Home building materials e-commerce start calmly

Quartet forces gather emerging home e-commerce industries. Home e-commerce start calmly, improve the experience and personalized customization will become two forward directions. In early November 2011, B2C Mall Baishe Home, a subsidiary of the traditional chain home-based company Yuexing Group, officially launched. Although it is no longer news to sell furniture online, it is not difficult to find the excitement in the “marriage” between the furniture industry and e-commerce in the past.

In June 2009, Qu Mei’s “e World” online mall was launched. This is the first online home shopping mall established by a domestic independent furniture brand; in 2010, Anjuliye, which is located in the 3D furniture online mall, went online; in December 2010, Baidu Investment decoration home category vertical website Qijia network. In 2011, home e-commerce is full of flowers. In April, Ali's home e-commerce platform went online; in May, Dongfang Homeland Building Materials Supermarket established the East Livable Online Line; in May, Taobao Mall Ai Beechy Household Museum opened its offline experience hall; in July, Sina Home Channel One Station home service platform "home-to-home" on the line; in August, Alibaba held the first home e-commerce summit; in October, Shenzhen building materials chain brand Guoan Habitat's B2C website gifted home superior product and the first home O2O e-commerce platform space network successively online.

There are numerous indications that home electricity providers are starting to calm down. As the downstream industry of real estate, the home industry is indirectly affected by the national property market regulation and control policy, coupled with the expansion of the scale of home stores and the financial pressure brought by the rising costs of raw materials, labor, and logistics, which require the home industry to find new outlets. "It is imperative, and e-commerce is precisely the more feasible choice at this stage."

On the other hand, the data released by the China Furniture Association shows that in 2010, the industry completed a total industrial output value of 870 billion yuan, a year-on-year increase of 19.18%. According to the average growth rate of 22.2% in the past 30 years, the total output value of the furniture industry will reach 2,430 billion yuan by 2015, which is expected to become China's "primary industry." This undoubtedly brought about sufficient room for imaginative home e-commerce in the start-up, and the high degree of coincidence between netizens and home buyers has provided a broad “mass foundation” for home e-commerce.

The Quartet’s struggle for a new stage is based on the desire to get rid of the existing difficulties and hopes for a broad market prospect in the future. The just-started home e-commerce has ushered in the participation of the Quartet forces.

The first category is the “touch net” of the traditional home industry, which is divided into two types: brand owners and channel distributors. The brand owners are represented by Qumei Home Furnishings, and Oriental Homeland and Yuexing Group are typical of channel distributors. These companies have worked in the industry for many years and have strong ability to grasp products, but they lack the experience of e-commerce operations. The second category is platform service providers, represented by Taobao Mall's household halls. They have e-commerce operation experience, but lack the accumulation of the home industry, and localization and customized services are slightly inferior. The advantages and disadvantages are the opposite of the first category. The third category is the vertical household electrical business, represented by Qijia.com, similar to other vertical e-commerce providers, with the advantage of specialization and integration of services, but higher marketing costs. The last category is the portal self-built home e-commerce platform, such as Sina Home, which has high user traffic and good branding, and information as an extension of the platform, but the lack of e-commerce operation experience is its shortcomings.

Although each share of strength has its own advantages and disadvantages, the most urgent need for household electricity providers to solve is the industrial malaise. First of all, the offline home industry has problems such as opaque prices, uneven product quality, and low market integrity. These problems will extend to online and affect consumer acceptance of home e-commerce. Second, furniture is a durable product. The purchase cycle is long, consumers are more rational and cautious when buying, and the security of large-scale online payment is also their concern; once again, furniture is a non-standardized product, single-piece furniture is easily inconsistent with the overall style of home improvement, consumers are customized and The demand for personalization is relatively high. From the pre-sales consultation to the after-sales service, the home e-commerce company needs more time and effort, and sometimes home furnishing logistics needs to cooperate with the decoration process. Finally, it is difficult for home electricity suppliers to avoid the e-commerce business. Puzzles, such as the difference between physical objects and pictures, conflicts between online and offline stores, etc.

Judging from the current situation, compared with other categories of e-commerce providers, home electricity providers started late, and there is no single home-based electricity supplier in the industry has absolute advantages, basically still in an initial state, how to get rid of many issues Responsibility for the consumers to accept and trust the home e-commerce is the common mission of all market participants.

