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The future of the furniture mall, the collection of stores i

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There is no doubt that the collection model, is the future of the home furnishing industry, the "hearts and minds", the wind from 2017 began to sprout, 2018 began to grow more and more intense, in 2020, the rise of an army.buy cheap furniture uk
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  At present, there are four main forces competing for the home collection model, mainly.

  1/ extension of brand manufacturers of single categories to multiple categories.

  2/ the extension of traditional home furnishing to the direction of the whole installation.

  3/ extension of building materials and home furnishing stores to the collection mode.

  4/ traditional single product dealers to the alliance or multi-product direction.

  - 1 -

  Single product brand manufacturers to multi-product extension

  Let's start with the traditional production-based brands.

  Single product category manufacturers to multi-category integration extension, such as Dongpeng, Shengxiang, Huangzhao home furnishing, Opple lighting, and even home appliance companies.

  These segments of the industry brands, have their own distinctive brand characteristics, such as Opple lighting is to do lighting, and in the industry made the leadership of certain products in the market segment.

  However, with the advent of the era of everyone's home, the stock market and the incremental market have changed, the new generation of consumers' purchasing habits, from the original single product procurement, gradually transition to integrated procurement; with the least time, the laziest way to achieve their goals. The new generation of consumers text picture, picture video is the best proof of this.

  Production manufacturers in the single product brand, the transition to multi-category integration, is the inevitable choice of the entire installation and precision wind.

  In fact, manufacturers do so, there are also inherent advantages.

  For example, the advantages of the channel layout, the original channel, the target consumers are completely homogeneous, the procurement time window is also to undertake the relationship. Therefore, the logic of the channel single product to multi-product extension also makes complete sense.

  There is also the brand advantage, using the industry's strong brand position, the extension of new categories, the advantages for investment is obvious. buy sofa bed online
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  These brands in the creation of the whole collection of stores, there may actually be another advantage, that is, the original product to maintain a reasonable profit, but the new collection of products slightly profitable, so that the output of the whole product to consumers, you can maintain a competitive advantage in price.

  Of course, this operation, the contradiction is also obvious, that is, if the new stores are not the original dealer store extension, how to resolve the conflict with the original stores?

  - 2 -

  Traditional home furnishing to the direction of the whole extension

  Now the home improvement companies, in order to meet the wind, are embarrassed to say that they are not the whole company.

  Indeed, the traditional home improvement companies do one-stop service and design work, as if it can also be understood as a whole company. But the traditional home improvement company is essentially a trading company.

  In essence, they are also raising a few designers (even designers are cooperative relationships), a few clerks, a construction supervisor, for the whole installation, such a structure is far from.

  What is the essence of the whole installation?

  The whole installation is a one-stop design, procurement, experience, with such a whole installation is the basic configuration. Of course, traditional home improvement companies are also relatively successful in these years of transformation, such as Dongyi Risheng, the maple of leaves, beautiful home, etc..

  The home improvement field has also emerged in the past few years a number of so-called Internet home improvement many traditional home improvement companies thought to do e-commerce, Internet marketing is the transformation.

  In fact, far from it, the Internet home furnishing, not only the level of communication of the Internet, more is based on consumer insight level of the industry chain of re-breaking, restructuring, integration and innovation.

  Generally speaking, can be called the Internet home furnishing, the following three models as representatives.

  1/ Around the design program, construction resources sharing type products, strong tool attributes. In the home improvement link in a link to cut into, heavy vertical segmentation, direct transaction scene single.

  In fact, this model is somewhat similar to the "home furnishing yellow pages", solving only the problem of opaque information. The color of the Internet home furnishing is not strong.

  2/ Self-run decoration platform, do partial supply chain integration.

  Decoration program productization, price package, construction process, highlighting each link can be controlled. Compressed intermediate repetitive links, shorten the construction period, the progress of timely feedback to customers; aggregated transaction-based home improvement platform, generally upstream with housing, design, building materials, home supply chain, financial system resources, or downstream has a huge user resources.

  3/ Rule-making. Recruit offline traditional home improvement companies, design companies to station, online do building materials / home trade, forming a one-stop procurement and service.

  - 3 -

  Extension of traditional building materials and home furnishing stores to collection mode

  For example, the transformation of Red Star, actually home of the whole installation.

  The biggest pain point of traditional building materials and home furnishing stores is how to keep the popularity and profitability of the stores under the wind of whole installation and fine decoration.

  Building materials and household products, low-frequency products, consumers will only have a purchase behavior when there is a demand, and the customer's decoration cycle of about 5-7 years, therefore, the traditional building materials and home furnishing stores how to upgrade from low-frequency to high-frequency, to meet the whole wave of wind, is the problem they have to face.

  In general, you can transform from two directions.

  One is to do a collection of stores in their own stores, that is, the whole store.

  We know that the traditional home furnishing stores are single product display, which is incompatible with the needs of the consumer experience WYSIWYG. Home stores can be a single layer, cross-category scenario display, that is, by style definition model room, rather than by product.

  Second, the horizontal cross-border, from low-frequency to high-frequency upgrade.

  For example, the home furnishing stores into the local market shopping center model, adding parent-child activities, catering, film and television, entertainment, supermarkets, offices, etc..

  Why is this also possible?

  Because the traditional home furnishing stores homogeneous product brands are too much, in fact, in the whole era, completely unnecessary. For a single product, consumers need to be explosive; for the whole installation, consumers need one-stop shopping and personalized aesthetics.

  So, after the category slimming, the extra space can be extended to the traditional shopping center model. In this way, the best combination of low frequency and high frequency can be achieved.

