May 1st furniture market sales are cold

May holiday has always been the home industry in the first half of the best time to sell sales, but the reporter visited the local furniture supermarkets found that most businesses expressed that during the 51 passenger traffic is only seen rising, but sales have not seen increase.

Zhong Haizhou, assistant director of the Federal Board of Directors, thinks this phenomenon is normal. On the one hand, with the adjustment of the entire industry, furniture companies and stores often choose to make more profits, not necessarily waiting for holidays. On the other hand, as consumers become more rational, many consumers have expressed that they will not covet small discounts such as discount coupons on the stores, and make the right choices after comparing goods.

I can only see the increase in passenger traffic not seen sales increase in Foshan Home International Expo City, Yiao Otland home deputy manager Li Zaolan could not help but throw up bitter water to reporters. “We sent 20,000 flyers, but we didn’t see much effect. The sales in 3 days were only over 200,000, which was even less than usual sales,” she said.

However, according to the relevant person in charge of the home Bo City shopping mall, they held a series of promotional activities during the May Day Holidays. The peak of consumption was mainly concentrated on May 1 and 2 days, and the number of people was significantly higher than usual, and the sales market went well. According to incomplete statistics, during the period of May 1st, Bo’s home sales increased by approximately 20% over the same period last year.

During the May Day period, Lecong Red Star Meikailong held sales promotions such as redemptions and sweepstakes. Many merchants also launched discount promotions, but the popularity went up and business sales did not follow.

“I'm sorry to say that.” Long Qirong, a salesman of Lecong Tang and Habitat Furniture, said that from May 1st to 4th, their sales were less than 100,000. The number of people patronizing each day during the May Day holiday is more than twice as usual, but sales are similar to usual.

However, Red Star and Macalline said that during the period from May 1st to the 4th, the total sales of the entire shopping mall was nearly 30 million yuan, and the passenger flow exceeded 8,000. Compared with the same period of last year, the total sales of merchants increased by 384%. Increased by 273%.

In the Louvre, a high-end route, Li Qunfang, a new era outdoor furniture manager, said, “We haven’t opened bills for 51 days.” Xu Li, a salesman at the fashion workshop, told reporters that the turnover during May Day was 4 days. About 150,000 yuan, a decrease of 10% to 20% over the same period last year.

Market downturn, price increase or price cuts?

In the face of the market, Foshan furniture companies and stores appear to be divided. Some said they would trade for price changes, while others said they would increase prices.

Zhong Haizhou introduced that the average gross profit of the entire household industry has decreased year by year, and the average net profit is only about 8% to 10%. Moreover, the furniture industry is still dominated by non-standard products, unlike white electricity and other industries can be large-scale standardized production, price reduction space is very limited. Currently, 20% of home-owners’ income is paid to the store in the form of rent, and 7% of the income is given to the logistics company. The salesperson’s commission is 2%, and the hydropower, after-sales, installation, and delivery costs also have to be calculated. Not much, there is little room for price cuts. ”

Wang Dong, deputy manager of the planning department of Foshan Weishang Furniture Manufacturing Co., Ltd., said that the prices of furniture raw materials and labor have risen by 10% to 30% this year. The prices of aluminum materials, stainless steel and other chemical materials used in hardware products have risen, affecting furniture price fluctuations. The main factor. Some merchants in Foshan Jiabo City also stated that after May 1st, some products will be increased in price, and some furniture products will have inevitable price increases.

Zhong Haizhou said that although there has been a price increase in the market, with the current situation in the industry as a whole, it is still necessary to increase prices with caution. Because the market is in a state of oversupply, and furniture companies are not strong on the bargaining power of the upstream and downstream.

For some real estate companies to price changes in practice, Zhong Haizhou said that the effect of the downstream furniture industry remains to be seen, the entire furniture industry is still far from a good day, "it still depends on the true nature of the enterprise itself, to their own efforts."