As the saying goes, no matter how hard the flow is, no matter how respected people are, they have licked the yogurt lid.
Under the shadow of the epidemic economy and the global economic recession, the building materials and home furnishing industry is facing the dispersion of traffic through traditional channels. In order to continuously seize higher sales and revenue, the cross-border entry of "yogurt lid" among sub-industry is becoming a "hard-hit area" for multiple sub-industry scrambling to cross-border with trillion-level scale and "traffic entrance" tags. With the addition of the bathroom giant Jiumu , which has achieved sales of 10 billion in the past six months of 2022, the customized home furnishing "Zhen Huan Drama, which crosses the border and intra-volume", has been upgraded again. Although there is a huge conflict between finished products and customization in operational thinking and logic, judging from the category layout of the leading brands in various sub-sections of the pan-home industry, the category barriers of their original sub-sectors have been basically broken, and the product camps have cross-border competition with each other has become a foregone conclusion. The entire pan-home industry may have begun to follow the dust of home appliances, and the industry pattern of "home furniture" has emerged!
1 The end of custom home upgrade is Home Furnishing
20 years ago, it was a customized home furnishing in the edge of the industry. With 20 years of rapid development, it has created brilliant achievements and has also become the center of the current home furnishing industry. The chicken ribs of the past have become today's chicken chops. They eat delicious food and are a pity to discard, which makes big brands in different sub-sectors unable to help but cross-border progress.
As early as July 2020, Jiumu began to layout customized sections and quietly acquired Germany's top cabinet brand Bodebao Poggenpol. On April 29 this year, Jiumu's high-end customization project with a total investment of 2.5 billion yuan and an area of 625 acres was grandly started in , Yingdu Town. On October 6 and 7, Jiumu Sanitary Warehouse High-end Customization Zhengzhou Red Star Macalline Zhongyuan Global Home No. 1 Store and Xiamen Dongdu Red Star Macalline Store Twin Cities jointly opened, marking the official entry of Jiumu Sanitary Ware, a giant in the bathroom industry, into the whole-house customization home furnishing industry.
And Jiumu is not the first bathroom brand to enter the custom home furnishings. Before this, brands such as Wrigley , Kohler and Seagull have launched customized home furnishings. Among them, Wrigley Bathroom has entered the customized home furnishing industry in 2010. At that time, it claimed to build 10 production bases, with annual sales targeting 10 billion yuan. 12 years have passed, and according to the prospectus of Wrigley Home Furnishing Group, its custom cabinet wardrobe revenue in the first half of 2021 was 62.25 million yuan. Based on this calculation, Wrigley Custom Home Furnishing's actual revenue should be around 150 million yuan.
Although there is a larger market for non-customized products, it does not provide an overall solution and has its own way to meet consumers' personalized needs; however, with the integration of doors, walls, and integrated worlds, whole houses, whole decorations, one-stop shopping, and moving in with bags, the consumer side has formed an irreversible package consumption habit, and the demand for packaging products is becoming more and more obvious.
Under such a trend, more and more brands are cross-border customization. Currently, the companies that are custom-made are mainly from finished furniture, boards, kitchen appliances, flooring and other industries, such as Gu Jia, Huang Chao, Lin's Wood Industry and other home furnishing industry giants, as well as the big bosses in the board industry - Bunny Baby, Moganshan, Millennium Zhou, King of Coconut ( Bransa ), floor tycoons Nature, Shengxiang , Del , kitchen appliance big brand boss, Vatti , Deyi, etc.
2011, after natural floor was listed on the Hong Kong Stock Exchange, the product suddenly expanded from floor to wooden doors, wardrobe cabinets, and wallpapers. At that time, from the perspective of brand development, the author first proposed the concept of " home furnishing " for it. However, at that time, the home furnishing was only targeted at the diversification of the category of a single enterprise, and belonged to the company's business development strategy - home furnishing; Now, after the top brands in different sub-sectors fully diversified through the home furnishing strategy, the industry boundaries were broken and different industries were integrated. Those companies with "home furnishing" as the suffix may form a new industry - home furnishing.
