Amid the wave of renovation, do single-product building materials still have a way to survive?

Some people believe that "more than 20 years ago, it was the era of building materials dividends represented by ceramic tiles; 10 years ago, it was the era of customization dividends represented by cabinets and wardrobes; Now The next 10 years will be a dividend era for renovation."

Relevant data shows that my country’s packaging market demand will reach 1.25 trillion yuan in 2020. In the current home decoration market, decoration has become "one of three in the world". From this perspective, decoration has indeed been one of the biggest trends in the home furnishing industry in recent years. Because of this, some people shouted the slogan "No renovation, no growth."

On this track, which has long been dominated by heroes, there are mainly the following seven types of players.

First, real estate giants represented by Country Garden and Vanke. Relying on the advantages of the country's guiding policies on real estate, relying on various resources such as strong financial strength and upstream customer resources in the industry, they integrate the downstream industry chain from the upstream and directly enter the assembly track.

The second is the Internet giants represented by Alibaba, JD.com, and Beike. Relying on their own Internet, logistics and other advantages, they cooperate with multiple home furnishing brands at the same time and enter the decoration track by integrating industry resources.

The third is the Internet home decoration platform represented by Tubatu and Qijia.com. As a vertical platform giant in the online decoration field, they can be said to be the leader in the ideological enlightenment movement in the home decoration industry. With the ability to deeply cultivate the supply chain and accurately control consumers, they have quickly entered the decoration track.

The fourth is home furnishing stores represented by Red Star Macalline and Easy Home. With the support of a strong retail network and its own customer flow, they have strong advantages in integrating supply chain capabilities, logistics, delivery and assembly services, and it is a natural step to enter the packaging track.

The fifth is the Holy City, the Peak of Industry, Beautiful Home, Dianshi, and Dongyi RiHome decoration company represented by Sheng et al. They have relatively mature supply chain integration capabilities and delivery capabilities, and can complete standardized and personalized assembly solutions according to consumer needs. They have huge advantages in entering the assembly track.

The sixth is home customization companies represented by Oppein, Sophia and Shangpin Home Delivery. They have accumulated relatively mature experience in the era of whole-house customization, and by leveraging their brand influence, BIM technology and other advantages, they can quickly enter the decoration track.

Seventh are some single-category building materials companies. Ceramic construction companies that have entered the whole decoration track fall into this category.

Compared with the other six types of players, Single-category building materials companies including ceramic tiles are supplying It has no natural advantages in chain integration or delivery capabilities, and it is obviously more difficult to enter the assembly track.

So why do ceramic tile companies want to enter the decoration track? There are three main reasons.

First of all, consumption upgrades are inevitable. For consumers, it not only solves the laborious problem of purchasing home building materials products and installing them for the post-80s and 90s-based consumer groups, but also satisfies their individual needs. Pursue. In a word, consumers expect one-stop service. If this demand cannot be met, ceramic tile companies and their dealers will not be able to seize the opportunities brought by market changes, and may even be eliminated as a result.

Secondly, the customer flow in specialty stores has decreased. In an environment where the real estate industry has entered a stock era and ceramic tile production capacity is seriously overcapacity, competition among terminal ceramic tile stores has become increasingly fierce, and customer flow has become less and less. A large part of the customer flow has been intercepted by decoration companies. If you don't embrace renovation, it will be difficult for ceramic tile companies and their dealers to get out of this predicament.

Third, scale growth is necessary.The original categories and channels are not enough to support the needs of ceramic tile companies to expand their scale. To In pursuit of scale, they must find a second growth curve, and equipment may be this growth curve.

However, there are still very few ceramic tile companies that have truly entered the decoration track with a clear-cut banner. More ceramic tile companies are doing so by promoting the delivery model of finished ceramic tiles or increasing categories. Embrace the outfit trend.

Faced with the trend of decoration, which must be embraced but difficult to follow accurately, most ceramic tile companies are helpless. So where should dealers go?

1. If you don’t have the ability to do the whole assembly directly, then be a supplier to the whole assembly company. The key is to provide good services and strengthen risk control of accounts receivable.

2. Focus on the high-end market. High-end customers have spending power and are not afraid of trouble. They prefer to choose high-end products and rarely choose complete decoration. But the premise is to have products and brands that are enough to attract high-end customers.

3. If you do not want to be a supplier of a complete company and cannot grasp the high-end market, you must also make three aspects changes. First, reduce stores and reduce expenses. The second is to form a short video operation team, turning shopping guides and other personnel into Douyin operators, and acquiring customers through Douyin, the channel with the lowest customer acquisition cost at present; The third is to calculate the number of your own stores To reach the break-even point, we no longer blindly pursue market share, but pursue profit margins. Do not accept orders without profits, and selectively accept orders with low profits.