Affected by the big environment of the home building materials market, the development speed of the wardrobe industry began to slow down, causing concern among many enterprises and distributors. How should the wardrobe enterprises and dealers respond during the winter? Maintain confidence, actively adjust, and tide over the difficulties with dealers.
2012 wardrobe industry to win with "creative"
The wardrobe industry is still sunny
At present, the market demand for the overall wardrobe industry in China is at a stage of rapid growth. According to statistics, the overall wardrobe ownership rate of Chinese residents is only 6.8%, which is far lower than the average of 72% in developed countries. In the next five years, China will have a market capacity of 29 million sets of overall wardrobe furniture, and the annual market space of the wardrobe industry can reach hundreds of billions of yuan.
About 29% of urban households will purchase the whole wardrobe in the next 3 to 5 years. At that time, the overall wardrobe market in China will surely have a "blowout" phenomenon.
Through the in-depth analysis of the national wardrobe market: First, the market share of the wardrobe market grew by 70% from the economically developed regions; Second, the rapid development of the wardrobe industry led to the expansion of production scale by manufacturers, and the industry's production capacity increased geometrically. The relationship between supply and demand in the market began to change. Third, a large number of building materials and furniture enterprises have entered the market with capital, channel or management advantages, which greatly intensified the market competition in the wardrobe industry. Fourth, the homogenization of wardrobe products has become increasingly serious, coupled with consumer products. The ability to identify quality is poor, and corporate branding is an urgent task.
"creative" adapts to the market
China's economy has obvious regional differences. There are large gaps in the level of economic development between coastal cities and inland cities, and between the first-tier cities and the second- and third-tier cities, resulting in different consumption needs and consumption concepts among people in different regions.
Enterprises can't change the current market situation in China. If enterprises want to survive and develop, they can only adapt to the market environment “creatively†and open up different markets with different products, brands and strategies.
The so-called "creative" means that enterprises should constantly deepen the brand connotation, target the needs of target customers, develop new products in a targeted manner, build comprehensive competitiveness of enterprises, and provide consumers with excellent value for money. Products, enhance the happiness experience of consumers; practice modern industrial and commercial civilization, and achieve a win-win situation for consumers, distributors and enterprises.
Benefit from management
Since last year, with the rapid increase in the cost of labor, transportation, logistics, warehousing, etc., especially the cost of raw materials such as wood, paint, paint, etc., many wardrobe enterprises have raised the price of their products by about 10%. However, because consumers are very sensitive to product prices, many companies have experienced some sales declines after the price increase.
In order to maintain the stability of the company's sales, the comprehensive analysis of the market and enterprises, made the decision to improve the company's lean management level and digest the cost of rising costs to ensure high cost performance. To this end, the company introduced professional training institutions to comprehensively improve the quality and capabilities of the company's sales force and improve the management efficiency of the company.
Burden for dealers
The stability of the dealer team is related to the long-term development of the company. Dealers often face enormous pressures to survive in the face of rising store rents, labor costs, and weak market demand. Enterprises should be good at reducing burdens for dealers, help dealers to reduce operating costs as much as possible, and support dealers to become bigger and stronger.
Actively develop new products
As market competition intensifies, the life cycle of enterprise products is getting shorter and shorter. To remain competitive and gain market share in the same industry, companies must constantly develop new products and quickly introduce them to the market to meet changing market demands.
Benefit from management
Since last year, with the rapid increase in the cost of labor, transportation, logistics, warehousing, etc., especially the cost of raw materials such as wood, paint, paint, etc., many wardrobe enterprises have raised the price of their products by about 10%. However, because consumers are very sensitive to product prices, many companies have experienced some sales declines after the price increase.
Burden for dealers
The stability of the dealer team is related to the long-term development of the company. Dealers often face enormous pressures to survive in the face of rising store rents, labor costs, and weak market demand. Enterprises should be good at reducing burdens for dealers, help dealers to reduce operating costs as much as possible, and support dealers to become bigger and stronger.
Actively develop new products
As market competition intensifies, the life cycle of enterprise products is getting shorter and shorter. To remain competitive and gain market share in the same industry, companies must constantly develop new products and quickly introduce them to the market to meet changing market demands.
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