Since last year, news of the closure and transfer of furniture manufacturers and home stores in first- and second-tier cities across the country have been reported frequently. Successive "failures of failure" told furniture companies that, in the face of the continuous winter of the market, furniture companies must continue to focus on the domestic market and "walk on two legs", they must think about how to adjust their management methods and how to find a way out. . The reporter was informed yesterday that led by the National Chamber of Commerce and Industry Furniture Decoration Chamber of Commerce and the Guangdong Furniture Chamber of Commerce, the factory organized a wholesale direct sales platform Jinhaima Furniture Factory Wholesale Direct Sales City is about to land in Shenzhen. The branded furniture factory will soon be stationed in the Jinhaima Home Mall in the central area of ​​Shenzhen, and will work together to create an integrated wholesale and direct sales platform for exhibitions and sales to realize direct face-to-face transactions between the factory and consumers.
Analysis: Climbing circulation costs make the home furnishing industry even worse
In such a severe upstream situation, the rising cost of stores has made the home furnishing industry even worse. This is also one of the important reasons for furniture companies to actively establish independent stores and develop e-commerce channels. In an interview with reporters, Chen Luo, Shenzhen manager of Steroland, said that home furnishing stores will be renovated almost every two or three years, and the pace of expansion has been accelerated in recent years. The resulting high rents are too much pressure for each enterprise. Big, especially in first-tier cities. Affected by the purchase restriction of the property market, the number of home buyers and decorators directly decreased, which meant that the cake was shrinking, and some companies in the midstream could not bear high rents due to the decline in sales. On the other hand, at present, sales promotion in the store is endless, and the cycle is prolonged. Instead, many consumers have become more rational, and they have watched their mentality aggravated. As a result, the volume of transactions brought by the stores decreased, and the turnover of the merchants declined, which highlighted the high cost.
In the fierce market competition, cost control is a heavy topic for furniture companies. The house is too expensive, the consumer ’s wallet is hollowed out after buying the house, and the owner always hopes to find good and cheap products when buying furniture. Furniture cost can be divided into the following pieces: raw material cost, development cost, production cost, transportation cost, and sales cost. At present, the circulation cost of the furniture industry has reached more than 50%. In the composition of circulation costs, store rents and property management fees account for the vast majority of dealers' sales costs. In the first-tier cities, furniture stores often rent more than 100 yuan per square meter per month, which makes manufacturers and distributors feel pressured. How to reduce the cost of circulation has become one of the most concerned topics in the furniture industry, and has become the top priority for the furniture enterprises to solve their difficulties.
Manufacturers: Lowering furniture prices is the key to boosting domestic demand
Liu Ruiran, the manager of the Desheng Furniture Direct Store in Shenzhen, believes that the furniture industry is now in the stage of adjustment and development. If the enterprise still follows the routines of the past, it will definitely fail. There has never been a weak market, only a weak team, because market demand still exists. He felt that in the face of the cold winter of the home furnishing industry, enterprises should think about how to adapt to the market and drive market demand. The current market weakness is largely due to the rising price of furniture for various reasons, so how to significantly reduce the furniture market price while ensuring the profitability of the enterprise is the key to driving the furniture market demand.
Chen Guorong, marketing director of Shenzhen Style Furniture South China, said that as far as he knows, furniture companies in Chongqing and Chengdu in Sichuan are still growing fast and have not been greatly affected. This shows that the market still exists, just how to adjust the operation of furniture companies. Question of the way. The collapse is not to say that all will die, but in the process of death, let more energetic and vigorous furniture companies take the opportunity to expand. He told reporters that Southern Group recently built a factory wholesale city in Chengdu, Chongqing, Sichuan, and Shenyang, Liaoning. The factory direct sales model was used to build an integrated platform for factory development and sales, eliminating intermediate links, allowing furniture prices to return to value, and leading furniture factories to settle in. Good sales have created a new path for the development of the furniture industry. He hopes that there will be such a platform in the Pearl River Delta to help local furniture factories achieve better development.
Good news: Shenzhen Jinhaima will set up a furniture factory wholesale and direct sales city
Led by the National Chamber of Commerce and Industry Furniture Decoration Industry Chamber of Commerce and the Guangdong Furniture Chamber of Commerce, the factory organized a wholesale direct sales platform Jinhaima Furniture Factory Wholesale Direct Sales City is about to land in Shenzhen. Branded furniture factories entered the Jinhaima Home Mall in the central area of ​​Shenzhen, and jointly created a wholesale direct sales platform for exhibitions and sales, realizing direct face-to-face transactions between factories and consumers, reducing a large number of intermediate links, and making furniture wholesale prices lower than market prices by 50% to 70% The home happiness index of Shenzhen and surrounding citizens. Jinhaima Furniture Factory's wholesale and direct sales city is located in the core of Futian CBD in Shenzhen, and is close to the convention and exhibition center. It shines with the annual Shenzhen International Furniture Fair. It has a significant location advantage and can quickly realize the seamless link of exhibition and sales resources for many years. 365 days never ending furniture factory direct sales and wholesale platform.
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