Hardware companies expand e-commerce channel

Numerous hardware products companies in the midst of change are constantly exploring the development path of new growth modes in the crisis, especially in terms of accelerating the pace of structural adjustment, nurturing new competitive advantages, and promoting growth power conversion and development methods. .

In fact, from the financial crisis triggered by the US subprime mortgage in 2008 and the European debt crisis in 2010, the market has experienced a downturn for about 5 years. Especially since 2012, the debt crisis in Europe has repeatedly deteriorated, and the global economic growth has obviously increased. Slow; domestic initiative to regulate the real estate market and resolve investment risk, economic growth is facing greater downward pressure.

During this period, not only the demand was reduced, consumers and the market were more cautious about the choice of products. The survival of the fittest among the enterprises, the market's pursuit of quality, grade, and connotation became more and more obvious.

Many companies believe that they have faced great pressure during the crisis and have no time for innovation and promotion. However, for the forward-looking and outstanding brand enterprises, in the face of the common crisis in the industry, it is precisely the adjustment of industrial institutions and upgrading of equipment and technology levels. A great opportunity to achieve a blockbuster effect when the market improves.

In June 2012, the 80,000-ton pipeline connection production base of Jinan Meide Foundry Co., Ltd. was formally started. The total investment of the project is 650 million yuan. Once completed, it will become the world’s highest automation level and single-area production workshop in the same industry. And related facilities.

The technical transformation project of the production line that the company launched before has been completed and put into production, which has comprehensively improved the product quality and production efficiency. The return brought by the investment is objective. Under the weak market conditions of the entire export market, as of October 2012, the export value of Jinan Meide reached US$246 million, an increase of over 26% year-on-year.

The improvement of technology to deal with the crisis also includes the development and application of new products and technologies. Many companies have gradually increased their investment in R&D, continuously introduced new products, provided bright spots for the market, and provided consumers with more choices.

It's not just the product that is being upgraded. In the second half of last year, ASD passed the national laboratory accreditation and the review of national high-tech companies. In the depressed market, it boosted corporate confidence and made new attempts to control the quality of products and enhance their technological level. The future will continue to improve and provide momentum.

The rise of e-commerce cannot tolerate the neglect of traditional hardware manufacturing companies. At present, on the well-known e-commerce platforms such as Tmall Mall, Jingdong Mall, Suning, Amazon, etc., the boss, Fangtai, Wanhe, Wanjiale, Haier, Supor, Aishida, etc. The well-known hardware brands of architectural hardware, daily-use hardware, and tools are readily available, and each company seizes the new channel market in the form of self-built shopping malls, cooperation, and agencies.

In this regard, Vantage Group announced in May 2011 that “e-commerce and the rural market go hand in hand.” After starting e-commerce channels in early July, the retail sales reached 200 million last year. In Taobao platform, sales exceeded the second and third. The sum of sales of names. Jingdong and Amazon will become the e-commerce platform that Vantage broke through this year.

According to the latest statistics, in 2012, Vantage's sales in e-commerce channels are expected to reach 300 million yuan, and the goal is to reach 500 million yuan in 2013.

In addition to e-commerce. Many companies are also continuing to sink into the three- and four-tier market where demand is huge but the competition is not sufficient. Supor has said that the future direction of corporate development will be focused on the tertiary and tertiary markets, and Vantage this year is also mainly to improve the construction of township outlets. The construction of terminal store facades and the trade-in of new ones are the key factors that drive their performance growth. In the 2.55 billion sales task, the 3rd and 4th level market is expected to account for 60%.

It is understood that Vantage completed the construction of township outlets last year to 3,500. There will be 4000 new outlets added this year.

The relative saturation of the first- and second-tier markets, the strong demand in the third- and fourth-tier markets, and the revelry of the online market allow companies to see new opportunities. However, it is still unknown whether everyone can get anywhere.

In particular, relative to the first and second-tier markets, the future kinetic energy of the tertiary and tertiary markets will be determined by whether the relative purchasing power and market capacity will be sufficient after the enterprises have invested heavily, and whether many companies and brands will compete for the three or four-level market at the same time. Competition and price melee are worth thinking and attention.

For the e-commerce market, there are still drawbacks that the logistics base is relatively weak. The manufacturing companies basically do not establish a complete logistics distribution system, but also rely on the support of independent postal logistics companies.

In addition, with the development of e-commerce, many questions have arisen about the quality, authenticity, and service of online products. How to solve and cope with these issues is an urgent problem in the future development.