It seems that every customized home furnishing enterprise has a dream about "big home furnishing". In addition to wardrobe, cabinet, wooden door and other cabinets, wooden products and furniture can be customized, and lighting, curtain, sofa and other soft decoration products and even electrical department stores can be purchased together.
Recently, the customized home brand Guangzhou Shangpin Home Accessories Co., Ltd. (hereinafter referred to as "Shangpin Home Accessories") announced the launch of the "second generation model of whole-house customization", adding the customized building of all categories such as background walls, sofas, mattresses, curtains, electrical appliances, lighting, accessories, etc. on the basis of providing customized cabinet products.
It is not new to provide a full range of "big home" products, but different enterprises have different paths. Judging from the statements of several enterprises with high performance in the industry, the exploration of big home is not smooth. How to improve profitability and integrate the added product categories with existing channels has become the direction of enterprise exploration.
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Continuous extension of product chain
Recently, the listed company Shangpin Home Accessories announced the launch of the "second generation full house customization" model. In addition to the whole-house cabinet customization service, Shangpin Home Accessories also adds the customization of all kinds of household products such as the background wall, sofa, mattress, curtain, electrical appliances, lighting, accessories, etc., to create a full-scene solution from wooden doors, bathroom, balcony, etc.
Shangpin Home Accessories is a well-known enterprise in the customized home furnishing industry, and is known as the "three swordsmen" of customized home furnishing together with Europa Home and Sofia Home. In the early stage of the establishment of the enterprise, Shangpin Home Accessories continued to expand the field of customized products. In 2007, Shangpin House Accessories put forward three-room and two-hall whole-house customization, launched customized bed+mattress in 2014, and added TV cabinets, sofas, tables and chairs and other restaurant supplies in 2015. Li Jiacong, general manager of Shangpin House Accessories, said: "All the things that fall out of a house are house accessories. The real whole-house customization should be the house accessories customization. The only customization mode that only realizes the whole-house cabinet type is actually the 'false proposition' of whole-house customization."
Before the official launch of the concept of "second generation of whole-house customization", Shangpin residential fittings had been prepared for a long time. In the 2018 semi-annual report, Shangpin Home Accessories said: "In the first half of 2018, with the steady growth of the original supporting business, the company's home accessories line will expand the soft decoration (curtains, lighting, hanging pictures) and home department stores (household appliances, household products, special care for infants and children) through the buyer model Two product lines have officially entered new retail to provide consumers with a more complete one-stop shopping experience. By the end of June 2018, the supporting business has completed the strategic layout of big supporting facilities, new supporting facilities and micro-market, and the operating revenue has increased by 81.49% compared with the same period last year. "
After the realization of cabinet customization, the product will be extended to the field of soft decoration, and the "big home" of Shangpin Home Accessories looks smooth. While other companies have also encountered difficulties in modes and channels on the way to explore other products from their main businesses.
For Sofia Furniture Co., Ltd. (hereinafter referred to as "Sofia"), which is the first company to enter the capital market in the customized furniture industry, the road of "big home" starts later. Sofia, which started with customized wardrobe, has not continued its market advantages in the field of customized cabinet and wooden door products, and is still in the break-even stage.
Since 2013, Sofia has shifted its strategy to "Customized Home · Sofia", and put forward the slogan of "Whole House Customization", which is committed to the overall layout of the home. In 2014, Simi Kitchen Cabinet Co., Ltd. was established, and in April 2017, Sofia Huahe Door Industry Co., Ltd. was jointly established. Until 2018, Simi Kitchen Cabinet Co., Ltd. realized a turnaround, but the wooden door business was still in a loss state. From the 2018 annual report, the operating income of Simi Kitchen Cabinet Co., Ltd. was 720 million yuan, and the net profit was 3.05 million yuan; Sofia Huahe Door Industry Co., Ltd. has an operating income of 160 million yuan and a net profit of - 50.57 million yuan, which is still in deficit.
Big store attempt under the concept of big home
In addition to the product layout, these enterprises are also constantly adjusting their stores. In terms of store form, Sofia also started relatively late. At the end of 2017, Sofia began to try to encourage dealers to open Qianping stores, and the sample products covered all categories of the company, including wardrobe, free cabinet, cabinet, wooden door, furniture, household goods, curtains, floors, etc., providing consumers with all solutions to check in with bags. According to the 2018 annual report, 98 large home furnishing stores have been opened by the end of the year. The annual report does not provide specific data on the operation of large home stores.
Oupai Home Appliances Group Co., Ltd. (hereinafter referred to as "Oupai Home Appliances"), which started with customized cabinets, encountered the embarrassment of dealers not buying it at the beginning of exploring "big home", and began to explore the big home model before it was listed in 2016. In October 2016, Tianjin Oupai Whole-House Customization Mall officially opened. Oupai Home held a grand opening ceremony, and invited the spokesperson Sun Honglei to appear on the scene. This big home store provides seven categories of products, such as cabinets, wardrobes, bathroom, wooden doors, wall decorations, bedding, furniture, etc. After integrating resources through Europe-style strategic cooperation, ODM and other ways, consumers can also choose to buy ceramic tiles, floors, curtains, lighting, chandeliers and other categories of products. At that time, Yao Liangsong, chairman of Oupai Home, said that Oupai Whole-House Customization Mall had settled in nearly 10 cities and would open similar stores in 200 cities in the future.
However, in the face of such a model, dealers do not seem to buy it. In the 2017 annual report, Oupai Home said: "The difficulty of transformation and shift of agents is underestimated, and the company is also lagging behind in building a new business model for big home, which has led to a detour in the development of big home." Oupai Home's 2017 semi-annual report and annual report show that in the first half of 2017, Oupai Home has 8 new cities, 12 stores and 65 stores. As of December 31, 2017, The number of large home stores is still 65. It can be seen that in the second half of 2017, no big home store was opened.
Oupai Home summarized that "2017 is a year of exploration and trial and error of Oupai's big home model". In the 2018 semi-annual report, Oupai Home said that according to the actual situation and wishes of different cities and dealers, it will carry out different forms of discussion, such as the integrated big home, the micro big home, the integrated clothing store, and the integrated clothing and wood store. In order to solve the problem of Oupai's large home window stores, Oupai has successively launched three storefront display modes, namely, 6-30 ㎡ Oupai's large home outlet stores, more than 30 ㎡ Oupai's large home decoration (integrated) channel stores, and more than 200 ㎡ Oupai's full-house customized stores, and launched corresponding subsidy policies to assist and boost dealers' operation with targeted modes. At present, the construction of Oupai big home will be realized through two ways: one is to climb rock directly in the form of big home, and the other is to realize the gradual iteration of closet clothes, clothing wood, and bathroom.