the third and fourth phases. The jewelry boutique or home experience museum provides a new space for the sale of furniture. Treating furniture as exquisite jewelry provides a new green for the industry. At the same time as the large-scale withdrawal of stores, independent stores of minded dealers began to appear, especially new and new stores with differences began to conceive.

The industry needs something new

At an event last month, the author heard Yang Jianwei once pointed out sharply: The boss of China's furniture industry is really hard. First of all, it needs to produce good quality, make good designs for the market, and also be a good industry marketing expert. And marketing PR experts! Need to provide the market, that is, dealers with complete store design, beautiful store layout, complete sales training and so on! This also shows how fragile the dealers in our retail terminals are. Manufacturers seem to be full support for distributors, but in fact they are still out of touch. As a result, manufacturers do not understand marketing, and distributors do not understand brands. Many brands get hurt in the hands of dealers, or become dealers' brands. The scientific relationship is not full support, nor is it a disconnect, but a strategic cooperation.

Zeng Zhenyu said that one of the reasons for the dealer ’s difficult situation is that the rent of the store is high and it is expanding rapidly. As a result, the store does not engage in activities. No one engages in activities. Dealers lose money, and all dealers lose money. Obviously, in this case, the headache should not be treated, and the pain should be treated in a way that treats the pain in the furniture store. In the final analysis, the furniture store is a problem of sales channels, and the furniture store is subject to the economic environment. The sales channels are becoming more and more diversified, and the industry calls for channels that truly adapt to the new situation. This new channel should be a new channel model to adapt to the new inflation situation, new e-commerce situation, new technology situation, and new economic situation. What the furniture industry needs is the emergence of more and better professional sellers, brand service providers and regional operators.

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