Changing market demand, furniture industry opportunities and challenges coexist

As Sichuan, Tianjin, Shandong and other mainland enterprises continue to rise and develop, market demand continues to change, and Shenzhen furniture has the opportunity to coexist with opportunities and challenges. In particular, recently, several furniture companies in Shenzhen, which have once had great glory, have fallen into the rumors of a broken capital chain and owed wages. The furniture industry, which has been very hot, has suddenly said "nothing can't be done." Many Shenzhen enterprises have really felt the pressure. Then, how can enterprises improve their core competitiveness in the competition, gain a firm foothold in the new market structure, and finally become bigger and stronger?

Industry problems have emerged

The supply of furniture products exceeds demand. In terms of market supply and demand, the domestic furniture market is facing a situation in which products are oversupply. Guangdong has always been at the forefront of the furniture industry. In the early years, the production capacity of Guangdong furniture has been able to meet the needs of Chinese furniture consumption. With the continuous development and expansion of mainland furniture enterprises, they have greatly improved their supply capacity. Coupled with the disorderly expansion of many factories and enterprises in Guangdong, as well as some impacts of foreign companies, the current imbalance between supply and demand in the market has formed, and this situation is very unfavorable for the development of the industry.

Mainland enterprises have sprung up everywhere. Judging from the geographical pattern of the furniture market, the advantages of Guangdong furniture in the domestic market have ceased to exist. The rapid rise of mainland furniture companies has formed a strong competitive edge. The furniture industry in Beijing, Tianjin, Shandong, Shanghai, Chengdu, Jiangsu and Zhejiang has developed rapidly in recent years. The mainland market has already occupied a considerable share, Guangdong and Hong Kong. The furniture enterprises in the region have lost the obvious advantages of the past, and the Chinese furniture market has entered a pattern of “catch-ups”.

The market is saturated, the pattern is diversified, and the marketing model has quietly changed. From the perspective of market performance, market products present a diversified trend. This trend can be reflected in the diversification of design styles, the diversification of raw and auxiliary materials, and the use of new materials. The strong presence of Red Star has made Shenzhen stores enter the stage of hand-to-hand combat. It can be seen that as the market matures, furniture consumption has become diversified.

From the point of view of marketing methods, the terminal sales pattern of the furniture market is also quietly changing. On the basis of the establishment of hypermarkets by dealers in the past, there have been many companies that have established direct sales stores, dealers to do independent stores and other marketing models. For example, foreign multinational companies enter the pattern of furniture chain stores, which has a certain impact on the sales of domestic enterprises. Many companies follow the model of foreign furniture chain stores and compete for market share. The model of production and sales is quite vital. It has a relatively large impact on the change of the terminal structure and has already performed in the Shenzhen market.

Shenzhen furniture should be painful

Guangdong enterprises occupied a clear advantage in the domestic market from the 1980s to the end of the century. Because Guangdong is the frontier of reform and opening up, it directly benefits from management, market, development and information, and has a superior investment environment. However, in recent years, with the rise and rapid growth of mainland furniture companies, the advantages of Guangdong enterprises in the investment environment and production costs have become weaker.

In this case, many furniture companies in Guangdong are reluctant to go out to exchange and learn, and blindly build cars, which has led to a decline in market share. In contrast, many furniture companies in the Mainland actively come to Guangdong to learn from their experiences, actively improve the investment environment and attract professionals. Many enterprises have achieved one step in equipment investment, hiring experts, design, technology, production, etc., and have a very high starting point. The market positioning is also very rational and accurate. For example, many furniture companies in Beijing are positioned in the service market, mainly The marketing scope is Beijing and its surrounding areas. As a result, it avoids blind competition in the market and reduces operating costs, thus ultimately occupying the market.

In the former furniture market, enterprises did not sell, and most of the products produced were accepted and digested by the market. However, today's fierce market competition makes the profits of enterprises lower and lower, and consumers have more and more choices. These have created a sense of crisis for the company. They began to think and learn, learn from the successful experiences and models of foreign countries, create different products for the domestic market demand, subdivide the consumer groups, and implement specialized production, so they appear in production. A diversified trend. Such as Chinese furniture, European furniture, classical furniture, modern furniture, etc., the style is very different. This is very popular with consumers, and it has also undergone a transformation and repositioning of the market.

