F2B mode helps China's furniture online shopping market develop rapidly

According to the statistics of the Furniture Association , China's furniture production has accounted for 25% of the world's total, making it the first furniture manufacturer. In the first year of reform and opening up, China's furniture market was only 1.3 billion yuan, and the total amount has now reached more than 700 billion yuan. According to the average annual growth rate of 22.2% over the past three decades, by 2015, the industry will reach a total output value of 243 billion yuan. In 2010, the furniture industry surpassed the growth rate of construction, decorative materials, automobiles and other industries, with an annual growth rate of 35.5%. In the first three quarters of 2011, total social retail consumption increased by 18.3%, of which the furniture industry contributed 38.4%, which is the fastest growing industry.

E-commerce represents the maximum use of limited resources by modern technology to meet the needs of consumers. Furniture online shopping allows consumers to add furniture such as sofas and soft beds to their houses without leaving their homes. With the development of the Internet of Things, mobile payment and cloud computing, consumers will make resources more concise and convenient in the future. In the future, the furniture industry will rely on e-commerce to usher in a greater transformation and upgrading opportunities.

According to industry insiders, due to the economic situation and policies, the collapse of home furnishing stores in 2012 may continue to surge, and the home furnishing industry can fully leverage e-commerce or introduce F2B (manufacturer to furniture e-commerce) model and other marketing methods. Solve the difficulties of the industry. The so-called F2B model is a business system based on the B2C e-commerce business model. It can better combine the B2C business model and enable the factory to provide e-commerce merchants with professional services for front-end “R&D and manufacturing”.

The F2B mode effectively exerts the manufacturer's large-scale and standardized production advantages, which can effectively reduce the direct cost of furniture products purchased by furniture net merchants, and the furniture network merchants do not have large-scale venues and labor costs invested in the store, making the commodity prices lower than The market price reaches 50% to 70%, which effectively eliminates the price bubble and returns the price to the value, making the home products have a price advantage in the market competition. As a result of greatly reducing the pressure on the e-commerce supply chain, it can fully focus on market development and enhance customer service for greater development. Introducing this model into the home industry will surely benefit manufacturers, distributors and consumers.

According to a research report released by Tmall, the average growth rate of e-commerce has exceeded 90% in the past five years. It is estimated that by 2014, the total market size of e-commerce will reach 176 billion US dollars. At present, online shopping has become one of the main ways of people's consumption, and online shopping products have also evolved from small items to furniture and home products.

“The growth of home e-commerce is evident from Taobao Mall. Taobao data shows that the growth rate in the first half of 2011 was 468% compared with the first half of 2010. The typical representative is a traditional furniture brand touch net, such as Qumei Furniture and Gujia Craft. One is the fast-growing Amoy brand, such as Dada Home and Ao Duo Lighting,” said Mei Haiping, general manager of Foshan Jucai Furniture. At the same time, he boldly predicted that the passing rate of home e-commerce growth in 2012 will be at least 200%. There are many opportunities in the home industry. In order to reconstruct the new ecological chain of the home, four major systems can be built, namely, a win-win partnership system, product display and trading system, distribution and installation service system, design and construction service system.

In the United States, traditional enterprises are the main force in the online retail market. Home e-commerce accounts for 19.8%. Among Top500 online merchants, home e-commerce has grown rapidly, with an increase of 13.6% in 2011. Domestically, from the Taobao data, Kohler, Jiumu and other enterprises represented by sanitary ware have tried water e-commerce. The sales in 2011 are growing rapidly. It is expected that 2012 will become the home e-commerce year. The scale of home e-commerce will reach 20.5 billion in 2015, the online shopping scale will increase by 249%, and the online shopping rate will reach 17.5%. The home e-commerce market will also become the "next gold mine" after apparel and 3C digital.

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