Hangzhou furniture market rebounded against the trend just need support or market recovery

Regardless of how the external market and policy environment change, it turns out that it is just needed and always exists. In the first half of 2012, the Hangzhou home furnishing market, which has been “not warm and not hot”, ushered in a “bounce back” of the overall contrarian trend of building materials and furniture sales during the three-day small holiday of “May 1st”. The popularity of promotional events in many mainstream markets was overwhelming, and branded merchants set a record for single-day sales in the first half of this year on May 1. Strong market performance, unexpected to the industry.

It is understood that because of the dull sales of May 1st last year, almost all of the home market this year is the first opportunity. As early as mid-April, they have begun to take great efforts to push activities and intercept passenger flow. Although May Day is still a continuous promotion season, But it is by no means the market's expected peak sales season. But the result is: the marketing war of "smoke the smoke" in the first half of the month has become a deposit period, which finally led to the three-day burst of the May Day holiday.

In the first half of the year, the trend of the home industry market was sluggish. It once caused many markets and merchants to worry about the sales and survival prospects of 2012. “Since March, the promotion of Hangzhou's major home furnishing markets has not stopped, but most of the activities have been unsatisfactory.” Many market players once revealed during the visit of the reporter before May 1st, this year's market is very busy. Light, the market as a whole is in a state of no promotion, and it is difficult to survive. At the time when many businesses are surviving for survival, the resurgence of sales at May 1st has indeed caused many merchants to have unexpected surprises.

Under the adversity, who is eager to place an order? After interviewing a number of merchants, the reporter summed up some of the common characteristics of this group: focus on brand, quality, service, good at rational price comparison, habit of careful calculation, their demand for decoration is urgent, the purchase intention is clear, the product purchase value is not too high , but the base group is huge. In the eyes of many businesses, this group of people is "just needed" in the general sense.

In fact, with the ups and downs of the upstream property market in the past two years, and the accompanying changes in the structure of the consumer groups, “just need” as a group has been increasingly valued by the home industry that is dependent on the real estate industry. This point, from the mid-April in the mid-April promotion, the various markets to attract the just-needed customers, real money and silver subsidies discount, cash back, sweepstakes can be seen. “There is a little more gimmicks and more benefits.” It was just before May 1 that the reporters studied the overall feelings of various market promotion programs.

The market and merchants aimed at the "just-needed" group's promotion strategy adjustment, the success of the three-day holiday in May Day, only once again proved the existence of the just-needed group and its strong purchasing power.

But I have to admit that the market situation has changed. Even in the traditional home improvement season in April and May, even in such a strong home market promotion, if you do not have marketing strategies or theme activities for the customer base, it is still difficult to make money. After talking with a large number of merchants, the reporter found that the May 1 small holiday is hot, the biggest winners are: strong brand influence, high cost performance, targeted promotion strategy, and good brand operators who follow the market change adjustment strategy. Some brands that are positioned too high-end and do not have a mid-end product line extension, and small and medium-sized merchants that have been poorly known in the past and only rely on price to fight the market, did not have much improvement in this year's May 1st business.

Just need to be sensitive to price, focus on quality, pay attention to service and other characteristics, is becoming an "enzyme", and constantly accelerate the concentration of sales to large brands.

"Korla New Times store, the sales record on May 1st, set a new high in history." Huang Ziping, deputy general manager of Hangzhou Kohler General Xinlian Industrial Co., Ltd. told reporters that the company has been in the market for this year. At the beginning of the year, we determined the strategic marketing plan of “price-for-market share”. Since March this year, we have formed “top alliances” with different brands of household products such as gold cabinets, TATA wooden doors and Fudeli flooring. Uninterrupted promotional activities were launched, and the price was changed to ensure the steady growth of Kohler's product sales.

On the basis of enriching the product line, focusing on some of the best-selling products to show a low price attitude, it is winning a broader young and just-needed market for many big brands. This time, the sales situation of Kohler's new era 51 also verified this point. "The main value of the main consumer customers are mainly concentrated in 10,000-20,000 yuan. The classic best-selling products of Kohler's product series are more than 100,000 yuan. Compared with this, there is also the same, and Yao Jianqin, general manager of TOTO brand of Dongjian Group, she said that with the subdivision of TOTO products and the price of the basic series, TOTO retail consumers, this year’s tentacles It is expanding from the high end to the mid-end market, taking a larger market share with brand influence.

In addition to the brand influence to explore the price to win the market, the use of the brand to hold the alliance, the common way of profit, attracting just need the eye, is undoubtedly a smart move to integrate resources and leverage each other. With the “Furniture and Building Materials Don’t Spend Money” activity in the new era of home life plaza (please ask the relevant bank to supervise the purchase of products, 50% return in 1 year, 60% return in 2 years, and so on, up to 100% in 6 years) ), the sales volume of Bailang Sanitary Ware, Hao Laike Wardrobe, Hanno Flooring, Asiatic Tiles, Krone Colmar Kitchen Cabinet, Ruijin Lighting, Shiyou Floor, Yiwang Fangmen, Xilinmen Mattress, etc. Even doubled. Cooperate with Red Star Macalline and land the Hangzhou Jiubao Red Star Meikailong Jinmao Mall, with the special value package of Gujia Craft, Zhibang Kitchen Cabinet, Gold Kitchen Cabinet, My Le Kitchen Cabinet and Piano Kitchen Cabinet. The activity is also sought after by the heat of the group.

The popularity of the May Day holiday is a signal of home warming? In this regard, the vast majority of home market CEOs expressed cautious optimism.

Indeed, the general trend of 2012 is not to follow the trend, but to go against the water. "The three-day outbreak of the May 1st holiday has many reasons. For example, the holiday effect, pre-heating promotion, and the arrival of the traditional decoration season," said Shen Fanli, general manager of the Sixth Space Metropolis. However, from the overall market conditions in the first half of 2012, as well as the continued regulation of the property market, it is not enough to support the industry's recovery.

However, the rebound of the May 1st holiday has renewed confidence in many merchants. “In 2012, the demand for household consumption still exists, but how do you discover and accurately grasp it and eventually form sales.” Wang Guohua, director of flooring operations, told reporters that while launching high-end new products, enterprises will further study the mid-market and choose space for younger, more fashionable and white-collar products.

For the second half of the year, many industry insiders representing home improvement, market and brand said that the whole home industry will enter a squeezed state in the second half of the year, with more promotions and thinner profits. Some enterprises are bound to enter the state of profit and loss, and the market will begin to eliminate some small and medium-sized enterprises, as well as brand enterprises with weak single products. However, as far as big brands are concerned, in this high-pressure competition, the rebound ability after shuffling will be strong, and the rising trend will be faster. Especially, it has already established itself in the Hangzhou market, with rich product lines and strong R&D capabilities. famous brand. However, in the current environment, the downturn in the home industry and fierce competition will continue for a long time. The re-integration of the industry takes time, and further concentration of the brand still needs to experience pain.

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