What Else Can the Business of Home Building Materials Dealers Do?


What else can the business of home building materials dealers do?

Big material research, Pan home owner Management internal reference, Manager Daily reading, dealer manager business staff, shopping guide practical strategy

in the past two decades, home building materials dealers have been a hot business. However, the operating threshold has gradually risen in recent years, which poses a more challenging test for operators.

From opening a store before to making money, to actively marketing in recent years, the situation can be opened; From single category is enough to support half of the country, then multi-category integration and space solutions will become the mainstream of the market; From sales-type channel providers, then to the transformation of service providers and brand operators, the reform has been on the way.

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it not only made a batch of powerful dealers, but also eliminated entrepreneurs who failed to keep pace.

Looking at the whole market, even if the difficulty of Operation rises, there are still many opportunities to be explored. We can also see that many entrepreneurs have joined the building materials industry as distributors and agents for building ceramics projects one after another.

Judging from the situation in 2021, some powerful ceramic brands performed quite well, and the investment promotion activities held by them can generally attract new strong and hard-core merchants to join.

At the same time, some leading brands continue to be optimistic about the building materials industry, increase investment and expand the layout. For example, in the ceramic category, White Rabbit tiles cut into the wall and floor tile industry, set up the product pattern of mosaic + Wall brick + wall and floor tiles, and cooperate with young traffic brand construction, omni-channel marketing empowerment, six major operation center support and other measures.

Many of these practices are regarded as promising business opportunities and have attracted much attention from the dealer group.

What was the situation in the first half of the year?

Judging from the overall situation in the first half of 2021, the situation of home building materials industry is not bad.

Several statistical indicators are quite beautiful. Take the building materials home furnishing stores above the scale as an example. In the first five months, the cumulative sales volume was 384.09 billion yuan, up year on year. Compared with 378.86 billion yuan in the same period in 2019, there was a small increase.

Another set of data comes from the National Bureau of Statistics. In the first five months, the total retail sales of construction and decoration materials was about 70.1 billion yuan, a year-on-year increase of 37.1 percent.

These two data both reflect the situation of the retail market. Specific to the building materials and ceramics business, some large and medium-sized brands and distributors have shown double-digit or even three-digit year-on-year growth.

Looking at the situation of engineering channels, according to the data of Aowei cloud network, the opening project of residential hardcover has declined, opening 886000 sets of rooms, a year-on-year decrease of 6.3%, especially in the supporting Department, the matching amount of building materials is about 233200 sets, with a quarter-on-quarter increase of% and a year-on-year decrease of%.

However, the head enterprises still maintain the growth resilience of the bulk business, and the engineering share is gathering towards the superior enterprises. Some distributors who have been operating the engineering business for many years have received relatively good quality orders.

Specific to the building ceramics industry, the data given by Zhongtao home network is that in the first May, the main business income of the building ceramics industry above the scale was 130.638 billion, an increase of 25.4 percent year-on-year; The total profit accumulated 7.445 billion yuan, A year-on-year increase of 28.67 percent.

The information revealed by the data is obvious. There are still a large number of enterprises growing upward in the industry, which cannot be separated from the efforts and promotion of distributors.

During our visit in the first half of 2021, we found that from architectural ceramics to the whole household building materials industry, both factories and distributors have added codes to some new tracks, and many representative explorations have emerged, at least in five aspects:

  • 1. The investment in stone plate continued to plus-sized, and some companies opened stone plate exhibition halls, presenting stone plate of the whole house application scenarios, including going up and down the wall to the kitchen countertop, dining tables, cabinets, etc, for example, in the Foshan image exhibition hall of White Rabbit tiles, there are special stone plate scenes.

  • 2. The competitiveness of terminal design continues to win attention. From manufacturers to terminals, it generally promotes the spatial collocation of shopping guides and the output ability of design schemes, and wins customers with design.

  • 3. Live broadcast + store blasting activities are still recognized by some enterprises. At the same time, they cooperate with small programs, online design, e-commerce and other online operations to expand traffic sources; The landing activities with stores as platforms, presents high frequency features.

  • 4. Product innovation is still the main theme, including health antibacterial, color, concept, custom development, etc., such as 33 degrees Gray, 55 degrees Gray and other gray tone colors; Bright crystal, Star Diamond, the emergence of Diamond Series products such as starry stone. In terms of exclusive channel development, for example, White Rabbit tiles launch products that meet the needs of designers to enhance their attraction to designers.

