In the past 20 years, the rapid development of China's home furnishing industry has benefited from the rapid economic growth in the big environment and the huge profits expansion of the upstream real estate industry. Nowadays, the good days have come to an end. In 2012, China's GDP growth rate in the first two quarters fell to 7.6%. China's real estate business housing sales and sales area have been suffering in a negative growth zone, and domestic home sales fell 35% year-on-year. The cooling of the economic environment and the sluggish real estate have led to a sharp drop in sales in the home furnishing industry. This is in stark contrast to the leap forward in the past decade. In 2012, it was even rated as the “coldest year in the decadeâ€. Affected by the property control policy, the home market market fell to its lowest point in three years in February this year, and gradually recovered in March, April and May, but it is still in decline compared with the same period last year. The era of real estate rapid growth in the home industry has come to an end and has entered a period of low growth. Oriental home lost to Maicheng In 2012, the Oriental Home Furnishing Supermarket, which has been in Changsha for 9 years, officially closed its doors. The same scene took place in January 2013. Nearly 200 people gathered in the headquarters of the Oriental Group, the parent company of Oriental Homeland, to collect debts collectively. Just after the New Year's Day in 2013, the Oriental Home Furnishing Supermarket suddenly suffered a “closed shop tideâ€. It was once the largest home furnishing store in China, which immediately closed the only five stores in Beijing. This wave of "closed shop tide" soon spread to many stores in Chengdu and other places. Into the mall for one year, a loss of more than 200,000 "I was doing business for the first time. I invested nearly 500,000 yuan, almost all of my savings. After the renovation in April last year, the store has been losing money." Mr. Li, who runs the floor, said. Ms. Wang, a merchant who has been engaged in tile business for many years, spent 300,000 yuan to decorate her home in the East. She is here to see the location. This year after the year, she allegedly lost more than 200,000 yuan. Changsha store Oriental home from the daily sale of 3.2 million to make ends meet When the Oriental Home Changsha Store opened in September 2004, the total sales on the first day reached 3.2 million yuan, creating a sales miracle of Hunan Home Furnishings. It is considered to be a good sign for the expansion of the Central China market by Oriental Homes. The starting point for the downhill road in 2008. In 2010, Dongfang Jiayuan Building Materials Supermarket had revenue of 1.334 billion yuan and operating profit loss of 244 million yuan; in 2011, revenue was 908 million yuan, net profit loss was 140 million yuan; revenue in the first half of 2012 was only 190 million yuan, operating profit The loss was 120 million yuan. Until January of this year, the Oriental Home Building Materials Supermarket Headquarters is filed for bankruptcy. The development of “leap-forward†in the past few years has laid the foundation for the home market to fall into a downturn. In some cities, home stores have become saturated, and competition among them has also entered a stage of white-hot. Under the superposition of various unfavorable factors, the living environment of the home industry is struggling. In the macroeconomic environment, the real estate market has not recovered from the signs of recovery, the store closure trend will continue to stage. Home Depot was forced to withdraw from China In October 2012, Depot, the world's largest home furnishing supermarket, suddenly closed all seven stores in China. Home Debao lost to Maicheng, once again triggered the industry's concerns about the collapse of the home industry. Fall into a business dilemma In 2006, Home Depot entered the Chinese market with high-profile, but since July 2009, it has successively closed five branches in Qingdao, Shenyang, Beijing and Tianjin, and has now announced the closure of all stores in China. Home Depot closed at the Huamen store, just the tip of the iceberg in the tide of the collapse of domestic home stores. Since August last year, 12 home furnishing stores in Beijing have officially closed, and in the past six months, there have been eight closed doors, and five other shopping malls are preparing to move or withdraw. "The collapse of the home hypermarket and the current situation of the downturn are the corresponding performance of the domestic economic downturn. The government's regulation of the real estate market has made the home hypermarkets worse, and most furniture hypermarkets are struggling on the road of life and death." Chen Zhangli, researcher of the building materials industry of CIC Said in an interview. Industry shuffling acceleration The main reason for the dilemma of the home industry is that, first of all, the domestic economic growth slows down, and the purchasing power of consumers declines. Second, the regulation of the real estate market has had a huge impact on the furniture industry; again, the rental cost has been rising, compressing the stores. Profit margins. The closure of home hypermarkets has been a major reshuffle of the industry. It is the self-regulation of the industry and returns to a rational, rational scale and trend. Three major trends in the profit growth of the home industry in the next decade According to data released by the Department of Circulation Industry Development of the Ministry of Commerce and the China Building Materials Circulation Association, the National Building Materials Household Climate Index (BHI) was 109.11 in May, up 1.17 points month-on-month and down 1.37 points year-on-year, although it rose slightly but compared with previous years. However, it is on a downward trend. The cumulative sales of building materials stores above designated size in the country from January to May were 416.9 billion yuan, down 3.08% year-on-year. The fall of BHI undoubtedly brought news of the winter of the furniture industry. At present, the rigid demand of some properties has been released in a short period of time, but the increase in property prices is higher than the increase in sales volume, and the increase in BHI is weakened. Therefore, the concentrated release that is just needed is unsustainable. Once the centralized release is over, the building materials and home furnishing industry may face Very difficult situation. How can we find a new way out at the end of the old era? Where will the future home market go? Makeup Accessories,Portable Makeup Mirror,Natural Wood Makeup Mirror,Handheld Makeup Mirror SHENZHEN MERRYNICE COSMETICS CO., LTD / MERRYNICE COSMETICS USA GROUP , https://www.merrynice.com