The bathroom industry is stuck in a “thin circle” development is facing huge problems

What is the future of China’s sanitary industry? Of course, it is very bright. Because China’s urbanization level is accelerating, China’s per capita household consumption is growing rapidly. Therefore, the future of China’s sanitary ware industry is definitely bright. However, the philosophical cloud needs to be divided into two. In fact, under the huge aura of infinite bright light, the bathroom industry has shrouded a little cloud, perhaps, these clouds will become a huge obstacle to the future development of the industry.
The current sanitary industry is falling into a strange circle of increasingly meager profits. “Intensification of competition – price wars – competition continues to intensify – price wars are even more fierce.” The island chain model has caused more and more companies to fall into the quagmire of self-extraction. But these are not terrible. The terrible thing is that the sanitary industry is far from the process of branding. In the number of self-proclaimed sanitary ware enterprises, the actual situation is still in the stage of the glory, rather than the stage of the unification of the world. The difference is that one market and the firm determine the price, and one is the market that determines the price.
Vicious competition is becoming the biggest problem in the development of the sanitary ware industry, and the result of malicious competition is the irregularity and irrationality of the development of the Chinese sanitary ware industry. Reporters are very much looking forward to the arrival of the era of bathroom brand shuffling, because the growth and development of the bathroom industry, not the need for more and more mixed, but less and fine. We must understand that the sooner the reshuffle era comes, the more favorable it is to the development of the industry.
As a result of these mergers or acquisitions, the industry has become a large-scale, branded and market-oriented enterprise, with more abundant funds and greater advantages in market competition. As a result, several large enterprises have occupied a large share of the market. The emergence of this situation has effectively curbed the price war in the consumer market, so that corporate profits have a certain guarantee, so that it is more calmly invested in technology research and development and future planning.
Returning to the sanitary ware industry, the so-called industry major enterprises, the market share is still quite low, in the era of brand chaos, local brands and regional colors occupy the protagonist, coupled with the development of the industry is not standardized, the company does not have integrity The system and corporate responsibility constraints directly lead to the sanitary industry becoming increasingly in trouble, the price system is chaotic, the market price war is raging, and the profits are getting lower and lower. This trend will continue to intensify in the future. Some experts believe that the final result of the price war will be eliminated by some enterprises, and by then, the so-called “shuffle” situation can still be achieved. However, the reporter believes that this view is too negative, because this practice will cause the whole industry to be dragged down, resulting in research and development, brand development are in an unfavorable situation.
What is most needed in the sanitary industry is the emergence of “corner”, because only the “aircraft carrier” in home appliances can be truly regulated.
First, the capital operation of the sanitary industry is still at the low end. Thousands of sanitary enterprises across the country, except for several state-owned companies, the capital market of the sanitary industry is almost blank. Without the capital market, there will be no real industry restructuring. It turns out that this is not a false proposition. However, how the capital market of the sanitary industry works is a big problem. The talents who understand the bathroom industry and are familiar with capital operation are too scarce.
Followed by mergers and acquisitions. The real M&A behavior in the sanitary industry is rare. Some entrepreneurs are still in the status quo, and they have not created the courage and vision of the “aircraft carrier” enterprise.
Again, lack of talent is a major factor. The lack of talents in the sanitary industry is a fact recognized by the industry. “The circle is small, the number of people is small, and everyone is familiar with it.” It is the current status of talents in the sanitary industry, “jumping and jumping” and “digging to dig” It is quite criticized by the industry, but the company has nothing to do. Some data is extremely interesting. According to the survey, more than 60% of sanitary companies do not have their own proprietary copywriting, and 82% of sanitary companies do not know what is called network promotion.
The competent departments of the sanitary industry put forward more forward-looking strategies and guidance for the current sanitary situation and industry development, instead of simply letting go, not organizing a high-level summit, and collecting a membership fee, because only in this way, the industry layout can be more reasonable. .


Post time: Jan-18-2019
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