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The furniture industry will slow down the strategy to dig deep into the market and other spring shifts
The furniture exhibition season in September has just passed, but the benefits have not been optimistic. From Guangzhou, Dongguan, to Shanghai, the furniture exhibitions have suffered a "cold flow" to varying degrees. The exhibition has always been a barometer of the development of the industry. Many furniture industry brand leaders said that the depression in the furniture industry has started since the end of last year. Under such a market environment, manufacturers have controlled costs, adapted to market changes, and chose a relatively conservative market. Strategy, dig deep into market demand, waiting for the arrival of spring. Zhu Changling, chairman of the China Furniture Association, said that in the past 20 years, the Chinese furniture industry has grown at a rate of 20%, making China the first producer and exporter of furniture. In 2012, despite the market adjustment and the impact of the European economic downturn, the industry as a whole maintained its overall growth. "This year, China's furniture industry has progressed steadily. From January to July, China's above-scale furniture enterprises completed industrial output value of 303 billion yuan, an increase of 16.3%; furniture exports reached 27.5 billion US dollars, an increase of 28%." Zhu Changling said . He also stressed that although the operation of Chinese furniture companies is not very bad from the data point of view, many companies' export situation this year is not optimistic. Data statistics do not include small and medium-sized enterprises Zhu Changling said that according to incomplete statistics, there are currently more than 60,000 furniture enterprises in the country, and there are only more than 4,000 enterprises above designated size. Currently, the most difficult enterprises in the industry are concentrated in the scope of statistics. small companies. According to Zhu Changling, from the end of last year to this year, with the implementation of national real estate regulation and control policies and the increase of labor costs, the furniture market has been severely challenged. Since the beginning of this year, the sales growth of the civilian furniture market has narrowed, and the profitability has weakened, resulting in a situation of poor sales in the whole industry. "The most affected are small and medium-sized enterprises below the scale. Many enterprises have closed down this year." As a major domestic furniture production province, Guangdong's current development situation is not optimistic. According to Wang Ke, president of the Guangdong Furniture Association, in the first half of this year, the furniture industry in Guangdong Province showed a comprehensive “deceleration†development trend. Among them, the export value of furniture exports in Guangdong in the first half of the year was US$7.51 billion, which was only 4.4% higher than the US$7.19 billion in the same period of last year, which was significantly lower than the growth rate of national exports. Third- and fourth-tier cities will become the focus. In fact, many furniture stores in first- and second-tier cities are not only high in wholesale and retail prices, but also under three pressures of high rent, high labor and high cost. Operators are calling for “survivalâ€. At the same time, the third- and fourth-tier cities have ushered in the peak season of the home market, repeatedly creating a sales miracle in the industry and becoming a new consumer point in the furniture market. According to the two sets of data provided by Chen Baoguang, vice chairman of the China Furniture Association, the market sales of first- and second-tier cities fell by as much as 50%. Conversely, the sales of furniture companies in Jiangxi Nankang, which is dominated by the low-end, reached 120. %. Wang Jianguo, general manager of the Federal Furniture Beijing Branch, said: "From the sales performance of the Federal Furniture Company this year, the business volume in East China, Southwest China, South China and other regions is growing. Sales in East China, especially Shanghai, have increased by nearly 20%. However, the market conditions in the northeast cities and Beijing are not very good. It can be seen that the changes in the furniture market have a great relationship with the city's regulation and control policies.†Small enterprises began to attack the group in the overall winter of the industry, and the group became a small and medium-sized attack. The magic weapon for enterprises to face difficulties. At a furniture exhibition held not long ago, Yuanyi Furniture, Six-Star Sofa, Ai Mingxuan Sofa, Dot Eye Industrial, and Pearl Beads, five Shunde furniture companies in Guangdong, rented a large booth next to the main road of the exhibition hall. According to the person in charge of the development of Ai Mingxuansha: "Because the cost of individual exhibition is too high, the company has not participated in the exhibition before, and as the industry situation turns cold, in order to open up more markets, the company will participate in the exhibition with other companies. "The group of people attacked and opened up the market", the thoughts of the above-mentioned responsible persons are also highly praised by the insiders. Wang Ke pointed out that there are many small and medium-sized furniture enterprises in Guangdong Province. Due to the lack of brand awareness, most of the sales markets are concentrated in second- and third-tier cities, and there are only a handful of cities that can enter the first-tier cities. In addition to the company's spontaneous group, the industry associations also actively cooperate with the enterprises in the region to form alliances. It is understood that the Pan-Family Union, Shunde Furniture Brand Alliance and the original and auxiliary materials alliance initiated by Shunde Furniture Association were formally established on August 18th, which means that Shunde Furniture will break the situation of its own affairs in the future. Zhou Zhenyang, chairman of the Shunde Furniture Brand Alliance, said that the establishment of the brand alliance aims to show the brand influence of Shunde Furniture through the holding of some high-quality brands, so that Shunde Furniture can obtain more market discourse rights.