  • 5. The width of the channel continues to extend, and more enterprises strive to broaden the channel, from traditional channel marketing, designer channels, to integrated channels, engineering channels, etc., have won the attention of enterprises. Some dealers take the initiative to get out of the comfort zone and continue to develop challenging emerging tracks.

The future way out for Ceramic dealers

so, for building ceramics dealers, what should we do next? What opportunities may become new fertile land for wealth?

Big Material Research believes that when an industry is at the stage of turning point and transformation, it is the golden window of new opportunities and prosperity.

Building Ceramics distributors are facing such opportunities and challenges. The next operation is expected to be transformed in four directions, thus creating stronger competitiveness.

1. Transformation of operation ability: whether there is a team that can fight hard and whether it can establish a systematic competitive advantage will determine how wide the road of distributors is.

The next Way for ceramic distributors is still to find ways to improve their comprehensive capabilities, including design, products, delivery, service, marketing, etc., which must be brilliant. In particular, the construction of service capacity that has not been done enough in the past should be the top priority next.

The construction of digital capability may be a new development point. For example, the digital design software of the store can output high quality of the effect diagram and design scheme for the customer to improve the experience; For the digital management of the customer, make it more accurate and detailed, and then support the activation of later services and new sales leads.

2. Transformation of Business format: We find that more and more Ceramic dealers are exploring the diversified forms of stores, such as independent stores, multi-category stores, full-size furniture shop, design stores, etc, from the previous ceramic products sales, to the whole house space solution provider transformation.

The core ideas are two:

  • the first is to achieve one-stop matching through the combination of multiple categories. For example, White Rabbit tiles "Mosaic + Wall brick + wall and floor tiles" are driven together, taking the route of all products, all specifications and all color gamut, from popular traffic-based products to super-large stone plate, the whole house has complete walls and floors, and is presented in the form of a full-space overall solution to enhance the experience of home life scenarios.

  • Second, some distributors are trying to operate with larger span such as ceramics and customization.

3. Channel layout of Retail + Engineering: The reality is very clear. Hardcover houses will maintain a high proportion of ceramic tile matching for a long time, which is obvious for retail extrusion.

Some ceramic distributors have laid out retail and engineering businesses at the same time, and achieved quite good results. It is expected that the next business will have to do so.

We expect that ceramic distributors with broad prospects may have two identities:

  • first, continue to be a distributor, responsible for local retail, decoration, designers and other traditional channels;

  • the second is the service provider, which undertakes the engineering customers signed by the headquarters and provides landing services.

This year, we noticed that some brands have officially promoted the operation mode of Retail + Engineering.

Taking White Rabbit tiles as an example, 22 years of cultivation engineering channels have cooperated with dozens of top 100 housing enterprises such as Poly, yajule, Evergrande, Zhonghai and Biguiyuan to establish bids, products, production scheduling, mature systems such as delivery and tracking are delivering this capability to distributors, thus creating a group of big merchants with dual retail and engineering.

Moreover, the cooperative relationship with the brand is facing adjustment. Previously, it was based on products and focused on product delivery. However, the current requirements are higher. Manufacturers need to output system capabilities to help distributors achieve profits.

Then, when selecting cooperative brands, distributors should pay special attention to whether manufacturers have the ability to provide system empowerment.

The practice of White Rabbit tiles is to serve distributors in multiple dimensions, starting from the product system, support system, channel operation, stock-up and other links, such:

  • select marketable product combinations with distributors;

  • equipped with more than 100 marketing staff, one-on-one support;

  • assist distributors to operate designer channels. Currently, two platforms, Shanghai and Guangzhou, have been built to connect the design circle of East China and South China;

  • six operation centers have been set up nationwide to realize service forward, resource sharing and regional interaction.

The new round of competition in the ceramic market not only competes scale, specific speed and sales ability, but also tests from supply chain, product and price belt to marketing, delivery, three-dimensional and multidimensional capabilities such as services.

With these abilities, you may seize any opportunity. The iteration and innovation of this industry are creating an era of flourishing flowers and vitality.

(Article Source: Big material research, invasion and deletion)