After two years of home appliances going to the countryside, the rural market has become a contestable place for home appliance manufacturers because of its huge consumption potential. Recently, the fourth round of bidding for home appliances to the countryside was formally opened. As no longer distinguishing between new bids and successful bids, household appliances companies from all walks of life have come to the fore and the scene has become a “mass rally†of crowdedness.
However, such a large number of home appliance companies can also be generalized in the rural market performance. What is the current survival status of home appliance companies in the rural market? How obvious is the pulling policy for sales in the countryside policy? After the “Home Appliances to the Countryside†market should go? With these questions, a reporter from the “China Enterprise News†interviewed several companies such as air conditioners, refrigerators, and washing machines, and made progress in the rural areas.
Attack: Rural = big stage + new space "Since the successful bid for home appliances in the countryside since the end of 2008, Galanz's washing machine products have rapidly expanded in the rural market, stimulating overall sales volume to reach 3-4 times before winning the bid." Zhongshan Galanz Daily Electric Co., Ltd. Wang Jian, deputy general manager of the sales company, could not conceal his smile.
Wang Jian revealed to reporters that the policy of home appliances to the countryside did excavate the potential of consumption in the rural market. “In the past, the number of home appliance sales outlets in one town was only one or two, and now it has increased to seven or eight. This is due to the strength of the countryside policy. promote."
Taiwan's leading household appliance industry leader Xinbao Group has entered the mainland for many years. With the help of home appliances to the countryside, Xinbao Refrigerator has expanded new consumer channels in the mainland, achieving simultaneous growth in output and sales. Li Yingming, customer service manager of Xinbao Enterprise (Tianjin) Co., Ltd., stated that the biggest role of home appliances in the countryside is to drive product sales in the form of subsidies, and this has led to a substantial expansion of production capacity.
At the same time, home appliances to the countryside has also prompted the rural market to become the "window of opportunity" for domestic inverter air conditioners. U.S. air conditioning official said that as the inverter air conditioner with the largest number of successful bidder models, the United States has paid close attention to the demand for rural air conditioning upgrades and has driven the overall sales of inverter air conditioners. In 2010, it has exceeded 4 million units.
The person in charge of Haier air conditioning also stated that since the implementation of the home appliances to rural areas policy, the capacity of the three or four-tier market has been greatly expanded. In 2010, the sales volume of Haier air-conditioners in the 3rd and 4th-level markets increased by 80% compared with the same period of last year. At the beginning of the implementation of home appliances to the countryside, the sales of air conditioners have already achieved a 300% increase.
Defending the party: It is not obvious that the countryside has been reluctant to pull. However, an interview by a reporter from the “China Enterprise News†found that some small and medium-sized home appliance companies that stick to the 3rd and 4th markets have not been so good after the implementation of the rural policy.
“The pulling effect of home appliances to the countryside for product sales is not obvious. Before the introduction of the policy, we will focus on the three or four-tier market to carry out the construction and sales of ice-washing products. Entering the home appliances to the countryside is helpless.†Dongguan City Zhang Chunhong, deputy manager of the White Power Marketing Department of Qisheng Electronic Industrial Co., Ltd., told reporters that “home appliances are the gateway to the countryside. Enterprises that do not enter the market are difficult to survive in the current rural market.â€
Yang Guojun, sales manager of Ningbo Changfeng Electric Industrial Co., Ltd., also complained that “This year, the sales of washing machines did not increase substantially due to the policy of going to the countryside, and the profits of the manufacturers did not increase accordingly. More benefits were obtained by terminal vendors and middlemen. "Yang Guojun believes that home appliances to the countryside put forward higher requirements for product quality standards, increased the company's production and sales costs, so that small and medium-sized private enterprises have lost the previous low-cost competitiveness.
Li Hong, assistant minister of technology of Ningbo Riyou Electric Co., Ltd., also believes that the relevant standards in the national home appliances to rural areas policy set an “obstacle†to the sales of refrigerator products in the rural market, and the implementation of the countryside policy has also intensified rural areas. The fierce competition in the market.
The “unfinished home appliances going to the countryside†road statistics show that at present, refrigerators and washing machines are among the top three in terms of product sales in the countryside, and air-conditioner sales have also achieved substantial growth. The sales of limited-price products accounted for nearly 40% of the total.
For the rural market after the end of the rural policy, household appliance companies generally take a rational attitude. Wang Yiqiang, manager of the Wuhu Solar Energy Product Planning Center of the United States, told the China Enterprise News reporter that the future of solar water heaters in the United States will continue to adhere to the “two roads†development strategy. One is to continue the rural roads and deepen the rural market, and the area where the outlets are located. From the current township level, it is further extended to rural areas; the other one will expand the potential consumption space of the city and rely on engineering procurement and increasing demand to further develop the market for urban solar water heaters.
At the same time, a number of companies also expressed their concern about the market after the countryside. Industry analysts have analyzed that the current home appliances to the countryside has greatly stimulated the consumer demand in the rural market, and the phenomenon of early consumption of rural households has been increasing, which will have an impact on the consumer market in the next year or two, resulting in shrinking market capacity and product sales. problem.
