Wednesday, December 29, 2010

Building materials industry consolidation trend apparent changes in the industry chain development to diversification

In the face of the financial crisis brought about by the enormous impact, building materials, household industry had to consider how to "survive", tremendous pressure, different companies with different options, different options will be different for them.

Horizontal cooperation between enterprises

In the face of the risk, the strengthening of cooperation between enterprises is undoubtedly the best way of fighting against risk. Whether it's home stores and manufacturers of cooperation or join between enterprises, have greatly enhanced the home enterprises confront the crisis of confidence.

Cash flow is the lifeblood of business, people are the lifeblood marketplace. In the face of the watch emotions strong markets, stores have launched joint tenants, heavy promotion strategies, and even whole 7 fold up the rare 6.9 discount promotional efforts once let macalline, even House, Home Marketplace popular upsurge, businesses and sales also ushered in a small peak. There is also a shop for stabilization Mall, and merchants to tide over and started trying to implement temporary special period "for the winter prices", outside the Cheng, macalline North Sihuandian are pushing "2 get a" discount, i.e. 3 months pay 2 months rent free 1 month rent dazhongsi lanjinglijia also out of the annual rent a 15% discount at all.

Shengxiang group in response to industry winter battle, since victory, to a certain extent also benefit from its other businesses for their cooperation. The first half of 2008, shengxiang three category sales continued to grow, with parquet growth is the highest. Shengxiang and Anderson cooperation, the products get to market quickly, and as compared to 2007, an increase of 131%; shengxiang and Kang tree 3-layer engineered flooring cooperation, also has more than 30% of growth; flooring has 20 million such very large base, there is also a 5% growth. And industry trend, has created a miracle in the flooring industry.

The industrial chain vertical expansion

If the horizontal joint through Enterprise strengths between fight risks, then the enterprises in the industrial chain of expansion is more is the enterprises themselves, need years strength and accumulation of experience.

In 2008, was home to the business model of the restructuring of the three major moves to the industry's attention. First is the original actually metal coatings supermarket was renamed "; followed by" Regal estate home House "is actually" living museum opening, and digging the reload to has many years experience of store-trading holds the brilliant command General Manager; then, actually adjusted home House several design center, and renamed "Lok housing decoration design center". After a series of business restructuring, home of the one-stop-shopping model started to become clearer. "How to stay ahead, how sure can't stick; not to be exceeded, it is to constantly surpass themselves. "House, home of the actually wanglinpeng one-stop-shopping model upgrade, also in consideration to actually model to add new content continuously.

He said, from the business context, it should be with the market development and changes in the market is based on a variety of services requires a different format, many markets are rental booth, or a simpler format, House want to put their own property rental business into this one covers more than one mode of business format. From the point of view of competition in the market, but also to make their own core competencies. As a simple rental seekers will not be able to truly reflect the operation and management. Even House in all of the domestic market stores, shopping malls, and at the same time do do their home market, and make your own supermarket, this will not only satisfy the consumers a one-stop shopping needs, for their own business is a rich, a promotion. The industry's many stores have been actually House mode, inside the Mall opened his own shop, do your own home design center, to engage in self-employment and home decoration.

Home business a multi-pronged phenomenon actually already in other industries, jeers to rich enterprise business scope, thereby improving their ability to resist risks.

Diversified channels hidden expansion

In traditional marketing channels big hit, the unique advantages of network marketing is attracting the attention of the big domestic enterprises. In reaching the market saturation, tangible circle competition, high price should open a new, take the intangible extension. Industry sources, in the economic situation is not clear, the mass of solid circle will increase household enterprises investment risk. Relative to the need to spend lots of money to invest in entity expansion, simple and efficient online marketing mode will be more likely to receive immediate marketing effect. Experts said that in severe financial situation, the network marketing as the most convenient, quickest and most efficient means of communication, become household brands into a powerful weapon for consumers.

By the end of 2008, disappeared for a few months of Jimei (view map) website reloading into battle. In contrast to the past, the site's most prominent Jimei's location to a called "online shopping store" section, quickly seize the market position of network marketing.

Is slowing store expansion speed Interbrew also increased network store building, was only popular TV media Interbrew, search engine spend lots of money to buy the headlines, to promote its "decoration surprise discount" activities. Web page presents the many rich decoration discount campaign to attract prospective customers click here for a list.

It is understood that, at present, China's domestic product purchase main force is the young consumer class, which is part of the population is familiar with the network environment. So the home and networks will produce more, not only can stimulate consumer shopping, can make up for the home enterprises the drawbacks of the traditional marketing model, jeopardizing.

Cross-sectoral integration of cross-

Cross-industry diversification, to find new profit growth point, become 2009

Home of the largest industry-changing.

At the end of November 2008, "China's household electrical appliance retail brand," said the GOME (view map), with Shenzhen local furniture retail industry's leading enterprise ¡¤HOBA home, as well as with the "cabinets first city" and "ceramic first city," said the State housing, three different industry giants join hands together, which formed the "Shenzhen new home Alliance".

This cross-industry cooperation, different industry partners will own advantage resources optimization, creating new markets for competitive advantage, to be able to produce than conventional marketing strategy a multiplier effect. In fact it is a strategic marketing alliance and a mutual win marketing partnerships. In the United States, good place to live 100 years, the countries forming "new home Alliance", before the domestic many enterprises have already introduced such cooperation. Real estate and home decoration company, the automobile companies and insurance companies, shopping centres and cooperation between banks, achieved good results.

In the face of crisis, we not only want to see this crisis in transition challenges posed by China's economy, but also to see where connotation of opportunity. For home building materials industry, the financial crisis has accelerated the advent of industry consolidation, restructuring, but also for those who have a broad vision of enterprise provides an excellent opportunity to sweep the fight live "winter", wait until the economy recovers after the "left", is the industry's strong.

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