2 Customized home furnishings, hot potatoes?
As mentioned above, there are more and more brands that cross-border to custom home furnishings, many of which are big shots in various sub-industry, but few are truly successful. The key is that these brands have been planning for a long time and are bound to win. They dare to spend a lot of money in factory construction, equipment procurement, exhibition marketing, channel construction, or store decoration. However, after the high-profile expansion, it is likely to end in a low-key manner. The seemingly tempting and infinite custom home furnishing market has become such a bad hot potato?
Industry analysts pointed out that the fundamental reason for the failure of these cross-border brands is the lack of systematic understanding of the nature of the customized home furnishing industry and the lack of core characteristics of customized home furnishing companies. First of all, due to the low attention and heavy delivery of the customized home furnishing industry, the management and control of the process, quality control, customer service and communication are relatively long processes; for customized home furnishing companies, customers are their natural centers, and they must adopt a customer-centric driving strategy, respond to customer needs at any time, and continuously iterate themselves.
Secondly, customized home is the industrialization of home customization services. Customized home furnishings are more like a mixture of furniture and decoration. Customized companies make products into services and industrialize service processes, thus becoming providers and service providers of furniture customization solutions, and ultimately building a more advanced C2B business model. We truly achieve consumer-centricity, and around their needs, and realize production through a flexible chemical factory with personalized large-scale production, and then use an information-based identification system to transport the cut different plates to consumers' homes for identification and installation.
This means that customized home furnishing enterprises not only need to cultivate the "technical control" of large-scale information production, but also have strong information organization system capabilities. And this is not a little difficult for cross-border brands that are used to the operation of single categories. From a single category to a multi-category, each additional category, its operating difficulty will exceed the range of 1+1 equal to 2, and it will increase in geometric range. Moreover, according to the previous channel model of single products, as long as you find major to transfer inventory, it will be half successful; but now it is based on the customer's consumption needs, and only by the headquarters output capabilities and effectively integrating the store's marketing, brand, delivery, product strength, etc. can you achieve success.
Because of this, many cross-border companies are now becoming more cautious - I can make customization, but it cannot hinder my active promotion in my main business. After all, the sway in the main business can easily touch the company's professional duties and core foundation, and this is obviously not worth the loss. However, this is just the current state. It is not ruled out that some companies will have to consider adapting to the development logic of customized enterprises and starting strategic transformation and upgrading once the customized sector business has gained greater expansion potential from the second growth curve.
. In terms of transformation, the cross-border senior Gu Jia gave an example. The Gu family has deeply grasped the essence of "slow first and fast", and focused on the construction of the middle and backend in the early stage, and then focused on the market after the organization, R&D, manufacturing, factories and supply chains are all smooth. Not only that, even a hall-level customized player like , Oupai , has accumulated a lot of strategy. On October 12, Oppein released the "new decoration" strategy, put forward six major proposals for "heavy" of new decoration, and comprehensively upgraded the Oppein decoration home furnishing operation system.
With the integration of doors, walls and cabinets, the penetration of customized home products into the world wall has been continuously strengthened, and the expansion of doors, windows, bathrooms and balcony spaces has been accelerated. Cross-border brands from different sub-sectors, with their own different industry backgrounds and product advantages, and with their own unique marketing strategies, they meet at the crossroads of the development of customized home furnishings. can be foreseen that the layout and magnitude of this hybrid competition will be highly likely to be upgraded, and this upgrade will also bring the home furnishing industry into a new industry pattern where home furnishing brands and small home furnishing brands coexist.The customized cross-border at this intersection will be a failure of cross-border players or a dam to rise that dominates the world. In addition to testing the strategic determination of the enterprise, it depends on how the law of the business jungle of "the strong will always be strong" will be interpreted!
