Furniture industry VS Internet industry

Times are constantly changing, but the overall changes in China's furniture industry seem to be slower than the times. When the brand came, China's furniture industry was still working hard in small workshops. When the Internet was coming, China's furniture industry was working hard in factories. When the urbanization stepped forward, did the furniture industry still return Do you want to continue to work hard? The furniture industry embraces the Internet industry is the better way out.

The furniture industry and the Internet seem to be two completely different fields. How to combine organically is B2C or 020 is a problem. Let's first study how Suning, a household appliance industry similar to the furniture industry, does it?

Suning fully optimizes its industrial structure, with the same prices online and offline. This has led to the phenomenon that offline purchases are mainly in second-tier cities, and offline purchases are mainly in first-tier cities. The main reason is that the network environment of people in first-tier cities is more developed, and there are more stores, which is conducive to watching comparisons, and then go online to place purchases. Online purchases can have points or purchase through price comparison software, saving economy. For Suning, this move is not acceptable. The main reason is forced by e-commerce platforms such as JD.com, Taobao, and Tmall. This is a behavior that a strong man has to break his wrist and have to do. In order to achieve its own sales, JD.com has a good performance in the IPO. At the same time, the home appliance accounts for 20% of its sales. It can completely let go of the price war. After Suning's move, the overall revenue of Suning has declined to a certain extent, and the profit margin and profit quota have slowed down, but the growth is still there.

So, will the story of home appliances be copied to the furniture industry? The author thinks this is completely true! Everyone knows that the furniture industry is a violent industry, and the price of a set of furniture is often more than ten times the cost price. market.

From the perspective of Internet development, Amazon is an American e-commerce giant, and its furniture sales account for 10% of its sales. Many domestic e-commerce companies are imitating foreign business opportunities, and this market will be shaken sooner or later. The reason why it is not implemented at present is mainly due to logistics and brand reasons. The home appliance industry has brands, such as Haier refrigerators, Lenovo computers, and Midea air conditioners. However, the furniture industry does not have a brand but a platform, and it is currently difficult to make good articles on the brand. Once a certain piece of furniture is made into a brand, such as the XX sofa, then you can get online, and e-commerce will kill this market. Another reason lies in the uncertainty of the apartment type and the reason of logistics. From the current point of view, the types of houses in China are uncertain, and there is no standard. Everyone's understanding of the house is different, and there are certain considerations for the furniture industry to enter the house. China's logistics currently belong to small pieces of logistics. Large pieces of logistics such as furniture are difficult to be delivered to the door with quality and quantity. At the same time, it also involves the installation and maintenance of similar home appliance logistics.

In the short term, the furniture industry shows no signs of being hit by the Internet, but if you look at it for five years, the furniture industry will definitely be changed by the Internet. At the same time, the other way of combining with the Internet is group buying business. Can furniture really be group buying? I think that group buying of home furnishing is easier to produce than group buying of clothing, and it is easier to realize the C2B plan. The main reason is that the furniture industry is not a truly large-scale production model. Mass production has little effect on cost. The Internet will eventually change the furniture industry!

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