Throughout 2011, in the context of real estate regulation, the furniture industry, which is closely related to the property market, was caught in a “cold winter”, and in the industry's view, this trend is difficult to reverse in 2012. In many furniture stores in Hangzhou, the tide of withdrawal has been looming. At the same time, in the situation of high store rents, more manufacturers and dealers began to consider expanding other sales channels such as e-commerce.


Withdrawal of shop looming


Mr. Liu has been engaged in furniture sales in Hangzhou for many years. Now there are branches in four furniture stores in Hangzhou, but he plans to withdraw one or two after the year. “The operating situation last year was particularly poor, sales fell by 30%, and the rental price rose. One percent."


Mr. Liu said that there are not a few peers who are similar to his situation. “The correlation between furniture sales and real estate sales is very large, but because of the delivery period, there is usually a delay of one or two years. Now the country has been regulating real estate for two years, so I think the furniture industry in 2012 The situation will be more difficult."


The latest data released by the China Building Materials Circulation Association (BHI) in December was 105.72, a decrease of 4.05% from the previous month, and the downward trend was obvious. Qin Zhanxue, vice president of the association, said that the gold and silver were not good enough last year, and they continued to be weak in November and December. In 2012, due to the continuous regulation of real estate, rigid demand will not be accelerated, so the building materials and furniture market may still have a cold year.


In July last year, the Hangzhou store, which opened its store for only 8 months, was forced to close its doors. What is even more regrettable for the industry is that in May last year, the old furniture market in Hangzhou, which has been in business for 12 years, was closed on the 1-3rd floor of Peace Furniture (the 3rd floor of the mahogany furniture district continued to operate), and more than 100 merchants were all removed. . These are all seen as signs that the home industry is entering the "winter."


Nowadays, many furniture stores, there are indeed some shops in the closed state, some are early holiday in the Spring Festival, and some have already been withdrawn. In a furniture store on Moganshan Road, the best store on the first floor, the store of a sofa company has been withdrawn. The staff of another sofa store in the door said that the store opened more than a year, but there are already several stores. "There is also a sofa shop, which is relatively high-end, and has not been sold for one month. After a quarter, I will withdraw the store."


The channel director of a well-known furniture brand in Hangzhou also said that since the second half of last year, the phenomenon of withdrawal has indeed increased significantly. The reporter asked the staff of the above-mentioned store investment department as a dealer to inquire whether it can rent a good location on the first floor after the year. The other party said, “We will have an overall adjustment before the end of March. It is estimated that there is at least 10% of the face, good. The location will definitely be there."


This phenomenon of withdrawal from the store has also become more common in the country. According to the "First Financial Daily" report, recently, after hearing the news that rents will continue to rise, Red Star Macalline Chongqing Jiangbei store, Wrigley, Faenza, Siwei and other 12 bathroom brand agents chose to "escape" collectively. Because only four of them have not lost money, the negotiations with the store on rent reduction have not been successful.


The pain of rent is difficult to solve in the short term


Mr. Liu said that the low-end furniture store in Hangzhou now has a rent per square meter depending on the floor and location. It rents 300 square meters in a shop of 100 yuan-200 yuan/m2/month, plus miscellaneous expenses such as water and electricity. It will cost 670,000 yuan a month. If you count the labor cost, you will get 890,000 yuan. The monthly turnover can reach 200,000 yuan. It is already very good. "40% of the turnover is used to pay rent. It must be To lose money, basically it is to work for the store."


According to the survey data of the National Federation of Industry and Commerce, when the rent accounts for 10% of the turnover, the dealers make a lot of money; when they account for 20%, they save the capital; if they exceed 20%, the dealers will be more difficult.


The above-mentioned brand channel director said that the furniture industry belongs to high gross profit, low net profit, and various expenses for terminal sales, including property and decoration, etc. “Hangzhou may now be close to 60% of dealers near the Baoben line.”


Mr. Liu said that some people have now withdrawn their stores, but they have not yet taken up the majority. "Most people are still waiting to see, hoping to get past and wait for the market to pick up. After all, they have invested a lot of money. Another part is entering the furniture industry in previous years. They are not bad money, and they have more hands in the industry. If it is made of furniture alone, it will be very difficult now."


Another senior industry insider said that although the situation of withdrawal of the store is much more, most of the stores are not in a hurry. "Many people are withdrawing from the game, but there are still many people entering the market. Everyone feels that they will become the earner." 40%." In his view, compared with the home appliance industry's store model, the furniture industry's stores are more powerful, because the market concentration of home appliances has been relatively high, manufacturers are mostly big brands, have a certain voice, and furniture There are more than 20,000 manufacturers nationwide, and they are still small and scattered, so most of the stores are not rented.


"The foreign trade situation was relatively poor last year, and many export enterprises turned to domestic sales, so there are still many renting shops, which is why the rental price can go up." Mr. Liu analyzed.


In addition to the rental price, many merchants said that when the store opened a new store, many would require manufacturers and dealers to expand together. "The store expansion is too fast, we have to run hard."


However, recently, the National Federation of Industry and Commerce Furniture and Decoration Industry Association organized a forum in Beijing. At the meeting, furniture manufacturers and dealers jointly called for the store to reduce rents. Some small and medium-sized stores have taken the lead in compromising. A Tianjin store representative said on the spot, New Year's Day. During the period, the rent has been reduced by 10%-20%.


The head of Ouhua Shangmei said that they are already trying out the new store model. A few months ago, they opened the country's first furniture direct sales plaza. The store does not charge rent, direct purchase and unified management.


There is no information on rent reduction in Hangzhou, but industry insiders estimate that although the strong market structure will not change in the short term, the store rent is likely to decrease in 2012 as the dealer's operating environment continues to deteriorate.

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