Analysis of electric Shangzhi for home improvement

(This article was written in August 2013, published in the "Furniture mainstream" magazine. ）

At home electric Business Line under the integration of the development of the difficult practice, I realized that the home electrical business is hindered the root cause, so put forward the concept of household electrical appliances.

This paper tries to make a systematic analysis to the electric dealer, and emphatically answers the following questions: 1. Why is the home improvement electricity dealer? 2. What is the home improvement electric dealer? 3. What is the essential difference between home electrical appliances and household electricity dealers? 4. How to do the home improvement electricity dealer?

1. Why is the home improvement electricity dealer?

Nearly a year ago. I summed up the status of the development of household electrical business as "on the line, not on the line." The stalemate is largely unchanged.

What is the crux of the matter?

All said that the development of household electrical business needs offline experience, the traditional home business distribution system is also an insurmountable obstacle. Of course it's good.

But, besides, is there any other reason? Whether there are some problems in the home electric power business itself, affecting the development of home electric business?

With these problems in practice to explore, and finally get the home improvement electrical business This new concept and application.

Perhaps can not help but ask: why is home appliances electric business is the direction of the development of the electrical industry?

We talk about the relationship between home furnishings and household goods sales.

Generally speaking, home electrical business refers to the sale of household goods through the Internet, including furniture, building materials and household items. But we know, household goods sales, is closely linked with home furnishings, household goods sales around the house mounted.

Strictly speaking, household goods sales is a link in the process of home decoration consumption.

On the other hand, we see that the strict meaning of the home improvement link, in fact, determines the consumption of household goods. Home Furnishings consumers buy what kind of household goods, to a large extent, by the design style of decoration decided.

Further, the strict sense of home furnishings to a certain extent determines the household goods consumption of accurate customer source. The common saying of electricity business is that home furnishings decide the flow of household goods consumption. In other words, home decoration is the flow of goods sales entrance.

This shows that the home electric dealer is a higher level than the concept of household electrical appliances, home appliances Not only contains the household electric dealer sales, but also to a certain extent, the determination of the home electric dealer's accurate flow.

From the height of the home electrical appliances, we can solve the bottleneck problem of the accurate flow and the cost of the household electric dealer.

2. What is the home improvement electric dealer?

Some people may say: the relationship between home and household goods sales we know. What is the new concept of the so-called home improvement electric quotient?

Indeed, the traditional home channels have also applied the concept of decoration. For example, if you have their own home decoration company, the supermarket household goods sales of a considerable part of the company through their own decoration companies to complete. Traditional home channels such as the Red Star United States Kai Lung and incredibly the house, also have similar home decoration company, to guide the home improvement consumers in their own shopping malls to buy household goods. In addition, the company also organizes its own materials supply channels, to guide the consumer to buy their own channels of home building materials.

However, we also see that the traditional home channels in the home through the service to the sale of household goods to guide the role, is not very obvious. At the very least, household goods sold through home furnishing services are still very small in the total sales of household goods. And what is the reason? What does this have to do with the home electrical business?

I am in the "home electric business channel marketing chain Analysis" (please Baidu read) in the article, according to the needs of home decoration consumers, for the first time put forward the concept of household goods sales marketing chain. I think, home consumers online, is seeking to buy household goods, but more important is to look for a variety of consumer products in the front of the shopping guide information.

We know that home decoration consumption is a very asymmetric information industry. Home decoration consumption Investment, the impact on consumer life, consumer attention, and the whole household decoration consumption process but also a lot of price bubbles, so the home decoration consumers seek more reliable information to avoid all kinds of traps in home decoration consumption.

But the traditional home channel provides the decoration service and the information, cannot fundamentally eliminate the family installs the consumer to install the trap the worry.

The Internet (especially Web2.0 technology) provides more reliable consumer information for home furnishings. Home improvement consumers through the Internet to obtain more consumer information, especially through other home decoration consumer experience and information exchange, to circumvent the various traps in the home decoration consumption. I refer to this information as a front-purchase information for home decoration consumption. In another article, I analyzed and pointed out that it is the existence of this consumer shopping guide information, resulting in the Internet based home purchase mode.

What is a home improvement electric dealer? The essence of home appliances is through the internet to provide consumers with a variety of household decoration consumer information (including, of course, shopping Guide information), to break the information asymmetry in the decoration of the Mechanism, guide home decoration consumers to avoid all kinds of decoration consumption traps.

In other words, home improvement is based on consumer demand for home furnishings, to exclude the traditional home furnishings in the consumption of a lot of tricks and price bubbles, so as to completely change the traditional decoration industry business structure and consumption process.

This is the basic purpose of the home electric dealer, this is also the commercial opportunity of the home electric business.

3. What is the essential difference between home electrical appliances and household electricity dealers?

Perhaps some people will ask: now most of the home Electric Business website has the service and information information, such as home network, the United States Lele, star Easy Home, as well as the day cat House. Isn't this the electric dealer's home improvement? What is the difference between this and the so-called home improvement electric dealer?

Indeed, most of the home electric business site has a service or information content, which means that the home electric business site are also attention to home installed in the development of the importance of the electrical business. However, this kind of home appliances with the content of the household electrical manufacturers, and we say that there is an essential difference:

First, the site is different location. Home electrical manufacturers focus on the whole process of decoration, it is from the front end of household decoration consumption, all-round to meet the domestic decoration consumers in the process of the production of various needs. and home electric business is to sell household goods as its main positioning. Even if the website provides the service and the information, is also in the subordinate position, its main purpose is to attract the home decoration consumer's accurate flow for the website mall.

