In the era of customization, furniture companies should customize themselves first!

Shangmei Furniture puts forward: In the custom era, furniture companies should customize themselves first!

The furniture exhibition season in Guangdong has come to an end this year. I have heard many different voices about the status of the two major exhibitions in Guangzhou and Dongguan this year.

 

"The number of people in the exhibition is still worse than before"

"There are more customized brands this year, and homogenization is more serious"

"It seems there is nothing refreshing this year"

...

 

As the so-called layman looks at the bustling insider doorway, regarding the status of this year's exhibition, there have been many media reports before and I will not repeat it again.

Compared with the exhibition, I am more worried about the problems that furniture companies and distributors will face next. These problems are very direct but very realistic, which is pressing the furniture industry to the current pain points.

Let ’s talk about traditional finished furniture companies first, but it ’s OK to switch, but how do you play custom homes, do you really understand?

 

The conversion of traditional finished furniture to custom-made, although they are all made of furniture, are completely two systems .

Whether it is a production order or a terminal marketing system, secondly, there must be capital preparation. It is not that the market business is not good enough to think about re-customization. If you do not have enough funds to rush to re-customization, it is undoubtedly equivalent to looking for death.

Including re-customization, there are still high requirements for dealers . Let ’s not mention that every dealer ’s store must have a designer. If the training behind the enterprise is not in place, dealers still operate custom homes according to the traditional furniture franchise model. It was still painful.

Moreover, many furniture dealers do not understand the design, and will only invite an inexperienced interior designer who has just graduated to put it in the store. The design level is not high. The arrival of the order is not as fast as the docking to the headquarters. The overall requirements are higher.

 

You must know that the measurement, design, production, construction, installation, etc. involved in the whole process of custom home are not experienced by traditional finished furniture companies. Can the technology and process be synchronized?

Moreover, customized homes especially test the service capabilities of enterprises and stores. There can be no mistakes in size. When the consumer's home can be guaranteed to be installed, otherwise it will become a quality problem in the end.

 

Looking at the market, many well-known custom companies often have various consumer complaints breaking out. How many of your companies can bear the seamless match between sales and production?

Customized home furnishing is a multi-link service, and each node needs professional talents and system hardware and software to support it.

Of course, it does not mean that it cannot be transferred, but before the transfer, it must be ensured that the company has the ability to solve the aforementioned problems. Secondly, the company ’s own positioning must be determined to be a differentiated market.

 

For example, if a solid wood enterprise is customized, the target customer must be a large apartment or a villa. It is a customer that cannot be reached by such customized enterprises on the market. By improving the quality of its products and services, it can also consume from segments The group of people grabbed meat to eat!

 

In fact, I personally think that for finished furniture manufacturers, transformation and customization are not necessarily a necessary option, and it is not only transformation and customization that have a way out.

The Chinese market is so large, the so-called technical industry has expertise, and when there is no trial and error cost, just focus on a product area with its own strength , play its own good at pragmatically improving the competitiveness of the product, or can survive, There is no need to go to the muddy water of custom home.

After talking about the enterprise level, let's talk about the dealer level.

At the beginning, many dealers followed the trend of "one brain hot" to do customization, chasing the buttocks of the few custom furniture companies, and never thought that once the big brands sink to the county level, they will encounter regional small factories and miscellaneous brands. This kind of siege, neither price nor service has an advantage.

 

For example, to find a brand custom store to customize a wardrobe is 1200 square meters according to the conventional quotation, the small factory miscellaneous brand uses the same material for only 800, an 8 square meter wardrobe brand store is priced at 9,600 yuan, the small factory miscellaneous brand is only 6,400 thousand, and the brand is customized The hardware fee and sliding door fee of the wardrobe are calculated separately . The difference between the two is four or five thousand.

Moreover, small factories do n’t need to have spokespersons. They do n’t have the cost of Sun Li and Li Bingbing. For the terminal, the price is ultimately king. According to the family income of the county-level city, they have no reason not to go. Save this.

 

And they can produce nearby, whether the size adjustment, processing speed, including after-sales installation, etc. are much faster than the efficiency of big brands to feed back to the headquarters first, and the end result is poor profitability of the store.

 

 

Looking back at the peak period of the custom home furnishing industry in 2015-2017, during this period, we have successively ushered in the listing of many custom home furnishing companies such as Oupai, Shangpin Home Furnishing, Holocaust, Piano, and so on. When running wildly, it really made many finished furniture companies jealous.

But since then, more and more new custom home furnishing companies are bubbling one by one. Looking at the average single store sales growth rate of these listed companies in the past two years, all of them have declined.

 

In this table data, the sales of the engineering channel have not been removed. If it is removed, it can be expected that it will be even lower.

 

However, in the past two years, almost all brand stores are in a growth trend, but the sales revenue of a single store is negative, that is to say, many brands are in the problem of increasing stores and not increasing revenue, and some sales data only It's not that the products are put in the hands of dealers by opening new stores.

 

To put it bluntly, those dealers have become stepping stones for big brands to "improve" their overall performance. They are only for the purpose of soliciting business. As for the life and death of dealers, they can't control you.

So sometimes it's not always good to lean against the big tree, maybe you are just a fertilizer to moisten the big tree . Those big dealers who make a lot of money rely more on their own channels and resources. Branded products are only one of the success factors, not the only ones.

What should we do in 2020? Where is the market going in 2020? I believe this is all the furniture there are doubts hearts, can only say that everyone be sure to prepare themselves for next year's market will be more difficult to do than this year.

 

But regardless of how market trends next year, as long as companies can have more research market trends, the number of prospective consumers pulse, to fully understand the real needs of consumers, small Scrapped, then spotted the market according to the actual situation of the factory adjusted to market positioning, In a certain field to do fine and deep, you can also go against the trend .

 

Each enterprise has different production scales, different sales channels, and the results obtained are certainly different. The one that suits itself is the best. Compared with custom home furnishing, furniture companies need to customize corporate strategies and tactics for themselves.

Relative to the boss, not being a 20 million company a month will definitely make money. Like a brand business owner, from the front-end research and development, design, material selection, proofing, process flow, to the back-end marketing, shop opening, and building The brand also needs to hire a team of professional talents to implement it. Every step must invest a lot of capital, and the links are not well controlled, and it is possible to run the risk of losing money.

 

On the contrary, it is not necessarily not profitable to be a company of 2 million a month. Like an OEM company, there is no front-end research and development and back-end marketing expenses. As long as the technology meets the standards, lean management will control the cost to the extreme and still have food . Corporate profitability is not about sales, but profitability.

 

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