Furniture Association Li Fengqi: Innovation will win the market
[Reporter] In 2011, under the background of constant changes in the domestic and international markets and economic situation, China's home furnishing industry has encountered unprecedented pressure. As a veteran of the home industry, what do you think of the industry's development this year? Please use the keywords to inventory the 2011 home industry.
[President Li] I am talking about the situation in Hebei, and I will talk about my views on this industry. In general, Hebei enterprises used four keywords to summarize this year, which are cold, hot, difficult, and light. First of all, it is cold. For production enterprises, the overall growth trend of the production enterprises is slowing down this year due to multiple pressures such as property market regulation, inflation, labor shortage, and rising raw material costs. According to the Hebei Furniture Association, about 40% of the companies have achieved growth, but the increase is mostly weak, reaching 10% less, and the highest individual can reach 20%. But most companies have little growth, and some even have negative growth. There are also some companies that have been remodeled or converted, and some have closed down, so this is cold for the production company.
But in terms of the market, it is a "hot" word. In fact, it is a kind of overheating. The current market competition is more intense. It should be said that it has reached an expanded form, but it is still expanding. Throughout the country, the entire market is still expanding, including all kinds of large CBDs, as well as our local market, which has been expanding. Now the market is overheated and overcapacity.
The other is difficult, it is difficult for dealers, because dealers are a very large team in the home industry, which plays an important role in the development of the furniture industry. Then dealers are also affected by this kind of property market regulation and inflation. It should be said that consumers' consumption is more and more rational, but the rent of the store is still increasing, and the dealers' days are getting more and more sad.
The next one is light. For e-commerce, we think it is light. Only some leading brands in the country will implement this e-commerce model. For example , Qumei has created a billion- dollar electronic marketing myth in forty days. It is still very influential in our industry. However, most companies, for e-marketing, should be said to be unfamiliar and not good at application, so I think this piece is despised. In the next step, everyone should still pay attention to this electronic marketing model, because this era of international informationization must use this IT electronic marketing model.
[Reporter] Some people say that the development of the industry has reached a real turning point, and the reshuffle is going on. Do you agree with this statement?
[President Li] I basically agree. I feel that everyone in the market environment has seen it and is constantly changing. The more intense this time, when the industry needs to be transformed and upgraded, it is the moment when a big inflection point arrives. So the big waves are sanding, and the last thing is gold.
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