From the beginning of the year, the B&Q Nanjing Bridge North store closed, to the recent Red Star Nanjing Olympic store closed, the 2012 Nanjing furniture market, can be described as "story", but the entire industry has not stopped the pace of development. Whether it is a dealer, a furniture store, or a production company, they are looking for a way out and look forward to some development.
Dealer: "Live" is the primary goal
2012 is a very difficult year for furniture dealers in Nanjing. On the one hand, the demand for the furniture terminal market has indeed decreased; on the other hand, the excessive expansion of the store has led to an increase in the number of dealers opening stores. At the same time as the cost has risen, the output per unit area has declined. Therefore, for many dealers, finding the way to "live" is the most critical issue at the moment.
A surname dealer who manages solid wood furniture said that the situation of the Nanjing furniture market in 2012 was worse than in the past few years. In order to "live", they had to make every effort, such as the solid wood furniture brand he represented this year. A number of blasting marketing activities were carried out in Nanjing. Although many people think that the blasting marketing of the furniture industry is “drinking thirstâ€, it is not conducive to the long-term development of the industry. However, for dealers, through blasting marketing, they can gain more market share in the short term and support them to tide over the difficulties.
Another dealer named Liu said that in the current environment, dealers must broaden marketing channels, such as group purchase channels, designer channels, e-commerce channels, etc., in order to be eliminated by the market. He believes that from the current point of view, furniture group purchase is still very effective. "As long as consumers enter the store, the size of dozens of people's group purchases, even if only a few people pay the final deposit, the performance is very impressive." He said.
Furniture store: adapt to the market to build core competitiveness
Since 2008, the furniture store area in Nanjing has begun to expand rapidly. For example, the Nanjing Kazimen home business circle has gradually formed since then. However, since 2011, as the market turned cold, the drawbacks of this over-expansion began to appear, and this year there was a phenomenon of individual stores closing down.
Wang, the head of a well-known store in Nanjing, said that if the terminal market did not improve significantly, the existing market share could not “support†so many stores. The reason why the current store can still support it is because the dealers in the store can still "go in and out". If the market continues to be sluggish, the dealers will become "only go out", then the store will eventually exit the market.
Tu Tu of Nanjing Guanghuamen Shilin Home Plaza said that the market economy has its own development mechanism, and the survival of the fittest is a normal phenomenon. Specific to the furniture market, more and more people are now eating "cakes" have become a reality, competition is intensifying, furniture stores must create their own core competitiveness, will not be eliminated by the market. He believes that furniture store owners must always be market-oriented and consumer-oriented when making decisions, because only by adapting to the market and winning consumers can they gain a foothold in the market.
Production enterprise: enhance comprehensive competitiveness
Ms. Li Hongyao, the director and vice president of the Federal Group, said that after years of development, Chinese furniture companies have become more and more centralized, and some well-known brand enterprises are getting bigger and stronger. SMEs that lack brands will gradually be eliminated by the market. After all, the furniture industry will form a pattern of several oligopolistic enterprises such as Haier, Changhong, TCL, Gree and Midea, which have similar market share. Therefore, for those furniture companies with lofty ideals, the primary goal at present is still to become bigger and stronger.
Ms. Li Hongyao also said that the competition between furniture companies in the future is no longer a pure product competition, but a competition of comprehensive strength, including corporate culture, brand awareness, financial strength, operational capability and other aspects of competition. Therefore, in the process of growing up, furniture companies must upgrade their comprehensive competitiveness. Without the improvement of comprehensive competitiveness, they will not be strong at all.
Looking back at 2012, the market is full of hardships; looking forward to 2013, we should still be full of confidence. As long as all the furniture people take the initiative and work together, they will surely usher in a new "spring" in the industry in 2013.
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