At present, the mahogany furniture industry has encountered difficulties, dealers are experiencing all kinds of unspeakable pains, and the era of brand change is approaching. There are signs that in the next one to two years, the mahogany furniture industry channel will undergo a "Xinhai revolution"-style transformation, resulting in a holistic change.
Current dilemma
According to a recent survey data, although 36.13% of households choose large-scale stores, the proportion still ranks first, but the survey data of two months ago has dropped by more than 10 percentage points, while independent stores (14.92%) and building materials The market and furniture street (19.33%) clearly diverted the share of large stores.
Channel costs have become an unbearable pain for home businesses. According to industry sources, before 2007, the net profit of dealers was quite impressive, once more than 20%, but now only 5% or lower, 15% of which was taken away by the circulation terminal. According to many companies, in the furniture industry, the price increase is very cautious, such as artificial increase, raw materials have risen, manufacturers can not raise prices, even if the increase is 3% to 5%. However, the price of furniture at retail terminals may increase by 30% to 40%, a large part of which comes from channel costs.
The author also found the above problems in Shanghai Red Star Macalline, World Trade Furniture and other professional stores, especially since October 2011, most dealers have been bleak, some companies have begun to withdraw, and the original business is better. ~ 5 months of reserve funds, in case of emergency.
Dealer's unspeakable pain
At the end of the year, dealers are experiencing all sorts of untold pains. First of all, the current market is sluggish, seriously testing the dealer's capital chain. For a medium-sized furniture store, the monthly rent is about 30,000 to 50,000 yuan in Shanghai. Many dealers can still go in three or four months, but it is difficult to get 5 to 8 months. This is just a foreseeable difficulty.
The promotions, discounts, etc. that I have seen so far, and the face-to-face foreign affairs movements bought guns and bought guns, thinking that these can save the Daqing, not a rescue. Because we found that the same pattern, similar products are too much.
Second is the difficulty of management. Regional managers, store managers, promoters, etc. are hard to manage and difficult to stay. There are fewer innovations, more listening instructions, and people who are able to live are not good at listening, and people who are easy to use are not obedient. Linked by interests, a plate of sand. It’s hard to make a difference! So only the salary increase. This is consistent with the promotion, discount, and profit to the customer, just a strong heart, long-term difficult to work. The core of this difficulty lies in the system. The first line is to do sales, the manager is doing marketing, and the company is doing services and ideas. In the past, the pursuit of sales as a king made it difficult for many people to get out of the misunderstanding of sales. Many store managers and regional managers have good sales, but it is difficult to have a good planning and service model. The reason is the simple sales thinking. How to manage procurement, store design, market channel design, personnel training, etc., all need good management skills, but also must break through the original simple sales thinking.
Channel revolution is about to happen
The predicament of the market, the pain of the dealer, what is the reason? financial crisis? Industry development is too fast? These are not the inner core reasons. The real reason lies in the model and system.
The mahogany furniture industry will face changes in the overall model. The change will start with the dealers, and the manufacturers will follow. Geographically, it will be a trend from south to north. This is related to the consumption habits of the southerners. Due to the admiration of the Beijing culture, many traditional things must be kept the best.
Soon, the era of brand change is coming soon. The author believes that influential dealer brands will emerge. In terms of terminal sales, it will be developed from a large number of stores to a flagship store. From quality and luxury, to the characteristics and ideas, dealers will no longer simply represent a certain brand, subject to a certain brand, will be a terminal service provider. Brands and businesses will change; producers and agents will appear more in the form of strategic cooperation.
This will inevitably require the current hypermarkets to shift to the characteristic stores, from the original big to the new and different. Many high-end luxury goods, such as gold and silver jewelry, cosmetics, etc., are operated as independent flagship stores. Since the mahogany furniture is positioned at the high end, it is also piled up in the hypermarket. How to express its own personality? How to interpret the different ideas of the self? Independent flagship stores and unique stores are bound to be the future development trend.
Producers have to change the pattern
The change of dealers will inevitably form a huge earthquake for the current producers. Manufacturers will redesign their own features based on their local conditions and production capacity. It is difficult to maintain a large and complete situation and dominate the world. It is better to develop towards refinement.
The mahogany furniture consumer group in the next ten years is currently around 30 years old. They all have unique personality requirements. This is difficult for a mahogany furniture company that requires features and culture to be satisfied by one family. The production enterprises will shift from the current pursuit of seeking and seeking to the small and fine, and will focus more on a certain professional field. However, we believe that a certain tree species or a certain product may be dominated by a large enterprise.
For the current production enterprises, the author believes that the deeper level is to find their own brand and cultural characteristics. Be big first, then be strong. The collapse of the new store, the red star Meikailong sales scandal, etc., all exposed the difficulties of large enterprises. This makes us once again fully aware that the core of the future change is in institutions, models, and not simply because of market depression.
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