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How to establish a win-win situation for factories, stores, dealers and consumers is a test of the wisdom of furniture people. In this regard, Zhang Jingcheng, the general manager of Shenyang Shengyuan Dadi Home Plaza, said that the “four-in-one big home†model will replace the existing hypermarket model and better solve the shortcomings of existing hypermarkets for enterprises and distributors. "loose". The main insights of Mr. Zhang on the "big home" model are as follows.
Nowadays, a big problem in China's furniture market is that hypermarkets are too strong. Under the abduction of chain hypermarkets, manufacturers and dealers have increased operational difficulties and reduced profits. With the market continuing to decline in recent years, the strength of hypermarkets has made it increasingly difficult for manufacturers and dealers to bear. How to establish a win-win situation for factories, stores, dealers and consumers is a test of the wisdom of furniture people. In this regard, Zhang Jingcheng, the general manager of Shenyang Shengyuan Dadi Home Plaza, said that the “four-in-one big home†model will replace the existing hypermarket model and better solve the shortcomings of existing hypermarkets for enterprises and distributors. "loose". The main insights of Mr. Zhang on the "big home" model are as follows.
Big home achieves four savings
General Manager Zhang Jingcheng said that the so-called "four-in-one big home" is a large and medium-sized home marketing center that integrates four functions of furniture display, business place, logistics center and storage base. Compared with the existing stores, this kind of home marketing center has greatly reduced various expenses, mainly in the four aspects of rent, storage, business expenses and logistics costs.
First, the rent is low. Mr. Zhang believes that most of the existing hypermarkets are located in the urban area or in urban areas with large appreciation space. The focus of the store's profit is not on the sales commission, but on the real estate appreciation. It is the ultimate goal of real estate developers to appreciate in the name of investment, so that the value of the property of the store is doubled. Therefore, in the case of huge real estate appreciation space, letting the "wolf grandmother" of the hypermarket reduce the rent is only the wishful thinking of the "sheep" of factories and dealers. On the contrary, the “four-in-one big home†has gone out of the urban center and is located at the suburbs of the suburbs where the land price is cheap, which can fundamentally reduce the cost.
Second, the storage costs are low. At present, dealers and agents of major supermarkets are self-provided warehouses for receiving and dispatching and storing furniture. These warehouses are generally far away from hypermarkets or business premises, making customer delivery, customer self-delivery, and after-sales exchanges extremely inconvenient. Coupled with the time limit control of trucks in some urban areas, the dealers only increase the operating costs of this one. By concentrating warehouses and stores, these challenges can be solved.
“Large Home†can provide warehousing and rental services and unify fire safety and security management. The rental area can be large or small, the lease period can be long or short, and the maneuvering use will eliminate the troubles of the dealer in the storage, save the effort and save money, and reduce a large investment. Third, business expenses are low. “Large Home†can be equipped with modern electronically equipped business hotels and apartments. This will greatly facilitate enterprises, dealers to hold business meetings, brand promotion meetings, corporate investment conferences, annual meetings, forums and other activities, so that it does not need to play "guerrilla" around the hotel. In addition, the brand display area is located in the “big home†center, no need to move to the star hotel to arrange the exhibition hall separately; the apartment can be used as accommodation and rest for the staff of each specialty store.
Fourth, logistics costs are low. The “big home†construction site is convenient for transportation on national highways or highways, making it convenient and fast to enter and exit goods. The collection and delivery are not restricted by urban traffic time limit and vehicle body type control. Factories, distributors, and agents can reduce logistics costs. At the same time, "Large Home" can also provide a considerable amount of vehicle resources, providing rental services for enterprises, convenient, fast and timely.
Among the above four aspects of savings, the savings in logistics and business costs are difficult to achieve in the existing hypermarkets. In addition, "big home" can also take the form of direct sales, reduce dealer links, greatly reduce the cost of sales, and let the terminal improve the sales performance of single stores.
Tripartite participation to create "big home"
Mr. Zhang believes that traditional stores are mostly commercial real estate developers, with the aim of maximizing profits, which makes the store less willing to bear industry responsibility. In order to avoid this drawback, “big home†may be operated by the government, real estate developers (investors), industry associations (on behalf of factories, distributors, agents).
Government: It mainly solves the problems of policy, location, planning, relocation, transformation, investment, transportation, and pipe network. After that, it will withdraw from management and be handed over to the market and association according to law.
Real estate developers: mainly responsible for investment design, construction, property, investment, services, hotels, apartments, business, logistics, operations and other related responsibilities. Association: Mainly as a dealer and agent, responsible for daily supervision of investment, rent, rent, logistics, coordination of issues related to supply and demand, to ensure fairness; coordination of supervision of dealers, agents industry self-discipline, brand reputation, product quality Issues such as after-sales service; coordinating contradictions between investors and distributors, and maintaining a healthy, civilized and law-abiding business environment and order.
From the current point of view, the "big home" is still at the stage of envisioning, and there are still many difficulties to overcome from the assumption to the real realization. However, as long as the parties in the industry brainstorm and work together, the possibility of successful landing is great. Mr. Zhang believes that the big home represents a future direction and is also very beneficial to the healthy development of the industry. Its prospects are beautiful.
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