The property market regulation triggered the butterfly effect, home building materials encountered cold front

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“A butterfly in the tropical rainforest of the Amazon River in South America, occasionally flapping a few wings, can cause a tornado in Texas in two weeks.” This is the well-known “butterfly effect”, its image Interpret the overall chain reaction caused by small changes under initial conditions. For the current home building materials market, it seems that it is also experiencing a embarrassing situation from warm to cold. Mr. Yu, the general agent of a well-known solid wood flooring brand in Shanghai, told reporters that the property market regulation has had an inevitable impact on the home market, and now the industry costs continue to increase, and profits have begun to decline. The reporter recently visited a number of home building materials market in Chengdu and found that compared with previous years, consumers are “only asking if you don’t buy or watch more people buy less”. It is worth noting that the “out of the tide” in the home industry is constantly emerging, even affecting the well-known home chain stores nationwide. At the same time, some home stores have even closed down. Over 40% of businesses are losing money in 2009. With the “sale madness” and infrastructure construction in the property market, a large number of home building materials dealers have sprung up. However, in the second half of 2011, after a period of rapid development, along with the regulation of the property market, home building materials dealers had to face the business pain caused by the shrinking industry. The reporter learned from a Sichuan-based agent of a well-known solid wood flooring brand that the overall performance of the brand in the first half of this year fell by about 40%. Even if the facade is added, the overall performance is lower than before. “In the first half of the year, only one month can achieve balance of payments, and the rest of the month is basically at a loss. In the building materials industry, major brands are generally facing downward pressure on sales. It is estimated that more than 40% of businesses are operating at a loss.” On the rise, sales are not just a case. It is understood. Since the beginning of 2012, the performance of some large-scale dealers has experienced varying degrees of decline, with the largest decline even exceeding 50%. "The impact of real estate regulation and control is the direct cause. Faced with such a reality, the development plans of many brand businesses have temporarily stalled." Some insiders told reporters. Some stores began to prepare for the transfer. "I have summed up. The development of the home industry has experienced three stages of saving money, making money, and earning money. Now it is losing money. No matter how much you pay, you may not be able to break even. Generally In terms of the industry's development for three to five years, there will be a trough, but now the impact of real estate regulation is the most direct." A boss who is quite influential in the Chengdu home furnishing industry has some helplessly told reporters. “The real change started in July of the second half of last year. In fact, many people have expected the market situation to change, but they did not expect to come so fast.” Another dealer engaged in floor sales told reporters that in July last year. After that, the company's orders began to decrease dramatically. The reporter found that in the decoration industry, some decoration companies have been forced to reduce operating costs due to shrinking business and rising costs, but even this will not escape the fate of losses. “The home improvement industry is better, there are no problems with product inventory, but the building materials and furniture industry are not so lucky.” A person in charge of a decoration company told reporters that the overall performance of its stores in the first half of the year fell by about 30%, even in sales. In the peak season, it is not because of fierce market competition. "I feel that the industry is now very volatile, and companies are also making a lot of tricks for customers." Tang Ruilin of the nature floor told reporters. In the interview, the reporter also learned that some of the most popular buyers, who need to find acquaintances and find relationships to enter the home store, now have a lot of "empty shop", and a new store in the red card market, although the opening is not It’s half a year, but now I’m ready to switch. Diversification adjustment or breaking the key A large home store market management staff told reporters that taking their stores as an example, it is estimated that 30% of the businesses are currently in a low profit, about 50% of the businesses are in a loss state, 20% of the merchants can supply and sell basic Flat. "Pay more, gain less, made a lot of adjustments in the first half of this year, and finally basically flat, but no one can say clearly in the future. Now many brands are more cautious, and it should be true that the steps are safe." The person in charge of the bedroom brand told the reporter that the store companies with poor performance can actually consider closing the other way out. Although the market is not clear, the market outlook seems to be less optimistic, but many home furnishing companies have tried their best to drive sales growth. The reporter visited several flooring companies and found that many brands have made positive adjustments on the products this year: on the one hand, they are based on high-end and develop new products; on the other hand, they have introduced medium and low-end products with high cost performance, and The distance of low-end consumers. “The diversification of the home industry is obviously to cater to the needs of the market.” An industry veteran told reporters that Chengdu’s current small-sized apartment just needs to sell well, and the audience of affordable housing is mainly a relatively low-income group. Catering to the needs of these customers, more and more companies are making targeted adjustments, which is necessary or the key to breaking the future.

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