We often talk about positioning problems. But to say is one thing, to do is another. With the development of the business, often the initial positioning will change. For example, the original location of home shopping site, see the importance of decoration, began to increase the service or information. At this point the site will change the location, and gradually the location of the site will be blurred.

For example, the net originally is to network group buy famous, and then increased the mall, and then increased the home improvement. Now it may be hard to say the positioning of the home network. For example, the United States Lele is the sale of furniture started, and later the site has added building materials Mall and home improvement. I in public and Hermitage Lele leaders in private conversation, all mentioned the beauty Lele brand positioning makes it difficult to cross the furniture and become a home integrated platform brand. In fact, the leadership of the US Lele may have been aware of the problem.

As far as the electric business is concerned, the precise positioning of the website is more important than ever. Because the clear positioning is the most important reason for home improvement consumers to choose your website. The ambiguity of the website localization, may make the later consumer of the home furnishings choice other localization clear website

Of course, is not to say that the home electric business site positioning will not cause problems. In fact, we have seen some of the initial success of the home appliances website began to show the phenomenon of positioning ambiguity: in order to increase the value of accurate traffic site, the site began to provide shopping malls and buy household goods such as sales. The diversification of this service will eventually lead to the site positioning the failure of the home improvement.

Secondly, the business logic structure of the website is different. If the concept of the above positioning is not very well understood, then the specific Web site business logic is the specific difference between home appliances and household electric dealer best method. Home appliances are based on consumer demand and the home improvement business process to design the business logic structure of the site, so more to meet the needs of consumer homes, and household electrical business site of the various businesses are basically independent parallel (of course, not excluding the cross related products recommended, etc.), Therefore, to a certain extent, can only meet the various needs of consumer home decoration.

Understanding this difference is the main idea of the construction of home electrical manufacturers.

Third, the function of the site is different. Simply put, the home electric dealer is to do the flow, and the household electric dealer is selling household goods. Because of the clear positioning of the home, home electrical manufacturers to become consumer home decoration online flow of the entrance. Just imagine: If you are home improvement consumers, your preferred electrical business site is a household electrical or residential electrical business?

You can see that if the home improvement consumers enter a fully functional site, it is likely that the home furnishings consumption will be completed on this site. This forms what we call the home improvement consumer's flow entrance. Once such a situation is formed, it is likely to pose a threat to the precise flow of traditional home channels and existing household electricity dealers.

This is why it is important to build electrical home.

The internet is changing the extension and connotation of home furnishings consumption. The extension of the change performance online sales channels, and the change in the connotation of the changes in the electrical business is to rebuild the whole process of consumption, by providing a variety of home information to break the traditional home decoration consumption of information asymmetry, help home decoration consumers to eliminate the traditional home decoration consumption of all kinds of tricks and price bubbles In order to eliminate the home decoration consumers in the process of insecurity, so that household decoration consumption becomes relaxed and happy.

Do not understand the electric dealer to install consumption of this fundamental change, home electrical business may soon be outdated and be eliminated.

Home electrical appliances, related to the control of consumer precision, household decoration industry in the future competition strategy commanding heights, strategists will contend.

4. How does the home electric supplier do?

We talked about why we should do home appliances, but also talked about the electrical and household electrical manufacturers of the fundamental difference between. So, how should the home electrical manufacturers do?

We believe that the key to the construction of home electrical appliances is still the location of the electrical business site, is to meet the home improvement consumer needs, and not just to meet the consumer to buy some household goods needs.

The positioning of the home electric supplier is not only in the initial stage of the site construction, but in the development of the website unswervingly adhere to this simple and clear positioning. This is more critical, and according to past experience, most websites are not able to do it.

The second is to design the business logic structure of the website according to the needs of the consumer. On this point, on the one hand related to trade secrets, on the other hand, the entire home electrical manufacturers in the initial exploration of the business model is also in constant development, so it is inconvenient to open the discussion.

But one thing is clear, that is the home electric business site in the form of performance, is absolutely different from the current many homes mall platform. We would like to see different models of home electrical manufacturers to try, but also look forward to the final production of different models of the difference between home electric operators.

So, from the current home electric business model of the peaceful transition home to install the electric business model, almost is not feasible. Therefore, the current household electric dealers should consider the new strategic layout, to compete for the development of the home electric power industry strategic commanding heights.

For the traditional home channel, the development of the electrical appliances is a good news, because the home electric dealer may be the traditional domestic channel in the future industry to maintain the traditional supremacy of the monopoly path. Due to the restrictions of traditional business under the line, the efforts of the traditional home channel to develop household electricity dealers will encounter various interference from the traditional business of the line, it is difficult to compete in the field of home electric business with the emerging home electric dealers fully. If you seize the opportunity of the development of the home improvement electric business, adjust the development layout of their electric quotient in time, it is possible to stand on the same starting line with the household electric dealers and start a competition with the electric quotient of the home electric dealer completely different. At this time, the traditional channels for many years the development of brand influence and a variety of industry resources, may make the traditional home channels in the new house electrical competition in the market to occupy a favorable position.

Whether it is the traditional home channels, or home electrical business, or new entrants to the capital, as long as the opportunity to master the industry changes in the home installed electricity dealers, now may be standing in the new starting line to install electricity business competition in the new round of industry, in the future of the industry to occupy a place in the competition.

Home furnishings Market has three characteristics: one is particularly large, furniture 1 trillion, house 1 trillion, building materials 1 trillion, a total of 3 trillion; second, especially immature. Whether it is a commodity brand or channel brand, concentration is quite low, third is particularly vulnerable. Home decoration Consumption is much more, price bubbles, so easy to attack hard to keep. Such a market, there may be no reason not to share a bowl of soup.

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