2015: Big home development resource integration and service is the key

Big home is one of the hottest topics in 2014. Home-based companies such as Europa, Sofia, Nature, and St. Floor have laid out big home strategies. Representatives of the Pan-Home Alliance, such as the Champions League, also emphasize the concept of big home on many occasions. . At the beginning of 2015, will the big homes be ushered in explosive development? The reporter found that the current big home is not yet mature in terms of consumer perception, resource integration, and service landing. There is still a long way to go for a truly integrated home experience.
Consumers have expectations for big homes and have questioned consumers' individual demand for one-stop home solutions is a direct factor in the “outbreak” of big homes. Yao Liangsong, the chairman of Ou Pai Home, once showed that the consumer has been looking for products, bargaining, and signing agreements in the process of renovating the house. It was a waste of energy for his wife, and his wife had a “decoration phobia”. It is from this consumer "pain point", Europe sent a glimpse of the business opportunities of the big home.
According to industry insiders, in the traditional mode, consumers need to communicate with each other in the home industry chain during the decoration process, which greatly consumes time and energy, and it is difficult to control the overall home effect. The rise of “big home” that provides consumers with a full range of home solutions is an inevitable trend.
The interview found that consumers have doubts about the expectations of the big home. Mr. Xie, a citizen of Guangzhou, said that the big home looks very good, but the home decoration includes products and services with completely different designs and crafts. When decorating, I can't believe that a company can do everything well. "For example, if I buy a wardrobe or a cabinet, I can of course choose Europa, but I can hardly convince myself to choose the European floor or bed."
A mature home business needs to transform into other completely different products, which requires a process of consumer cognition and habits. If there are problems such as product quality or service in the process, it will easily affect the brand image.
How to integrate resources and how to land services is the key to the implementation of the specific strategy of the big home, and some home furnishing companies have already laid out. Xiao Huabin, director of brand management at Nature Home (China) Co., Ltd., said that it mainly starts with category extension and full service. The category mainly extends from the floor to the kitchen cabinet, wardrobe, wooden door, and even more in the future. The service side provides consumers with a one-stop service experience including pre-measurement, design, exploration, product supply to final construction and acceptance. “The key to this process is resource integration.”
Xie Xin, secretary general of the National Federation of Industry and Commerce Sanitary Committee, believes that it is difficult for enterprises to try to build a complete home product chain through the "big home" strategy. He pointed out that from the Chinese manufacturing, home furnishing industry and even enterprise development, it needs to be more and more professional, not more and more complete. From cabinets and wardrobes to floors and bathrooms, different products have different characteristics, and it is impossible for a company to do all the products. At present, there are many products in the company's big homes that need to be outsourced or purchased. The quality, service and specifications of these products do not necessarily meet the requirements. Coupled with resource integration, service landing, and after-sales redemption, there are completely different characteristics between different categories, and it is difficult for companies to do all of this.
Although the advantages of leading brands in different categories form alliances, the Pan-Home Business Alliance also faces the challenge of how to effectively integrate resources and land services when implementing the big home strategy. Guan Qilin, secretary general of the champion league, also admits that the integration of platform-based social resources is more difficult than the integration of internal resources. At the same time, when alliance members such as nature and Sofia are all planning a big home strategy, it is inevitable that there will be conflicts between the two.
Offline experience store + e-commerce O2O is the way out?

For the challenges of resource integration and service landing, home furnishing companies have given solutions for offline experience stores and e-commerce O2O models. In April 2014, Sofia, which started with a wardrobe, has opened its first flagship store in Guangzhou. In November 2014, the first experience store of Ou Pai Da Home has also opened in Foshan, and revealed that 100-150 large home experience stores will be built nationwide in the next three years, covering first, second and third tier cities.
At the same time, Nature Home, Europe, Sofia and other companies have publicly stated that they will use O2O to build a big home strategy. Online drainage attracts consumers, offline logistics systems and physical stores provide support for logistics distribution and after-sales installation services. However, some people in the industry are not optimistic about the O2O model of the e-commerce of the big home. They think that the household products are ultimately presented to the consumers with the overall home effect that needs to be designed, installed and debugged. The e-commerce O2O model is also difficult to unify.
Ma Libin, president of Piano, believes that 80-90% of large home furnishing companies will face very big challenges. "I think that some companies' big home thinking is not very clear. It is easy to cause confusion when talking about Internet thinking. Whether you are Internet or O2O, the most important thing is whether the products and services that really come to meet the consumer's needs and expectations. Don't worry, don't mess, and come slowly."

For more information on China's furniture industry, please pay attention to the official website of Xianghe Furniture City ().

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