Real estate is inhibited by the furniture industry, it is difficult for 30% of dealers to lose money

The whole body, the impact of real estate regulation, radiation in the building materials, ceramics, furniture and other industries. The madness of the property market in 2009 and the active promotion of infrastructure construction have also spawned a large number of dealers. In the second half of 2011, after they had passed the rapid development period, they had to face the business pain caused by the shrinking industry. Even the big players with strong strengths have said that sales have fallen sharply, and 2012 seems even more difficult. As a small and well-known distributor in the furniture industry in Guangzhou, the overall performance of the poetry museum in the first half of this year has dropped by about 30%. Even if the facade is added, the overall performance is lower than before, and occasionally the balance can be achieved in one month. Basically they are losing money. In the furniture industry, major dealers are generally facing pressure to reduce sales. Not only the furniture industry, building materials industry, sanitary products, and decoration industry have seen sales shrinking. The performance of some large-scale distributors has declined in different degrees this year, with the largest decline of 50%. The impact of real estate regulation and control is a direct incentive. Starting in the second half of 2011, the situation in 2012 will be even more severe. In the face of difficulties, many dealers' development plans have been stranded. They have said that they can adjust their stores at any time according to their business conditions. The market will increase in good places, and the bad stores will close the stores. At the same time, dealers who originally focused on high-end products began to explore the path of diversification and began to push products for low-end consumers with weaker spending power. I didn’t expect the contraction to come so fast. “In terms of macroeconomics, the industry will have a trough in three to five years, coupled with changes in the international situation. It will be stimulated by external factors, and shrinking will inevitably occur.” Li Qizhong said, but the impact of real estate regulation is the most direct. "The real change began in the second half of last year. We also expect the market to shrink, but I didn't expect it to come so fast." Wang Weidong, general manager of Nature Floor Guangdong Branch, felt that after July of last year, the company's order. Started to drastically reduce. In the decoration industry, some small and medium-sized decoration companies are forced to close down due to shrinking business and rising costs. Even for powerful brand companies, the annual turnover is at least 30%. "Now many large dealers in the furniture industry are losing money." Hu Yuanqian, the owner of Zibotang, said that when he took the May 1st Golden Week, the price was favorable, and the overall performance of its stores fell by about 20% from January to May. The sales season is also very dull, the cake is small, more people are robbed, and business is even less. Although the number of stores is small, Lin Jiansheng, a well-off dealer, said that according to his understanding with his peers, this year the market is difficult to do. “The newly opened stores, like a large-scale home procurement center in Weizhou, there are a lot of vacancies in Weijiasi and Ouyada, and even some of the very popular stores are now starting to have vacancies. If they are not selling well, the losses will not be done. For new stores to survive, it will take at least three to five years of cultivation." Zhang Chengzhi, secretary general of the Guangdong Provincial Furniture Association, said that about 30% of furniture dealers are in a low profit, about 40% are in capital preservation, and about 30% are losing money. This data is still conservative in the eyes of many furniture dealers. “I expect 40%-50% to be a loss.” A boss who has been in the bank for many years said, “Many people are insisting that companies can hardly do it. Even if they lose money, they can persist and stick to it.” More, the decline continues in the furniture industry, facing the decline in sales, not only the poetry museum. Since its establishment in 2002, Jinshang Mingdian has opened 40 stores in the Pearl River Delta, most of which are concentrated in Guangzhou. Zhang Bangken, general manager of Jinshang Mingdian, previously revealed that the turnover in 2011 fell by 30% to 40% compared with 2010. In the first half of 2012, it fell by 30% to 40% compared with the same period in 2011. “The situation in the second half of 2012 is expected. It may be even worse.” Chihuahua mattresses, which are well known to the public, have developed very rapidly in recent years, and all the stores in the first-tier cities are stationed. At present, there are more than 500 specialty stores. Due to the wide scale of the shop, the operating pressure has also begun to increase. "A day will open, the pressure is big, we must hurry." Chihuahua South China General Manager Xiangyang said with a smile. According to her, the company's sales in 2011 were the same as in 2010, "but this is flat in the case of increasing the facade, in fact it is falling." Pay more, gain less, this feeling, get the natural floor Guangdong branch General Manager Wang Weidong's approval. "This year I made a lot of adjustments and paid more than last year to achieve a flat state. If this year's practice is the same as last year, it must have declined." Nature's floor sales in 2011 achieved a 17% increase. "But the target set at the beginning of the year is 30%. There is no way, it can't be achieved." Wang Weidong said that he also compared the market situation in 2012, which was down 20% year-on-year in March. The sales in April were basically flat, and there was no final in May. Statistics, "At most, it is flat." “Some of the peers have fallen so badly that they even reached 50%, and the natural floor is still good.” In addition to these large distributors, some small and medium-sized dealers are also facing a decline in sales. There are more than 20 Zibo Halls in Jinhaima with branches, and 70% of the large stores have entered. "If