A few days ago, a number of customized home-listed companies have disclosed the 2018 annual report, and the general slowdown in revenue growth has become an indisputable fact. Under the influence of the full-renovation policy “encirclement and suppression” and the increase of new entrants, the custom home furnishing industry will enter the reshuffle stage in 2019. The industry’s transitional and cross-border players have sprung up and capital forces are flowing undercurrent. In the current situation, black technology blessing, personalized service, and continuous promotion of the whole package business have become the breaking point of customized home enterprises.
Breakpoint 1: Black Technology Plus
In the smart stores of many custom home companies, “Black Technology” It is a “standard” for eye-catching.
On April 15th, 2018, the custom furniture brand Sophia teamed up with Tmall to upgrade the “Smart Shop” in Beijing’s North Fourth Ring. It is reported that the new store will apply the four “black technologies” – face recognition, 3D scene roaming, AR projection and cloud shelf to the store for the first time.
According to the relevant personnel of the store, consumers can complete the facial information collection through the system instructions of the shopping guide screen, and generate their own shopping account. At the same time, they can directly bind the Taobao or Tmall account, and then You can place your own orders in the store. The 3D scene roaming is to restore the 3D real environment of the consumer’s environment through the cloud screen in the inter-model area and the IPAD screen on the shopping guide.
For different styles, consumers only need a finger stroke, Nordic style, new Chinese style, small American style, classical style, Mediterranean, simple style… all kinds of style home scenes can be switched at will. In addition, cloud shelves offer a wide selection of products at any time. In order to ensure that consumers can experience the home in a “one-stop shop”, in addition to the numerous products displayed in the store, there are thousands of items in the “cloud shelf” in the cloud screen for consumers to choose from. For products with the AR logo, the consumer only needs to scan the QR code to project the product around 1:1 to see the overall home improvement effect. Convenient and fast!
In the industry, Beijing Sophia Wisdom Store uses smart devices, digital devices and other devices to drive data and use the value of the scene to convey the drive and use intelligence. Human-computer interaction to experience the drive, want to achieve the traditional retail and “people (customers), goods (products), field (store)” reconstruction of the three core elements. This design also greatly increases the order rate and transaction rate.
In addition to Sofia, the custom home furnishing house is equipped with the second-generation full-house customization released in March this year. In the “black technology”, it has been upgraded from simple information to consumer Internet and industrial Internet. Seamless connection.
Li Jiacong, general manager of Shangpin Home Delivery, said that in terms of consumer Internet, Shangpin Home Furnishing Smart Store accurately captures and analyzes user images through Face ID, making retail “targeted”; at the industrial Internet level, Shangpin Home delivery through the data to open the consumer, server, production side, to achieve full-process service online, visualization. On the consumer side, the data of the smart store is connected to the consumer Internet; on the server side, the black technology data is quickly analyzed, and on the production side, the intelligent manufacturing data Unicom Industrial Internet.
Shangpin home with the second generation of the whole house custom added AI intelligent cloud design function, can achieve 10 seconds of speed rendering, with 40,000 + mass plan, improve efficiency by 30%, and promote transactions. In addition, the first “electronic receipt” is the first to visualize the entire process of the service including order placement, manufacturing, warehousing, distribution and installation progress, and consumers can track the product online in real time.
Breakpoint 2: Personalized Service
In terms of sales channel development in 2018, brands are paying more and more attention to consumers’ shopping experience, such as Shopping malls that are becoming more and more common in shopping malls, experience of MALL opening, and the opening of Shangpin home furnishing super store… From the store to the shopping mall, to the home store to a comprehensive shopping mall, and then to the store to introduce diversification The format also enhances the shopping experience while increasing offline traffic.
After surveys on the purchase channels of household products that are favored by middle- and high-end people in China, 44% of middle-income groups choose home hypermarkets, 33% choose brand stores, and only 17% choose brand e-commerce flagship stores. Industry insiders say who can provide a personalized service that allows consumers to make purchasing decisions, and who can win in the final battle.
Sofia has made a lot of deployments at the strategic level in improving the consumer shopping experience. On the one hand, DIYHome and VR are launched to improve the customer’s store experience. Consumers can see the overall decoration effect of the home decoration style, furniture layout and accessories in a short period of time according to their own needs. I feel the immersive feeling after the decoration is directly felt.
On the other hand, in order to make it easier for consumers to experience and purchase, Sofia began to open a large number of supermarket stores, complex stores, and even in-depth community stores last year. To a large extent, it has solved the problem that consumers have not been willing to spend time on the professional building materials market.
For example, Sofia opened the store in Wanda and other supermarkets. Consumers only need to spend an hour or two to communicate with the store. The rest of the time can accompany the family and continue to consume entertainment in the mall. Worried about wasting a day. From the perspective of consumer experience, help consumers save their time and make consumers more convenient.
At the same time, in order to bring consumers a new shopping experience, Sophia and Ali have gone deeper from the previous strategic cooperation to the new retail global operation strategic cooperation, and cooperated online and offline to create global marketing and global sales. Serve consumers together, focusing on smart tools, data banking, customer portraits, and entertainment to create new consumer experiences and enhance brand services.
Breakpoint 3: Continue to advance the strategy of installation>
The emergence of self-contained air outlets provides a new traffic portal for custom businesses. Custom home head companies are accelerating the layout on the finished channel.
Taking the first home in the custom home industry to break the tens of billions of companies. It is reported that Europe has launched a large-scale home, and joined hands with a number of leading home improvement companies. In the third quarter of the 18th year, 22 large-scale home furnishing stores have been opened.
After consulting the European 2018 Annual Report, it can be found that Europa has a clear strategy in the whole package business, with headquarters and national and regional assembly companies, such as living,靓 Home cooperation. On the basis of the risk controllable as the first principle, the resellers require 70%-80% of the dealers in the prefecture-level cities to expand the installation channels, and use local resources to cooperate with local home improvement and decoration companies to realize the installation service providers. Role change. Europa said that the packaging business is expected to become one of the main engines of the Group’s performance growth in the next 3-5 years.
Of course, the results of the European pilots are also quite good. Take the cabinet business line as an example. In about 60% of the malls carrying out the installation channels, the whole order has accounted for more than 10% of the national retail orders; Over 200 stores with over 20% of orders.
In addition to the European faction, Sofia also has a lot of experience in the layout of the business. China Net Home Channel has learned that Sofia has 98 large home fusion stores, and the whole package business has been promoted in 17 cities. Considering that there is a risk of cash repayments in the packaging channel, Sofia does not mandate dealers to promote the installation channel, but encourages local distributors and OEMs to cooperate. There are two types of cooperation between Sofia and the whole company: the first company directly supplies the whole company; the second decoration company, the headquarters, and the dealer cooperate, and the dealer is responsible for supplying and providing services to the whole company.
Industry sources said that custom companies have tried water and equipment, one is forced by traffic trends, and the other is to build a stronger and stronger moat to create a new competitive advantage.
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