Home furnishing cross-border custom products to extend the test of brand influence

In the field of customized products, enterprises have evolved from a single brand to an integrated home to become a new trend in the industry. Some custom home companies have begun to enter the relevant product fields. For example, the wardrobe industry of Ou Pai Furniture Group, Shiyou flooring involved in wooden door products, Kohler cabinets unveiled in the market, and Filminger wading cabinet products. In the market environment where the demand for customized products is growing rapidly, the multi-party layout of the enterprises in order to obtain market share, brand value and management system have become the key factors for winning.

Brand integration action

"In the past, I only knew that Kohler sold sanitary ware. I didn't expect to have cabinets."... In the past two years, consumers who are unfamiliar with the home market often have the sensation of "XX brand originally sold this" when purchasing customized products. At present, in the custom home market, corporate “cross-border” actions become common phenomena.

The “cross-border” of enterprise customized home products is divided into two categories. First, the home furnishing company that makes a single customized product, with a certain type of product as the main brand to get involved in another customized product category, the two types of products have a certain relationship. For example, the European Group, which started with cabinet products, developed wardrobes and other related products in 2007, and in 2009 renamed “Guangzhou Oupai Kitchen Cabinet Enterprise Co., Ltd.” as “Guangdong Oupai Home Group Co., Ltd.”, currently in the Beijing market. The products include custom wardrobes, wooden doors, wallpapers and many other categories. In 2013, Shiyou Group, which started with flooring products, launched Shiyou·1851, a high-end brand of whole wood furniture. At present, Shiyou Wood's first flagship store display products include flooring, wooden doors, stairs, mahogany furniture, wood furniture and other integrated products. These brands are involved in a wide range of products, but generally related to their flagship products, often without leaving the category of wood products.

The second is represented by the expansion of kitchen appliances to custom homes. For example, the boss's overall kitchen launched by the Boss Group was newly launched in 2012 with the “Gifford” brand, which is a subsidiary of the Boss Group. At present, its brand is mainly based on cabinet products, involving wardrobes and electrical appliances. Similar to Haier's overall kitchen, Kohler art cabinet series. These brands often enter similar products in the form of investment sub-brands or subsidiaries, spanning different product categories, and are truly “cross-border”. The two types of "cross-border" products are all consistent - custom home products.

"cross-border" has joys and sorrows

"In the final analysis, it is because the market has such a demand." Wang Ningning, deputy manager of the business management department of the Real Estate Group, said: "The market for customized home products has developed rapidly in the past two years. In the Beijing market, not only the sales performance has been continuously improved; in the store, The brand area is also expanding. Customized cloakrooms, custom cabinets, etc., on the one hand, do not require different functions and sizes of products for different needs of consumers; on the other hand, custom home products are elegant in appearance and can satisfy consumers' individuality. Demand for the market has been well received by the market. The continuous expansion of market demand has prompted companies to get involved. As far as I know, many companies now have similar ideas, and integrating home is a trend in the industry."

Under the trend of extending the brand, some brands have gained a lot in the field of integrated home products. According to Gao Jin, general manager of Europa Beijing, “In 2013, the output value of the European-style wardrobe products exceeded 80 million yuan, a 100% growth rate compared to 2012. In the wardrobe field, its sales are stable among all brands. The top three. In the key stores in the Beijing market, the wardrobe has been realized."

In this trend, not all companies are smooth sailing. At present, there are not many companies that have successfully transformed, and even the phenomenon of withdrawal. In the industry, Haier's overall kitchen, which entered the brand extension earlier, appeared in the terminal exhibition hall in the past two years. Some cabinet stores were converted into kitchen appliances stores; once in the retail store, the retail channels laid out wooden doors, toiletries, and cloakrooms. Boloni, which has been waiting for many types of products, also put the focus of the products back into the cabinet products in 2013.

Industry sound

Difficulties in getting involved in new categories

Zhixiao Guo, head of the European sales group of Beijing Group

Many brands face difficulties in expanding new products. In Beijing, many local brands have also failed. The well-known "West Star" furniture, involved in cabinet products, is rarely seen on the market. It is not easy to get involved in a new category. It is necessary to build a brand-new system from production to management. If you don't play well, it is likely to damage the original products and brands.

Custom furniture grows a lot of space

Yang Zhenglong, Assistant General Manager of Hao Laike

Profit-seeking is the main reason for companies to enter other categories, just like the original enterprises that made panel furniture began to make solid wood furniture, European and American furniture; ceramic enterprises involved in ceramic tile, bathroom and other products. It is now the golden age of custom furniture development. Custom furniture has a lot of room for growth, so many brands are targeting this space.

Reporter observation

Product extension test brand influence

In December 2013, Sofia issued an announcement stating that it plans to jointly invest in SALM SAS to establish a Sino-foreign joint venture, which is mainly engaged in the production, processing, import and export of cabinet products. The reporter called the Guangzhou headquarters of Sophia. The person in charge of the relevant department said that the information in this regard is subject to the announcement. The two sides are negotiating and have not signed a written agreement.

Yang Zhenglong, assistant general manager of Hao Laike, said: "It is not easy to go from a single product to a diversified product category. Some enterprises have even joined the main business. Many companies are cautious but most choose low-key."

In cross-border, the most common is that companies have a fair performance in extending brand strategy, and some brands are “cross-border” for many years.

The industry believes that although the product structure is similar, the launch of new projects means re-preparation from design, production, sales, installation, customer service, marketing, etc., and sufficient funds are the basic conditions to customize the home industry and the factors of “people”. It is very important to build a new team with a sound management system.

The reporter learned that custom home products are a sales process that has been in contact with consumers many times. If there is no coordination in design, product quality, installation, service, etc., it is easy to affect the shopping experience. Trust is greatly reduced. Nowadays, the custom products industry is not environmentally friendly, the quality is not the most common problem, and more problems such as delay in delivery, insufficient design level and poor after-sales service can be classified as poor management and lack of experience. This is new. Common problems with the team.

In addition, a brand launches a new category and faces the embarrassment of brand influence. Yang Zhenglong explained: "The consumption frequency of household products is slow and the professional level is high. Many consumers generally consider the influence of brands and the evaluation of the people around them when choosing a brand. If the original brand is not well-known, or the foundation of new products is not well-played. In order to make consumers have a bad consumer experience, brand influence will be greatly reduced. From this perspective, there are only two or three influential brands in the customized home industry, and the real road to big home is still very long."

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