  Finally, we find that dealers are also transforming to the big home model.

  - 4 -

  Single product dealers extend to alliance or multi-product direction

  In fact, dealers in the pan-home industry, single product operation has also encountered certain bottlenecks, so the alliance has become the industry norm, but this alliance, the level is still relatively low, limited to the activities of the alliance.

  Therefore, some dealers with forward-looking vision began to integrate products, and the dealer alliance experience store also came into being. The so-called alliance experience store, the essence of the cross-brand situational display, according to the style rather than according to the product model room to build.

  From online to offline and from offline to online, omni-channel integration and layout. The new retail is not just online diversion. In fact, the new retail is said to be just a way of saying that Jack Ma is turning to offline to grab traffic because online traffic has dried up. In short, the new retail environment, online + offline integration, for each home furnishing brand, is a major trend.

  Online to offline layout and diversion, the most typical than Lin's Wood, which is a pure e-commerce platform to grow up online brand, but with the diversion of customer acquisition costs are increasingly high, Lin's Wood is also overwhelmed, so in recent years began to turn to physical stores, opened the first offline stores in Foshan, 1000-2000 offline new retail stores, is the future of the core strategic layout.

  There are also some original "Netflix" brands such as ZeeYin and Evita Home, which have also opened stores offline, using the new retail experience hall as an experience point, with the core purpose of making up for the online service coverage area and upgrading the service system.

  They hope that consumers can create an offline experience space connected with online and offline physical stores, forming a continuous, three-dimensional brand display, enhancing the user experience as much as possible, so that users can truly and genuinely feel the lifestyle that the brand wants to provide to them.

  Traditional offline brands are naturally not shy, also in the layout of the whole network diversion, in the mobile side of the self media influence more and more today, based on the mobile side of the various diversion also began to layout, such as WeChat Mall, fission small program, Jitterbug, Raptor diversion, network direct diversion, etc..

  Consumers are becoming more and more circled, niche, tribal, which means that there is no one traffic entrance is monopolized, which means that the channel of diversion, reaching accurate customers, online and offline omni-channel layout, is something that every home brand must, necessarily, do.

  That is, the collection of stores to play the "lifestyle card", test multi-formats + high-frequency harvest traffic.

  1/ Everyone home product line, now in two ways, one is the explosion, that is, still continue the thinking of a single category, the product to do the ultimate.

  For example, creative home appliances, smart home appliances, art furniture, creative furniture, functional ceramics, intelligent sanitary ware, design sense of sanitary ware, etc.. This explosive product line, it seems to go on and on, after all, the foundation of the marketing building itself is based on the product, the core of user consumption is also the product.

  I can even assert that, for most small and medium-sized enterprises, do pop-up than to do a large collection of more promising, more in line with their own philosophy of survival.

  2/ The other way of living is to do the stylized integration of product lines, not selling single products, but selling space, selling aesthetics.

  This is a bit like selling cars, consumers do not want a part of the car, want a whole car to meet their needs.

  In fact, the ultimate consumer demand for home furnishings is the same, consumers want more than a table, a chair, an appliance, a set of furniture, want the whole house space customization and physical space presented by the aesthetic.

  Therefore, the products of the home, has been separated from the concept of products in the physical sense, become a space, scene, experience, design, service complex, is the overall solution for the home space.

  What is the solution? Life scenes, lifestyle. "The big home collection store becomes the entrance to the life scene, in addition to the convenience and saving brought to customers by one-stop shopping, each item under the product scenario is a saleable commodity to solve the two main pain points and needs of consumers: one-stop shopping/lifestyle and aesthetic upgrade".

  Thus, the large home collection store - hard + soft + marginal products that together constitute a lifestyle space - was born.

  Completely simulating home life, the home physical store turns from a physical space of product line collection into a situational experience space full of lifestyle, and also turns from a traditional low-frequency terminal into a high-frequency social space.

  Therefore, in addition to the main products, the physical stores of home furnishing brands also integrate coffee, tea, desserts, books, crafts, parent-child, feng shui ornaments, etc. by self-operating or introducing professional brands, with the aim of deeply integrating products and life scenes through multiple business overlays, so that consumer participation is enhanced and the traditional low-frequency consumption space of home furnishing is turned into a high-frequency consumption participation space.

  Some head brands in the home furnishing field have made useful attempts.

  For example, the emergence of Shangpin home furnishing super set store, is also adhering to such ideas, 5000 square meters of Beijing C store is Shangpin home furnishing and even the whole house custom category in the largest area, the most abundant industry, the strongest experience of comprehensive flagship retail store.

  A good business overlay is to bring together online and offline traffic in the retail terminal, forming a new "field"; not simply harvesting traffic, but to dig deeper into customer value, so that each user becomes a super user.

  "Consumer dwell time", "customer return rate", "referral rate", "self media sharing index" and other common indicators of new media platforms have also become important assessment indicators of Qumei LIVING, as important as the traditional retail emphasis on sales.

  Of course, in business, based on personality, lifestyle interpretation and expression of the collection of stores, the essence is to harvest traffic, to realize the commercial value. A business model that is not sustainable and profitable also means that it can be withdrawn from the market.

  Therefore, the selection of location, space design, product line combination, and how to connect low frequency and high frequency are the core issues of the collection store.

  When doing the experience business planning, it is also necessary to ensure that there is enough area to earn back the level of income that is pulled down by the experience business, otherwise the profit will be affected. The test in the middle of this is the business layout ability of the enterprise.



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