Compared to other mature home appliance industries, the small home appliance industry is considered by the industry as the “final profit cheese of the home appliance industryâ€â€”small home appliances have large profit margins, generally more than 10% higher than household appliances, and some miscellaneous brands have even higher profits. 50%.
Last month, Philips Electric officially announced its agreement to acquire Pentium Electric (Shanghai) Co., Ltd., and is expected to complete the acquisition plan in the fourth quarter. The acquisition will be another acquisition of Chinese capital by foreign investors following the acquisition of Supor by France’s SEB (China Game Group). The Chinese-owned small household appliance brand will lose another one.
In the footsteps of multinational giants accelerating mergers and acquisitions, the old “profit cheese†of small household appliances has become particularly “softâ€. Why do domestic companies give way to this last "profit cheese"?
The last piece of cheese?
The nine-yang brand, which is known as the one on the domestic small household appliance market, has recently reported that the main product, Soymilk sales, has fallen by more than 20% for the first time. This news once again set off the industry's concerns about the development of domestic small household appliances industry.
Formerly believed to be the last piece of profit “cheese†in the Chinese home appliance market, it has attracted countless companies and has been plunged into the “hot spot†of small household appliances. In the past few years, the domestic small home appliance market, which nobody was interested in initially, has become increasingly prosperous.
Today, the small household appliance market in China has a large number of companies and is in disarray. There are more than 60 electrical appliance brands in the home appliance chain store. If you count the second and third markets and some miscellaneous brands, the number of small home appliances brands is no less than hundreds. There are only a handful of companies that can win the “Greater Taiwanâ€.
According to industry insiders, this is due to the low entry barrier for the entire small household appliance industry. Plants and workshops can easily enter the small household appliance industry and the quality can be imagined. The quality of products is the foundation of the company, and quality problems have become a "fatal injury" to domestic small appliances.
Quality is not guaranteed, and technology research and development is even more inconceivable. At present, the domestic small household appliances industry basically stays at the stage of assembly products. There is a huge gap between the products created by foreign-funded enterprises and a complete technological innovation system has not been established at all. This is precisely why domestic small household appliances companies lack big brands and large brands cannot have a long-term foundation. source.
Secondly, the large number of small household electrical appliances and the rapid replacement make it harder to manage. A series of industry standards continues to be “difficult to produceâ€. Not only does the product quality become the “fish of the net†in the absence of industry standards, and subsequent follow-up after-sales service is more Is its inevitable product, but also make domestic small appliances "somewhat worse."
However, even the 9 Yang Soymilk with excellent products and advanced technological innovation has not been spared. In 2008, the “melamine incident†led to the explosive growth in the sales of 9 Yang Soymilk, and was dubbed the “Single Product Kingâ€. In the world. Now, with the gradual changes in the external environment of soybean milk machine consumption, the growth of 9 Yang Soymilk's performance has gradually shrank. In May and June of this year, it has experienced a 20%-30% decline for the first time. The old “single product king†has been no longer brilliant, because the product is too single, after all, it will inevitably enter the platform period where the green and the yellow are not connected. Disordered competition accelerates the rate of deterioration of the final cheese and becomes more difficult to swallow, such as licking in the throat.
Big brand companies continue to "start the business"
However, the small home appliance market is not unprofitable, which has attracted large brands of home appliances companies to continue to “start the businessâ€.
In addition to Galanz, Midea and other small home appliance brands will be involved in the unlimited extension of the field, Haier, Zhidian and other major brands have also brought huge amounts of money and brand influence into the advantage.
In mid-June, Galanz, one of the leading companies in China's home appliance industry, highly publicized the integration strategy of its “micro-kitchen†implemented throughout the country by launching the first round microwave oven on the market. In the "Twelfth Five-Year" period, it entered the sales of small household appliances by RMB 50 billion.
Haier Group has made early contributions in the field of small household appliances. Its small household appliances are far less famous than its washing machines and refrigerators. However, starting last year, Haier entered the field of kitchen appliances. Haier’s confidence comes from “establishing 16 global information centers, 6 comprehensive research centers, and 8 global design centers on five continents in the world, with unparalleled advantages in consumer demand insights and technological development.â€
Foreign forces are also pushing the change in the small household appliances industry in China. With the successful acquisition of domestic brands Pentium and Supor by Philips and Cyberspace, industry insiders believe that these mergers and acquisitions revealed the ambitions of foreign companies to exploit the small household appliance market in China. These giants will use domestic brands to tap into the Chinese market.
"Shanzhai" small household appliances will be boycotted
The “big army†approached and SMEs expressed great pressure. From June 1st, the national standard of soybean milk machine was officially promulgated and implemented. Internal and external pressures mean that the "cottage products" will be difficult to hide.
According to statistics, the number of domestic soybean milk makers was as high as 800 at one time, of which, as of the end of 2010, the number of soybean milk makers that could monitor domestic sales was 116, and in addition, many “cottage†manufacturers. The introduction of soymilk standard is based on the company's brand standards, such as noise and safety, and it also defines the nutritional content of soybean milk as an important basis.
Industry standards raise the threshold, which will eliminate a large number of "cottage products." The “shanzhai†mentioned here, besides those with low quality of imitation or counterfeiting, more refer to those small household appliances without brand and popularity. Although the small household appliance enterprises with low brand level have unique innovative products, it is difficult to make their own voice in the market.