In addition, the disadvantaged position of small and medium-sized private enterprises also makes them face greater challenges in the future. The state does not pay enough attention and support is low, coupled with the big brands to the rural market, the future of small and medium-sized household electrical appliance enterprises will be eliminated in the rural market, the concentration of home appliances brands will be fully strengthened.
However, such a large number of home appliance companies can also be generalized in the rural market performance. What is the current survival status of home appliance companies in the rural market? How obvious is the pulling policy for sales in the countryside policy? After the “Home Appliances to the Countryside†market should go? With these questions, a reporter from the “China Enterprise News†interviewed several companies such as air conditioners, refrigerators, and washing machines, and made progress in the rural areas.
Attack: Rural = big stage + new space "Since the successful bid for home appliances in the countryside since the end of 2008, Galanz's washing machine products have rapidly expanded in the rural market, stimulating overall sales volume to reach 3-4 times before winning the bid." Zhongshan Galanz Daily Electric Co., Ltd. Wang Jian, deputy general manager of the sales company, could not conceal his smile.
Wang Jian revealed to reporters that the policy of home appliances to the countryside did excavate the potential of consumption in the rural market. “In the past, the number of home appliance sales outlets in one town was only one or two, and now it has increased to seven or eight. This is due to the strength of the countryside policy. promote."
Taiwan's leading household appliance industry leader Xinbao Group has entered the mainland for many years. With the help of home appliances to the countryside, Xinbao Refrigerator has expanded new consumer channels in the mainland, achieving simultaneous growth in output and sales. Li Yingming, customer service manager of Xinbao Enterprise (Tianjin) Co., Ltd., stated that the biggest role of home appliances in the countryside is to drive product sales in the form of subsidies, and this has led to a substantial expansion of production capacity.
At the same time, home appliances to the countryside has also prompted the rural market to become the "window of opportunity" for domestic inverter air conditioners. U.S. air conditioning official said that as the inverter air conditioner with the largest number of successful bidder models, the United States has paid close attention to the demand for rural air conditioning upgrades and has driven the overall sales of inverter air conditioners. In 2010, it has exceeded 4 million units.
The person in charge of Haier air conditioning also stated that since the implementation of the home appliances to rural areas policy, the capacity of the three or four-tier market has been greatly expanded. In 2010, the sales volume of Haier air-conditioners in the 3rd and 4th-level markets increased by 80% compared with the same period of last year. At the beginning of the implementation of home appliances to the countryside, the sales of air conditioners have already achieved a 300% increase.
Defending the party: It is not obvious that the countryside has been reluctant to pull. However, an interview by a reporter from the “China Enterprise News†found that some small and medium-sized home appliance companies that stick to the 3rd and 4th markets have not been so good after the implementation of the rural policy.
“The pulling effect of home appliances to the countryside for product sales is not obvious. Before the introduction of the policy, we will focus on the three or four-tier market to carry out the construction and sales of ice-washing products. Entering the home appliances to the countryside is helpless.†Dongguan City Zhang Chunhong, deputy manager of the White Power Marketing Department of Qisheng Electronic Industrial Co., Ltd., told reporters that “home appliances are the gateway to the countryside. Enterprises that do not enter the market are difficult to survive in the current rural market.â€
Yang Guojun, sales manager of Ningbo Changfeng Electric Industrial Co., Ltd., also complained that “This year, the sales of washing machines did not increase substantially due to the policy of going to the countryside, and the profits of the manufacturers did not increase accordingly. More benefits were obtained by terminal vendors and middlemen. "Yang Guojun believes that home appliances to the countryside put forward higher requirements for product quality standards, increased the company's production and sales costs, so that small and medium-sized private enterprises have lost the previous low-cost competitiveness.
Li Hong, assistant minister of technology of Ningbo Riyou Electric Co., Ltd., also believes that the relevant standards in the national home appliances to rural areas policy set an “obstacle†to the sales of refrigerator products in the rural market, and the implementation of the countryside policy has also intensified rural areas. The fierce competition in the market.
The “unfinished home appliances going to the countryside†road statistics show that at present, refrigerators and washing machines are among the top three in terms of product sales in the countryside, and air-conditioner sales have also achieved substantial growth. The sales of limited-price products accounted for nearly 40% of the total.
For the rural market after the end of the rural policy, household appliance companies generally take a rational attitude. Wang Yiqiang, manager of the Wuhu Solar Energy Product Planning Center of the United States, told the China Enterprise News reporter that the future of solar water heaters in the United States will continue to adhere to the “two roads†development strategy. One is to continue the rural roads and deepen the rural market, and the area where the outlets are located. From the current township level, it is further extended to rural areas; the other one will expand the potential consumption space of the city and rely on engineering procurement and increasing demand to further develop the market for urban solar water heaters.
At the same time, a number of companies also expressed their concern about the market after the countryside. Industry analysts have analyzed that the current home appliances to the countryside has greatly stimulated the consumer demand in the rural market, and the phenomenon of early consumption of rural households has been increasing, which will have an impact on the consumer market in the next year or two, resulting in shrinking market capacity and product sales. problem.
In addition, the disadvantaged position of small and medium-sized private enterprises also makes them face greater challenges in the future. The state does not pay enough attention and support is low, coupled with the big brands to the rural market, the future of small and medium-sized household electrical appliance enterprises will be eliminated in the rural market, the concentration of home appliances brands will be fully strengthened.