Everything in order to experience home consumers care about furniture materials, styles, prices, and all this is less than the "experience" to come true, people who want to buy a sofa want to know whether this sofa with the other furniture at home, the style is coordinated, they I also want to know what kind of feeling this sofa feels when it is touched and seated. These are precisely the shortcomings of e-commerce. Home e-commerce is trying to meet the consumer's experience needs both online and offline.

Online experiences benefit from advances in information technology. Anjuliye Mall has built a 3D visualization DIY home online interactive platform, recommending model rooms for users according to area, location, style, etc. Users can not only select according to different functions such as living room, kitchen, bedroom, but also according to modern Shanghai, American villages. , classical, mashup and other styles to choose, and based on this DIY design. Shang Pinzhai also launched a similar service, launched a special "My Home My Design" software, users can draw flat floor plans, virtual decoration and so on. The online experience and DIY design methods have significantly increased the user's participation. However, their functions are currently more manifested in increasing the fun of home shopping, and they are still playing a limited role in providing reference for purchasing decisions.

Compared with the novel online experience, offline experience is more real and more popular with consumers. The Taobao Ai Chao Chao Family Experience Hall proposed the "F2C" (Factory to Consumer) low-cost model that dispenses with intermediate links, using scenarios, intensive, and online to display goods. At the same time, payment can be made offline through the cashier's desk at the experience hall, but orders still need to be made through the Internet. Taobao's Love Apocalypse has strengthened the function of “experience”. However, at present, this model has a series of problems such as limited coverage, limited display space, price tag and online shopping price, which affects the pleasure of consumer experience to some extent. . At the same time, this method is only applicable to large businesses that are "heavy," and may not be a good deal for a small business.

For traditional home businesses, they already have offline stores, which have obvious advantages in enhancing the buying experience of consumers. However, online and offline operations also bring about coordination issues. If everyone goes offline and buys online, the offline sales under the cost pressure are bound to be affected. If you sell different products online and offline, then the advantages of the offline experience of the traditional home companies will no longer be there. exist. The author called the Baishe home network customer service staff of Yuexing Group to ask whether it is possible to go offline to experience. The customer service staff said that online products are generally not sold offline because it involves coordination problems between the two channels. This is where the traditional home-based companies are exposed to the pain of the Internet. In the end, experience is important, or whether coordination is important or not.

Homes also have to provide personalized, personalized home products and services to become another trend in the entire home industry. The data shows that currently customized home furnishings have accounted for 10-15% of the total market share, and have doubled in recent years. Custom homes create added value through personalized demand, lock down relatively high-end users with personalized needs, avoid falling into the price war, and become more attractive in the home industry, where the cost is high. For home electricity providers, it is naturally the same. Cool Manju cooperated with Disney, Time Warner and other companies to obtain authorizations for cartoon images such as "Cats and Rats," "Superman," "Batman," and "Harry Potter." Grabbing online and offline together and planning to provide customized home services starting next year, Dingxin Capital has now obtained 60 million investment, and plans to go public within three years.

Home customization involves consulting, evaluation, design, field measurement, logistics, installation, and after-sales service. It also includes more offline participation. Shangpin Delivery's new home network and more than 600 physical stores have achieved online and offline docking. Consumers browse the 3D model room on the new home network. They have the intention to make online reservations. They can enjoy a discount through the online shopping mall and they can also participate in the Online group buying activities, etc. Afterwards, the cooperation turned to the offline, the designer went to the door to measure the size, formulate the design plan, and conduct production, distribution and installation after obtaining the consumer's approval.

The cost of manpower and time consumed by customized services is relatively high, and the offline store as a service guarantee also imposes higher requirements on capital strength. “Not bad money” is a prerequisite for such customized home service companies to survive. . How to resolve the contradiction between diversified demand and large-scale production, the practice of Shangpin Delivery's "split order-merger production-furniture assembly-synthesis order" can provide some references. The delivery of the products is split by different users. The furniture is decomposed into parts, and then the same parts are combined for production. The parts are numbered after they leave the factory, and the orders are assembled after the furniture is assembled by number. However, the premise of this operation is that there are enough order numbers as support.

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