Home industry financing difficulties "running" become normal

Home store: "Do not be afraid of the market cold! Follow us to toss, to ensure that you sweat, spend the 'winter!'

Brand: "Khan ... to spend the winter to rely on selling goods, not to sweat. But tossing is better than not tossing, fight together!"

Recently, a dialogue on the Internet has become a true portrayal of the current home furnishing industry.

Under the control of “combination boxing” such as purchase restriction orders, the transaction volume of the real estate market has shrunk dramatically. The downstream home industry, as a grasshopper on the rope, has also been severely tested.

The icy reality of shrinking markets, overcapacity, rising costs, and falling profits has become an unbearable burden for home furnishing.

Didn’t sell a tile for a month

At 10 o'clock on the 8th, the reporter came to the Xiaodongmen IKEA Decoration Materials Plaza. Although the merchants had already opened the door to welcome the guests, the embarrassing thing was that they could not see the customers.

Perhaps this has long been accustomed to this situation, a well-known tile brand store owner Cheng Hongtao has set a good table, waiting for the arrival of "friends", "waiting for boring, everyone play together, my heart is still relaxed."

Cheng Hongtao has been doing home business for nearly a decade, but the market is so bad, it is the first time for him. "It is more serious than 2008. It can open up to five or six small orders in one month this month, last month. There is not even a single business in the store."

He said that this year's market is no match for the past. "Even if compared with last year, sales have fallen by more than half."

The reporter walked into a hardware store next door. The store owner Chen Zhaofeng was playing computer games. When he saw the reporter, he stood up and looked very enthusiastic. It turned out that no customers have visited his store for ten consecutive days.

He told reporters that the main business source of IKEA Plaza is family and company decoration business, which is affected by the property market. The income of merchants has been seriously declining. Some of them have lost money for several months. "This big store is open every day, millions of goods, pressure too big".

The reporter saw that the door of a bathroom shop opposite the store was deeply locked. "The boss went back to his hometown to go to the summer." Chen Zhaofeng said. After walking around the square, the reporter learned that because of nothing to do, in order to reduce operating costs, some bosses also gave the clerk a summer vacation.

"Basically no one usually comes, only a few weekends will pull a few people, just come and just can't buy." In another paint shop, the store is discounting, "No matter how discounted, anyway, customers are not buying." Zhang boss said helplessly.

"Compared with building materials, furniture, home improvement industry is better, there is no problem with product inventory." A person in charge of a decoration company in Wuhan told reporters that the overall performance of its stores in the first half of the year fell by about 30%, "even in the peak season of sales, intense Under the market competition, there is not much benefit."

Financing difficulties "running" become normal

The market is sluggish, and the days of homeowners are hard to find. Since the end of last year, the term "running the road" seems to be more and more "close" to the home.

In April of this year, Ms. Jin paid a deposit of 41,000 yuan to Anji Menye on the second floor of Jinsheng International Home Friendship Plaza. Unexpectedly, when it was time to say that the balcony was closed, the business was delayed. At the beginning of July, Miss Jin looked for business theory and found that she had gone to the building. The Wuhan Hechuang Anji Company, located near the Jian'an Community of Xudong Peace Avenue, has already been replaced by another company.

In March, some consumers ordered a set of beds and bedside tables of Hong Kong "Kai Shi Home" near Hankou Railway Station. Among them, 8,000 yuan was handed over to the merchants privately. Later, the merchants fled and the goods were not lost.

"This phenomenon is normal." Cheng Hongtao said that upstream and downstream waterless dry, this year, affected by the real estate and macroeconomic downturn, social demand has dropped significantly, and with the rise in labor, rent and other costs, many stores are Losing money, "No money, business can't go down, how can it be?"

Since the beginning of this year, there has been more and more news about the running of domestic home business owners. At the beginning of May, Guangdong Eisen floor was chased by creditors, causing the bankruptcy of the company and the boss lost contact. Soon after, there were reports that Li Xin, the female boss of Shandong today, was running because of the capital chain break, involving nearly 600 million yuan. The largest loan amount is as high as 300 million yuan.

Wang Qi, general manager of Wuhan Phillips Wood Co., Ltd. said that at present, most home furnishing enterprises are small and medium-sized enterprises. Not only do they have difficulties in financing, but some business owners are also blindly expanding and diversifying. "This is a very dangerous one. Things. If you sell your sofa well, you may not be able to do real estate. Blind expansion and cross-banking may be the prelude to the failure of the company."

He analyzed that if a company expands its scale, it needs to invest capital, and the scale of expansion needs sufficient sales capacity to bear. "The key issue at present is the expansion of scale, but the lack of brand premium, causing low-price competition, vicious circle, and finally As the capital chain breaks, the company is overwhelmed and can only go bankrupt, so it is normal to say that the home boss is not working properly.

Overcapacity transformation is difficult

Wang Yidong, the owner of a furniture company in Hubei, said that more than 90% of the company's customers have seen a decline in revenue this year, resulting in a 20% to 30% reduction in company orders.

Wang Yidong said that due to the increase in labor costs and the appreciation of the renminbi, many foreign merchants have transferred orders to other countries and regions, and enterprises are under pressure from both domestic and foreign markets.

He believes that "the current home industry is facing overcapacity, which is expected to reach 30%, and the entire industry operating rate is only 70%."

On the one hand, the factory production line can not be "full firepower"; on the other hand, the dealers are full of inventory and can not be digested for a long time, which makes the overcapacity home industry survive in the cracks.

So, in the cold winter, is the homeowner considering transition?

“Transformation is not so simple, but resources are needed.” Wang Yidong said that it is estimated that only 30% of enterprises have the ability to transform, 30% have no transformation ability, continue to earn processing money, and 40% survive.

In this regard, Tan Qi holds the same view. He said that it is not the enterprise to develop a new product that is transformation, nor is it simply to transfer the factory to another place, that is, transformation. "Transformation success must be well-positioned and invested in matching resources, which is no less than a second venture."

I’m looking forward to “breaking into a butterfly”

"I don't know how long it will last. When I think about this problem, I feel very painful, and there is anger, fear, and sometimes despair." Cheng Hongtao sighed.

He said that in the past two years of sluggish market, some bosses have closed their doors, and some bosses have changed careers, but most of them are still struggling.

"Whether it is a store or a company, it is almost a child who raises one's own hands. If you suddenly give up, it will be very painful." Cheng Hongtao said that many friends in the home industry have said that they must stick to the last moment, "anyway, Support will support, maybe the market will turn quickly."

Tan Qi expects that the volume and price of the Wuhan property market will rise, and the home furnishing industry will be warming up just around the corner.

Wang Yidong said that although the environment cannot be changed, enterprises are not at a loss. "In the areas of management, employee training, product market positioning, etc., we must cultivate our internal strengths and do our best to break through the encirclement and break into a butterfly."

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