Flooring industry to popular consumer grassroots can also install floor

After a period of rapid development in China's flooring industry and a surge in floor companies, China’s flooring companies have fallen into a high-cost development situation in recent years. Both raw material costs and labor costs have remained high. On the other hand, market profits have not improved. Going up, the development of the flooring industry has fallen into various difficulties.

The macro-control floor market volume and price drop

For one thing, the mixed Chinese manufacturing industry is on the one hand the recognition of the importance and status of the Chinese market, and on the other hand it means that the products mostly belong to the low-end sector. For China, the process of “urbanization” does not solve the problem of low peasants’ spending power. And the fast-food consumer psychology has also mobilized the city's low-end market, such as the cottage mobile phone, to cater for such a low-port flavor. This is why the “cottage” has been rampant in recent years, which has caused piracy to brands and mainstream products. At the same time, the Chinese flooring industry has not escaped the "low end" curse.

The low price is the biggest advantage of low-end products, so it is easy to open the market and capture the hearts of consumers in the low-end market, which can help companies to open the market well and return funds in the initial stage. It can be said that the future low-floor flooring market is a game of risk and opportunity. With the development of the company, if it is still intoxicated in the low-end market, then it is likely to be a trap, and it may be accidentally left in the mud of the “low-end”.

Saturation of urban demand in the rural market is hot

The second is that the low-end markets that are mainly in rural areas are being heated up. Recently, the news that “building materials go to the countryside” has been written into the “Central Document No. 1” has been reprinted by quite a number of media. Some media have stated that “building materials go to the countryside” is another step toward expanding domestic demand following “bringing home appliances to the countryside” and “cars going to the countryside”. Major initiatives of the industry, many floor industry professionals also believe that by the "going to the countryside", a broader rural market is bound to be developed. But has it been appropriate for flooring brands that have always been "high-end" to enter the low-end market? Opponents are mainly worried that this will damage their high-end image for first-tier flooring brands. Moreover, when it comes to the rural areas, prices naturally have to be “down”, but in the case of limited purchasing power in rural areas, a prominent contradiction is also difficult to solve: high quality, high prices, low-end rural consumers can not Accepted; low quality, low prices, the profits of the floor companies can not be guaranteed.

At the same time, they also worry that they will spend a lot of manpower and material resources to win a part of the low-end market, but they will lose their dominant position in the high-end market. However, most of them agree with the opinion that industry professionals believe that, on the one hand, because China's floor market is becoming popular, consumers will also concentrate on the low-end market, and appropriately lower their stances. It is wise to enter the middle and low-end market. On the other hand, for many front-line floor brands, a strong brand image and years of accumulated technology are all advantages.