Reform and innovation is the ultimate way out

Specialized services should be strengthened

Regardless of the marketing model adopted by the company, it should reflect the differentiation of services. Market positioning should be more accurate, targeting and targeting the target customer base. If the enterprise is taking a market segmentation or a differentiated route, it should jump out of the previous large-scale operation mode and segment the market to be more refined and specialized. Because the current market is returning to rationality, large enterprises should take the road of scale, mass production, reduce costs, improve product quality, and pursue high added value of products. Enterprises should follow the trend, keep up with the pace of the market, do not stick to experience, take the initiative to go out to communicate, communicate and learn. "The teachers and teachers have long skills to control the economy." Mainland enterprises learn from Guangdong enterprises, and the fierce competition formed is so. In turn, we should do the same for foreign companies.

Market strategy is progressing steadily

Nowadays, the Chinese furniture market is relatively mature. In addition to the current situation of oversupply of products, there should be no more hot trend in recent years, but it will appear in a stable development. At present, some large cities in the country generally have hundreds of thousands of square meters of hypermarkets, and there are more similarities. At the same time, localities are still expanding, and even expanding to neighboring and inland cities. For example, Beijing enterprises set up stores in Shenyang and Chengdu. However, the demand for furniture is less than the constraints of the production volume of enterprises, coupled with the particularity of China's consumer class, showing the trend of “two small heads in the middle” (more people with higher incomes and lower incomes, less middle-income people), so the market is still Based on steady development.

Affected by national policy regulation

At the same time, the furniture market will also be affected by the country's macroeconomic regulation. For example, the current real estate industry, according to national policies, restricts the development and sales of residential buildings of more than 90 square meters, which will affect the market sales and product style of furniture. Some American and European style furniture are often used in some large-sized rooms. And panel furniture is more demanding for some classic houses. This kind of macro-control policy of the state has suppressed some consumer demand to a certain extent, and it will certainly have an impact on the furniture market. Therefore, it also contains some unpredictability.

Internal and external integration to improve the rapid response capability of enterprises

First of all, we should have clear strategic goals, fully consider what our core competitiveness is, reflect on our own strengths and weaknesses, review our strategic positioning against the market, adjust in a timely manner, and improve the corresponding processes to enhance the competition of enterprises. Force, reduce costs and keep up with the development of the market. At the same time, the company itself must be improved through internal and external integration. Through internal integration, the company's rapid response capability can be improved, and the sensitivity to the market can be improved, and its changes must be sensed in a timely and rapid manner; through external integration, information sources and visions can be broadened, and partnerships with other companies in the industry can be actively established. Communicate and communicate frequently to achieve common improvement. Some enterprises should not blindly expand production, and they must be able to identify their own advantages and positioning. For example, some small and medium-sized enterprises can cooperate with large enterprises to produce accessory products, and take specialized and cooperative channels. Common development is beneficial.

Expanding the international market and taking a new road to industrialization

From the perspective of cost saving, I believe that enterprises should take the road of new industrialization and carry out equipment renewal. The equipment update I mentioned is not for the blind investment of enterprises. The introduction of equipment must abide by the two principles of “advanced and practical”. If the enterprise only sees the advanced equipment and the technological update, it does not know much about it. If you buy it back, you don't know how to make the most of it. It will only increase the cost of the company and become a burden to drag the enterprise. Therefore, both are indispensable.

The concept of business managers is very important for enterprises, which is especially important for current Chinese companies. Many Chinese companies are willing to make a fuss about marketing, packaging, factories, and office buildings, but they are reluctant to invest more in design and equipment, resulting in the phenomenon that many enterprise equipments are backward and the design products are not very operational. Therefore, our business managers should change their concepts, find professional institutions to make suggestions and help enterprises to upgrade. This is the urgent need for many furniture companies in China to improve.

In recent years, some European and American countries have blocked trade in China. The reason is not entirely due to the growing strength of China's furniture industry, which has caused unrest among international competitors. To a large extent, it also has its own reasons, such as our brand building and product development. Insufficiency in process technology. However, various trade barriers have affected China's market development pattern and trend.

Throughout the Shenzhen furniture industry cluster, heroes are often discussed in terms of the size of the enterprise. However, from the current management status of furniture enterprises, most enterprises adopt low-cost means to snatch the market. This excessive price competition is the way to China. The development of the furniture industry has had a fatal impact. Many large furniture manufacturers have already laid a domestic sales network and have begun to take shape. Large enterprises rely on brands and costs to increase domestic sales, so that the domestic sales of small and medium-sized enterprises are gradually shrinking, and some enterprises are in a precarious situation.