the factory direct sales, it is better than a small agent. If there is a 10% profit in the factory, even if it is sold on a flat surface, the surface will be at a loss, but the market can still be flat." Expansion does not expand? Whether the prospect is unclear whether it is going to Beijing or not, when it is going to Beijing, the poetry museum is hesitating. Whether it is expanding or closing, where to expand, where is the same, is also a problem faced by other dealers. "In the past two years, we must first seize the important cities and regions, but now we are more cautious and safe." In 2012, the principle of the poetry museum is to open 10-15 new stores and adjust the old stores. The market with confidence and prospects has increased. For example, the Louvre has added five stores in the past few months. If the benefits are not good, consider closing. “The shuffling of the flooring industry has intensified. Many stores have their counterparts in the store. If they are not doing well, they will shrink their stores.” Wang Weidong, general manager of Nature Floor Guangdong Branch, said that in terms of channels, which one is off. "We feel that the market is not improving in the short term. If it lasts for two years or so, it must be dealt with in this way. If it is short-term, it will pass, but it is not." As of now, the nature floor this year. Newly added 2 storefronts, but if there is a huge loss in the old store, it will be closed. "In general, the average store will sell at least 500 square meters to protect the capital. We also have several stores in the loss, but depends on how to calculate, if you look at the amount of sales, there will be profit; if the actual installation volume of the customer, Loss." Due to the uncertain future, some dealers have not confirmed the new developments this year. Hu Yuanqian, the merchant owner of Zibotang Jinhaima Jiangnan Avenue, said that how to adjust the store this year will be fixed in the second half of the year. "A good market still has to enter. After all, if there is production, it will be sold in the market. But if the loss is more severe, the shop will be withdrawn." Originally doing high-end, now diversified Although the market is not clear, dealers are not optimistic about the market outlook, but still try their best to drive sales. Nature flooring has been actively adjusted on the product. On the one hand, based on high-end products, the company developed a new high-end brand of flooring, “close to the meaning of luxury goods”, and currently the sales of high-end products are relatively stable. On the other hand, the introduction of low-cost mid- to low-end products, such as composite flooring, is approaching low consumption. “This kind of adjustment is also done according to the changes in the real estate market. The high-end has not been affected much, and some low-end and mid-end products are gradually moving towards the low end, and the real impact is the mid-end products.” Nature Floor Guangdong Branch Manager Wang Weidong said. Originally doing high-end products, now they are exploring the low-end, nature is not a case. “We also want to cater to the market demand.” Xiangyang, general manager of Chihuahua South China, said that the current small-sized properties are selling well, and the launch of affordable housing is mainly for relatively low-income groups, in order to meet the needs of these customers. More and more companies are making targeted adjustments. How about the future, dealers of all walks are still actively exploring, whether it is diversified, dealers who focus on high-end products are still hesitating. Li Qizhong, the person in charge of the poetry museum, said that the company has plans to set up a subsidiary to operate popular products and sell products with medium price but good quality. "But now it is still in the discussion stage, the channels are not implemented. After all, the challenges of the current popular brand and The pressure is also very large.” Microcosm: overall performance fell 30% in the first half of the year. Shiwei Pavilion, a well-known dealer in the furniture industry in Guangzhou, as of now, has more than 70 stores, layout Guangzhou, Panyu, Shenzhen, Le From seven cities and regions in Zhuhai, Wuhan and Chongqing, all the specialty stores are concentrated in the professional furniture venues, featuring high-end personalized furniture. Since 2010, the poetry museum has gone out of Guangdong and is facing the national layout. In 2012, the sales target is 500 million yuan. "In such a special period, it is really not easy to do it." Li Qizhong, the person in charge of the poetry museum, said, "At the end of last year, the industry began to decline. This year, the first half of this year became more and more obvious, and dealers felt that their days were not good." At present, 80%-90% of the stores do not make money, and the monthly loss is between 3 million and 4 million yuan. In the first half of this year, the overall performance fell by about 30%. Even if the facade was added, the overall performance was lower than before. Occasionally, the balance of payments could be achieved in one month, and the rest of the month was basically at a loss. Affected by the overall shrinkage of the industry, Shiwei Pavilion’s plan to enter Beijing and Shanghai this year has become uncertain. "Generally speaking, special areas must be stationed, regardless of profit or loss, we must seize the market. But this year the industry is getting more and more difficult, and the price increase has led to an increase in employee salaries. When you enter Beijing and Shanghai, you will definitely not make money at the beginning. Therefore, the plan is temporarily affected." Li Qizhong revealed. ■ Seeing that the real change in the market started in the second half of last year, we also expect that the market will begin to shrink, but I did not expect it to come so fast. --- Wang Weidong, general manager of Nature Floor Guangdong Branch, is now a large loss in the furniture industry. --- Hu Boqian, the owner of Zibotang, expects the situation to be even worse in the second half of 2012. ———Zhang Bangken, General Manager of Jinshang Mingdian (Source: Finance)

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