With the integration of new technologies such as 5G, big data, and cloud computing with the industry, the home furnishing industry seems to have found a new path of evolution.

A few days ago, World Brand Lab released the list of China’ s 500 most valuable brands in 2021. With a brand value of 63.816 billion yuan, the well-known home furnishing brand Powerdekor once again entered China’ s 500 most valuable brands and entered Top one hundred Chinese brands for the first time. 

It is understood that the World Brand Lab is an internationally renowned organization engaged in brand value research, chaired by Robert Mundell, winner of the 1999 Nobel Prize in Economics, and its report on China’ s 500 Most Valuable Brands has attracted much attention in the industry, mainly based on the company' s operating status, brand revenue, consumer research, etc., to conduct a comprehensive analysis and evaluation of the value of each brand.

Sun Xiaoliang, chief operating officer of Powerdekor Group, believes that this high brand value is the "long-term value" brought by the "endogenous growth" of the brand based on its own advantages. Among them, digitization undoubtedly played an extremely important role.

For a long time, the industrial integration of the home furnishing industry has not been high, and the characteristics of "large industry, small enterprise" are obvious. The long service chain has led to numerous industrial collaboration barriers between enterprises and low node connection efficiency. In addition, with the emergence of customized design requirements in the home furnishing market, production requires more rapid response to user orders and immediate modification, which makes the lean management capability in the production process urgently to be strengthened.

At the same time, as profits in the home furnishing industry have fallen sharply and competition has become increasingly fierce, the previous extensive development model has become difficult to sustain. "Difficulty in acquiring customers, low passenger flow, and difficult transactions" has become a general anxiety in the industry. Therefore, digitalization based on new technologies such as 5G, big data, and cloud computing has changed from an "additional item" to a "necessary option", becoming the key to solving the "the turn of Powerdekor" problem in the home furnishing industry.

Pan Helin, Executive Dean of the Institute of Digital Economy, Zhongnan University of Economics and Law, believes: "Digitalization, intelligence and networking are the general directions of the home furnishing industry. The needs of users will not stay in place but will continue to expand, and the boundaries will continue. Extension, it is very necessary to expand market demand through digitization."

Based on this, the home furnishing industry can be described as frequent moves in marching into digital development.

Not long ago, "Double Star of Home Furnishing", Easy Home and Red Star Macalline rarely "hand in hand". One of the major cooperation items is to promote the digital transformation and upgrading of the industry. At present, Easy Home has built a digital home improvement and home furnishing industry service platform, and Red Star Macalline has transformed into a fully digitally driven enterprise.

In addition to home furnishing stores, home furnishing companies are also accelerating their entry into the digital field.

Recently, Homekoo announced that it intends to introduce JD.com as a strategic investor. The purpose is to leverage JD.com’ s advantages in online traffic, brand, supply chain, logistics and warehousing in the home furnishing field, and form synergies to create online and offline depth, converging full-link integrated consumption scenarios.

The digitalization of Powerdekor Group mainly focuses on five aspects: digital management, digital research and development, digital manufacturing, digital services and digital marketing.

Sun Xiaoliang said that there are two reasons for Powerdekor Group’ s digital transformation and upgrading: one is to reshape the original system between the brand and users; the other is to let the brand cut into the consumer context that young people love and inspire the new needs of users in the new consumer market.

He believes that in the past, the relationship between brands and consumers was only a "display-passive acceptance"; now, all brands have become consumers' "mirrors", and consumption is the process of self-discovery, self-expression, and self-construction. Therefore, the brand needs to find the connection point with the user.

It is through the digital upgrade that Powerdekor Group has built a brand-new transaction interface between brands and consumers. For example, in the "Powerdekor Community" created by the Powerdekor Group, when users purchase related products, they can first submit the floor plan and their own preferences and budget, and the designers of Powerdekor Group can create an exclusive customer planfor customers based on this. 

Sun Xiaoliang said that it is precisely under the support of digitalization that Powerdekor Group has constructed a "sustainable endogenous growth model", which has become the internal driving force for the growth of brand value. The strategic transformation of 'making life'." Sun Xiaoliang said that in the future, digitization will run through the entire operation process of Powerdekor Group and establish a digital operation system with all elements and links, and ultimately realize the accuracy and efficiency of the entire operation process.

The market also affirmed the digital prospects of the home furnishing industry. The latest research report issued by Haitong Securities believes that digitization has become the general direction of the development of the home furnishing industry, and the impact of technology will inevitably bring about a reshaping of business models. Leading companies are relying on their own advantages and digital efforts to continue to increase their market share rate.