Ten issues that Chinese coatings should focus on in 2015

China Coatings Network
News: The past 2014 has been a bumper year for China's
coatings companies
and with the sharp drop in raw material prices, if you tell someone you didn't make any money in 2014, you'll be blinded. With raw material prices falling sharply, in 2015 I believe that China's
coatings
areas of concern will be different. Will sharply lower raw material prices still bring huge profits to paint companies? It's becoming more and more questionable. Personally, I think that China's paint industry will still make great strides forward, but the transformation for development is under way, the following is my personal view of 2015 China's paint should pay attention to the 10 aspects.
china's leading paint enterprises are basically foreign investment, is an indisputable fact. In the field of architectural decorative coatings, AkzoNobel and Libang paint have established their dominant positions;
powder
, AkzoNobel, Tiger and DuPont Huajia are leading the market; And
ship paint
everyone basically talks about the Big Three: Jotun, AkzoNobel and Haihong;
car
basically look at Asda, PPG and BASF; Despite the rapid growth of private enterprises, but in the field of car repair paint is the most influential PPG, Akzo Nobel and other foreign companies.
, which completed its global in-depth integration in 2014, is now pulling its energy back into the market, and his every move will affect the development of China's paint market, especially in the field of architectural decorative coatings and powder coatings, it is no exaggeration to say that China's 2015 architectural decorative coatings and powder coatings sector may be changed by the AkzoNobel Group research and development and marketing strategy.
In the past year, China's most lively paint field is water-based paint, we all take environmental protection to speak, I personally believe that the concept of environmental protection is all-round, comprehensive gradual reduction of organic solvents, organic additives, with all-natural, bio-renewable and inorganic materials to replace will let us talk about environmental protection has a stronger base gas. If you can use no organic solvents or organic additives at all in water-based paint, you will be hailed as a hero by the industry. Be aware that in most water-based paint formulations today, the amount of organic solvents and additives exceeds 15%, and the water-based paint we are referring to here does not include
latex paint
.
Although China's paint companies have made significant profits in 2014 as a result of the sharp drop in raw material prices, almost all companies are aware that such profits are difficult to sustain, that serious homogenization of products has led to a significant increase in marketing costs, and how to achieve sustainable development to ensure reasonable profits and avoid excessive homogenization competition has become a top priority for all paint companies. Personally, I think that the next hot spot in the development of Chinese coatings should focus on radiation curing, powdering and water-based; From a product point of view, high anti-fouling coatings, high-reflection energy-saving coatings, ultra-low temperature coatings, high-temperature coatings, radiation-resistant coatings,
waterproof coatings
, steel structure
heavy anti-corrosion coatings
and inorance coatings are expected to become the focus of development. Of course, some of the profits of super reasonable niche paint will also become the first choice of small and medium-sized private enterprises, such as automotive wheel coatings, sewing machine coatings, wood hanger coatings, generator insulation coatings and so on, after all, relative to large foreign enterprises, although the amount of such coatings is very profitable, but the amount is too small, not worth their input, and 2-3 billion market size for many small and medium-sized enterprises is still quite attractive.
to ensure the quality and stability of paint production, you must reduce manual operation and operation steps. The gradual automation and control of the production process is becoming the focus of more and more coating enterprises. For the enterprise personnel department, reduce the number of employees, they are dreaming of laughing, because it is difficult to recruit qualified employees, it is more difficult to recruit qualified staff is bothering almost all the enterprise personnel department. With fewer people to produce better quality, more stable products are becoming the direction of paint manufacturers. Of course, three-point paint seven-point construction, if you still use artificial construction, your quality is difficult to guarantee, and experienced teacher Fu asking for more and more high prices. We look forward
to the
of coatings and coatings in this regard.
I personally think that the traditional marketing model of coatings has come to an end, as a business you must fully understand and understand the impact and help that e-commerce is about to bring you. Online and offline interaction, which we call the O2O model, forms mutually beneficial relationships with your resellers and your end customers, and helps your resellers and your customers make money should always run through your marketing system.
I found that China's paint enterprises, especially private enterprises in their own product publicity on the spare no effort to compare and imitate each other throughout their entire marketing ideas, that is, we say excessive marketing. Some people say that in the product serious homogenization, serious overcapacity today, this marketing model is beyond reproach, and willing to spend money, loud marketing will certainly attract the attention of the market. But I personally believe that many companies are beginning to realize that spending more energy on understanding the needs downstream of the market, the real demand points, understanding and understanding the characteristics and weaknesses of your competitors will be more effective in improving your marketing capabilities.
past 2014 I have written that paint manufacturers make money, paint dealers make money, and traders who supply raw materials for
paint factories
make little money. Personally, I don't think this will last, as many traders of paint raw materials will accelerate their transformation in 2015, you have to find out the value of your survival, and many traders may go through the great year of 2015 by closing down.
China's paint industry has more than 12,000 manufacturers, as well as tens of thousands of dealers dependent on these enterprises to survive. The beautiful performance in 2014 attracted the high attention of the capital market, many enterprises and even cross-border coating projects, small and medium-sized paint enterprises on the new three boards have become fashionable, we expect the 2015 paint industry integration and mergers and acquisitions will be greatly accelerated. With the help of capital, the industry chain will be thick with their own raw material suppliers, distributors and large customers to form a long-term stable and win-win relationship is the direction of the development of the industry. Recently, a paint listed company has achieved a strategic alliance by swaping shares with its big customers. In 2015, more large and medium-sized paint companies will carry out IPOs, and strive to go to the main board and GEM to seek the support of the capital market, will be bigger and stronger.
if you let someone who doesn't understand paint sell paint, what's the result? And the vast majority of sales staff in China's paint industry really do not understand paint. More and more layers have realized that it is difficult to differentiate sales without understanding coatings, and a research and development staff who have no sense of the procurement costs and raw materials market can not help enterprises effectively control costs, design the best cost-effective formula. Our staff training is moving from professional training to cross-border training. For example, let our sales managers learn some financial support to make them understand that endless releases can be disastrous in terms of increased financial costs; And let our sales staff understand and understand the basic situation of procurement warehousing in transportation, can let them know that unconditionally meet customer requirements means that the company's profitability level is greatly reduced; From the company's management's point of view, even if you achieve a very high gross margin, you may also be required to drill storage and transportation losses, and over-time release of food dry and clean; Allowing technicians to learn some basic knowledge of warehousing and procurement will certainly help to control the cost of raw materials, and each additional variety of raw materials means an increase in procurement management costs and storage costs.
although our solvent-based coatings have "made a contribution" to China's serious environmental pollution, I personally think they are small compared to other serious chemical and automotive exhaust sources.
but our paint manufacturers have to be careful that the government's tough environmental regulations are forcing you to move or even close down. Accelerating the development of coatings and processing methods that do not pollute the environment should be your top priority.
2015 should be the year of the start of a fundamental transformation for Chinese paint people, considering your chances of being eligible to survive this dramatic transition?