Last month, Philips Electric officially announced its agreement to acquire Pentium Electric (Shanghai) Co., Ltd., and is expected to complete the acquisition plan in the fourth quarter. The acquisition will be another acquisition of Chinese capital by foreign investors following the acquisition of Supor by France’s SEB (China Game Group). The Chinese-owned small household appliance brand will lose another one.
In the footsteps of multinational giants accelerating mergers and acquisitions, the old “profit cheese†of small household appliances has become particularly “softâ€. Why do domestic companies give way to this last "profit cheese"?
The last piece of cheese?
The nine-yang brand, which is known as the one on the domestic small household appliance market, has recently reported that the main product, Soymilk sales, has fallen by more than 20% for the first time. This news once again set off the industry's concerns about the development of domestic small household appliances industry.
Formerly believed to be the last piece of profit “cheese†in the Chinese home appliance market, it has attracted countless companies and has been plunged into the “hot spot†of small household appliances. In the past few years, the domestic small home appliance market, which nobody was interested in initially, has become increasingly prosperous.
Today, the small household appliance market in China has a large number of companies and is in disarray. There are more than 60 electrical appliance brands in the home appliance chain store. If you count the second and third markets and some miscellaneous brands, the number of small home appliances brands is no less than hundreds. There are only a handful of companies that can win the “Greater Taiwanâ€.
According to industry insiders, this is due to the low entry barrier for the entire small household appliance industry. Plants and workshops can easily enter the small household appliance industry and the quality can be imagined. The quality of products is the foundation of the company, and quality problems have become a "fatal injury" to domestic small appliances.
Quality is not guaranteed, and technology research and development is even more inconceivable. At present, the domestic small household appliances industry basically stays at the stage of assembly products. There is a huge gap between the products created by foreign-funded enterprises and a complete technological innovation system has not been established at all. This is precisely why domestic small household appliances companies lack big brands and large brands cannot have a long-term foundation. source.
Secondly, the large number of small household electrical appliances and the rapid replacement make it harder to manage. A series of industry standards continues to be “difficult to produceâ€. Not only does the product quality become the “fish of the net†in the absence of industry standards, and subsequent follow-up after-sales service is more Is its inevitable product, but also make domestic small appliances "somewhat worse."
However, even the 9 Yang Soymilk with excellent products and advanced technological innovation has not been spared. In 2008, the “melamine incident†led to the explosive growth in the sales of 9 Yang Soymilk, and was dubbed the “Single Product Kingâ€. In the world. Now, with the gradual changes in the external environment of soybean milk machine consumption, the growth of 9 Yang Soymilk's performance has gradually shrank. In May and June of this year, it has experienced a 20%-30% decline for the first time. The old “single product king†has been no longer brilliant, because the product is too single, after all, it will inevitably enter the platform period where the green and the yellow are not connected. Disordered competition accelerates the rate of deterioration of the final cheese and becomes more difficult to swallow, such as licking in the throat.
Big brand companies continue to "start the business"
However, the small home appliance market is not unprofitable, which has attracted large brands of home appliances companies to continue to “start the businessâ€.
In addition to Galanz, Midea and other small home appliance brands will be involved in the unlimited extension of the field, Haier, Zhidian and other major brands have also brought huge amounts of money and brand influence into the advantage.
In mid-June, Galanz, one of the leading companies in China's home appliance industry, highly publicized the integration strategy of its “micro-kitchen†implemented throughout the country by launching the first round microwave oven on the market. In the "Twelfth Five-Year" period, it entered the sales of small household appliances by RMB 50 billion.
Haier Group has made early contributions in the field of small household appliances. Its small household appliances are far less famous than its washing machines and refrigerators. However, starting last year, Haier entered the field of kitchen appliances. Haier’s confidence comes from “establishing 16 global information centers, 6 comprehensive research centers, and 8 global design centers on five continents in the world, with unparalleled advantages in consumer demand insights and technological development.â€
Foreign forces are also pushing the change in the small household appliances industry in China. With the successful acquisition of domestic brands Pentium and Supor by Philips and Cyberspace, industry insiders believe that these mergers and acquisitions revealed the ambitions of foreign companies to exploit the small household appliance market in China. These giants will use domestic brands to tap into the Chinese market.
"Shanzhai" small household appliances will be boycotted
The “big army†approached and SMEs expressed great pressure. From June 1st, the national standard of soybean milk machine was officially promulgated and implemented. Internal and external pressures mean that the "cottage products" will be difficult to hide.
According to statistics, the number of domestic soybean milk makers was as high as 800 at one time, of which, as of the end of 2010, the number of soybean milk makers that could monitor domestic sales was 116, and in addition, many “cottage†manufacturers. The introduction of soymilk standard is based on the company's brand standards, such as noise and safety, and it also defines the nutritional content of soybean milk as an important basis.
Industry standards raise the threshold, which will eliminate a large number of "cottage products." The “shanzhai†mentioned here, besides those with low quality of imitation or counterfeiting, more refer to those small household appliances without brand and popularity. Although the small household appliance enterprises with low brand level have unique innovative products, it is difficult to make their own voice in the market.
Moroccan Lanterns,Moroccan Lanterns For Sale,Moroccan Lanterns Diy,Moroccan Lanterns Bulk
Crystal Chandeliers, Ceiling Lights Co., Ltd. , http://www.nbchandeliers.com