China's e-commerce furniture brands will no longer unify the whole market

Among the Top 10 furniture brands of 2015 11.11 Online Shopping Festival, seven are the traditional furniture brands (mainly in off-line sales), while three are the e-commerce furniture brands (mainly in online sales).

 

Among the Top 10 furniture brands of 2015 11.11 Online Shopping Festival, seven are the traditional furniture brands (mainly in off-line sales), while three are the e-commerce furniture brands (mainly in online sales). Meanwhile, there are three new brands, Huari Home, Visney and Guangming Furniture, which are all the traditional furniture enterprises. Compared to 2014, there is a clear decline trend in the e-commerce furniture brands of 11.11 shopping festival, and the growth speed is far less than that of traditional furniture brands. It is obvious that the traditional furniture brands have dominated around half of the furniture e-commerce, and the e-commerce furniture brands will no longer unify the whole market.

 

Why the e-commerce furniture brands meet with the "ceiling"?

With the rapid development of China’s e-commerce, and the advantage of relying on the Taobao Mall, why the e-commerce furniture brands loss half of the market? It was learned that the e-commerce furniture brands brought a cruel growth and a rapid rise with geometric multiples via the flow dividend before and after the foundation of the Furniture Taobao Mall (Owned by Alibaba) in 2010. A mass of furniture e-commerce brands complemented their primitive accumulation of wealth in that stage, however, they all fallen down as the environmental changes after 2010.

 

The industry insider analyzed that the root cause of good development of the e-commerce furniture brands is for its better online shopping experience and lower price. However, as the traditional furniture brands gradually grasped the way of development through the Internet, there is increasing competition of Tmall flow resources; the traditional furniture brands, represented by the Quanyou Furniture and Kuka Home, show their influence and resource superiority, while the e-commerce furniture brands, by contrast, have limited rising space in the future.

 

Why the traditional furniture brands climb the higher position rapidly?

Look at the Top 10 list of furniture on the 11.11 online shopping festival this year, we can see that there is an increase in the furniture brands with more than 100 million yuan overall sales, and the sales volume of the traditional furniture brands also exceeds the e-commerce furniture brands. Why the traditional furniture brands climb the higher position rapidly? An industry insider presented the following causes:

 

The first is the brand awareness. Traditional furniture brands in the Top 10 sales all have powerful influence offline, and the size of brand force and awareness directly determines the sales volume. Besides, the scale advantage is also one of the significant causes. The traditional furniture brands possess a powerful industrial basis and complete production chain advantages, meanwhile, there are larger offline sales volume and inventory volume, and the range of goods and inventory volume to participate in the activity are superior to the online brands. In addition, the traditional furniture brands have huge offline customer influence, the platform increased brand exposure and flow support during the activity to attract the customers' offline purchase to online purchase. Overall, the traditional furniture brands have an edge of obtaining the platform resource.

 

How do the e-commerce furniture brands get rid of the limit?

In the face of the rise of traditional furniture brands, how do the e-commerce furniture brands get rid of the limit and find their own location and outlet?

 

Lin Shi Mu Ye, as the representative of the furniture e-commerce brand, is the sales winner for three consecutive years of 11.11 online shopping festivals. The first reason for its winning is that the unification of offline and online price. In addition to this, it possesses a powerful data background, and knows the customers' favorite furniture style, price and design very well, and plays an enormous role in product development, directional adjustment of the business strategy and guiding customers. Besides, it also has certain advantage of industry cluster.

However, some insiders also point out that with the offline brands becoming e-commerce and the rapid popularization of mobile internet, the boundary between furniture e-commerce brands and the traditional furniture brand will become unclear in the future, and it will return to the competition among brands finally. Only taking product and service as the core, seeking breakthroughs actively and seizing the customers are the key for brands to remain invincible in the internet era.

 

*This is Original, please specify the source if reproduced.

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