Internal and external squeezing wood doors industry must seek new channels

Once the market slumped, the operators of the entire wooden door industry were faltering on the ice, lest they become the losers in this industry storm. If you make a metaphor, you may wish to compare the consumption of wooden doors in recent years to an "anemic thorn tree."

Crazy expansion of the store, lack of household consumption, making China's wooden terminal store operations into an unprecedented "anemia." The terminal trader could not even find a plump leaf, but only found a root spike, which stung the nerve of each wooden door.

Crazy mobbing The author had to use the word “mopping up” to describe the direct, crazy and unscrupulousness of the hypermarket expansion. Up to now, there are at least 1,000 wooden door stores with an area of ​​more than 10,000 square meters nationwide.

In the hands of the expanders, the great axe of capital was held high. In the bustling parts of the city, hot spots were erected, and a store that was even more luxurious than a five-star hotel was built. Those local marts were arrogant and embarrassed. For small stores, competing with these "broad-bones" is only a dead end. The only way out is to turn to "low-end" markets that are dismissive or personalized. The reason is simple: small stores can't sell wooden doors for three months, operators may have to tighten their belts, and those hypermarkets can “live for another five hundred years” even if they are empty. This is the essence of the market: money is the site, that is, control of power, that is, visibility, is everything!

After the rise of factory rents and the pressing pressure of “developing cages and changing birds” in developed coastal cities, there was a lure before the large-scale development of the western region. Many coastal wooden door enterprises have moved their manufacturing links westward to the heart and staged a modern version of “Journey to the West”. In this context, Henan, Sichuan, Yunnan, Hubei and Other places have moved to the spot and have established production bases to meet the “God of Wealth”. Under the main theme of westward migration, in 2013, local wooden door companies also began to seek alternative ways to enhance their market control.

With the expansion of traditional stores, the development of new channel models has become a major focus of this year's wooden door industry. In order to compete for the market, major wooden door companies are not hesitating to make big money on channel development. With the continuous development of new channels, the fate of traditional dealers is facing unprecedented challenges, perhaps in the future have to transition to terminal logistics or service providers.

Both domestic and foreign companies rushed to the export market. Since the financial crisis in 2008, the export of wooden doors in China has been greatly damaged and has not recovered. In the post-crisis era, the unfavorable factors such as high foreign trade barriers, downward adjustment of domestic export tax rebates, and appreciation of the renminbi have made the export of wooden doors in China even worse. In the domestic market, a series of unfavorable factors such as increased real estate control, inflation, and reduced reputation of the industry have slowed sales growth in the wooden market. Some companies, stores, and distributors with weak financial strength and insufficient brand influence have already withdrawn from the market, while other large-scale and powerful enterprises, stores, and dealers have played a game that “holds the hill”. Regarding sales, I have grown crazy."

What makes China's wooden door industry more frightening is that some foreign brands have entered the Chinese market. Behind these brands, they have enough financial resources to make them compete with any domestic wooden door company. They have rapidly expanded in China and become the protagonist of the market. In addition, other industry giants in China have also rushed to the domestic home industry and become cross-border operators, further increasing the competition in the domestic market.

Exports and domestic sales are two-way emergency, telling us a fact: After the rapid expansion of China's wooden door enterprises after nearly a decade, they are about to enter a gentle, rational, and standardized track. In 2012, a variety of rigid extrusions that were not conducive to the development of the wooden door industry made the wooden door industry have to be passively upgraded. The old "steam-type home train" has become overwhelmed and the new "maglev train" will replace it. When the new train departs, it can only be a well-balanced, advanced and professionally-distributed business; those chilling, conservative, and out-of-town businesses will be abandoned by this train. This is a new world, a world that belongs to rules, resourcefulness and financial resources. It is a simple game with no enthusiasm.