Why paint dealers want to switch to custom industry

China Paint Network
News: In the second half of 2014, many domestic
coatings
dealers have switched to other building materials home industry, especially to do custom industry, what is the reason why these dealers have abandoned the original familiar industry and turned to
In recent years due to the impact of the national real estate policy in all walks of life are not good, coupled with e-commerce on the traditional retail stores hit even greater. At this stage, the production of enterprises in all walks of life is greater than sales, the number of merchants is much greater than the actual demand of the market, will inevitably increase the degree of competition between factories and merchants in the terminal. On the one hand, manufacturers let profit promotion, on the other hand dealers profitless promotion, so that dealers in the industry do not see the prospects and profit opportunities. Take
coating enterprises
as an example: reinforced paint factory ex-factory price of about 35 yuan / square, the market retail price in 49 yuan / square, plus warehousing logistics, labor wages, bonuses and other costs, merchants are almost unprofitable, but also cash inventory, so in addition to the industry's leading large dealers can still adhere to the volume, other regional brand paint dealers have reached the era of profitability, dealers are inevitable and trend.
coatings dealers are preferred to the zero inventory and high gross margin industry, because they have had enough of cash inventory and low gross margin status quo, so the customization industry has become the first choice of dealers who want to switch from paint.
demand in all walks of life has been declining since 2014, but the customization industry has been soaring, growth is clear, the outlook is good, the industry is the trend.
custom industry business model and meet the requirements of paint dealers, one: only a one-time investment in store decoration and sample display; Two: to order customization, no inventory sales; Third: cash transactions, no arrears; Four: multi-category, high gross margin and other profit models; Five: the same retail model, there are teams, channels, fast, easy to operate, easy to profit.
As a leading product of the custom industry overall cabinet is the first choice of many paint dealers, because consumers buy goods is the first cabinet, after wardrobe, so choose the overall customization, the enterprise cabinet project must be strong, in order to achieve joint sales, which is why many cabinet enterprises increase wardrobe items and wardrobe enterprises increase cabinet items. At present, many overall cabinet production enterprises are also involved in wardrobes and other customized products, enriched the product line, to meet the end store a customer multi-product sales model, that is, for dealers to increase profit margins and increase the profitability of dealers.
cabinets and wardrobe brands are worth choosing? The top ten brands in the industry are worth choosing, because the overall cabinet and custom wardrobe development have more than 15 years of time, the top 10 brands have grown and developed, with considerable economic strength and brand influence, manufacturing and services are relatively perfect, management and business environment more humane, worth choosing.
are the recommendations from which media are more objective and practical? As the industry's exclusive media "China cabinet network" and "Chinese wardrobe network" more authoritative; The top ten brands on the buy-to-buy network recommend more fairness.
investment needs to be careful, to invest in a brand to the factory inspection is inevitable, one: because the custom industry delivery is not timely, high delivery error rate is the industry common disease. Therefore, we need to understand the degree of standardization of an enterprise's products and advanced manufacturing equipment, as well as after-sales problem resolution time and policy, in order to allow dealers to deliver intact products to consumers, to maintain the brand's reputation and reputation.
Second: the marketing service capability and policy flexibility of the customized industry is also the focus of the dealer needs to examine, because the market height and starting point of the factory is not the same as the dealer, to see whether the enterprise can form a coordinated operation for the dealer's development in the region, to achieve a unified strategic vision is the key.
three: the future of the enterprise ideas and patterns, because the market is always changing, whether the enterprise's products and strategies can stand or lead in the forefront of the industry, to maintain sufficient market competitiveness.
Building materials home industry will have to go through a few years of baptism to break out more market space and opportunities, but I believe that after the brutal competition in the market can survive the enterprise will certainly give dealers more profit space and lasting development momentum.