Heya Shangpin, storage expert

Since the second half of 2018, the survival of dealers in the home furnishing industry has begun to be severely challenged, and it is obvious that it is becoming more and more difficult to make money.


Recently, the issue of dealers has been discussed. So what are the factors that have led to the poor development of dealers in the home furnishing industry?



1 Homogeneous business model, poor innovation ability


Everyone is also a distributor of the home furnishing industry, living in a circle, almost all of them are better than painting gourds, moving hard, doing the same thing, encountering difficulties and adopting the same treatment method without innovation. This is the root of the homogeneous business model.


To be a home dealer who dares to innovate, try something new. Therefore, he is self-styled and knows that there is a sky outside.


So, from now on, being a person who dares to eat crabs may bring you unexpected gains.


2 Supported by a single point of single product, once the market is blocked, it will fall into a loss situation


Relying on a single product, the means of earning money with a single method becomes difficult with the gradual growth of home dealers. Now there are many home dealers walking and walking in the air and hanging up. They dare not move forward or dare to retreat. They are embarrassed to die. The reason for this situation is that his own way is too narrow.


As the saying goes, all roads lead to Rome, and you do n’t have to hang yourself on a single product. You have to give yourself more choices, so that when you encounter problems, you can deal with crisis and orderly.



3 Home store costs are getting higher


Home furnishing dealers are basically renting shops in shopping malls. As the rents of shops increase, the cost of storefronts is also increasing. Many stores' profits are not enough for rent for one month. In addition, there are other expenses: staff salaries, advertising fees, Delivery costs, etc., after the final calculation, I still lost.


Presumably as a home dealer, you must have encountered this situation, and you can't breathe. As for the increasing cost of storefronts, the editor wants to say that I am powerless.


4 Profitable space is getting smaller


Every year, there is no lack of promotional activities, but I do not see myself making a profit. That's because special prices are sold every day, and profitable ones can't be sold. The lower the price, the lower the volume, and the volume is up, but the cost is rising linearly, and the profit is getting less and less.


While guaranteeing the quantity of goods, there should also be high profits, and there are not many promotional activities, but refined. Implemented every sales promotion activity, made good statistics, and paved the way for subsequent activities.


5 Two reasons for the change in the profit model of home dealers


1. With the rapid implementation of flattened channels by home manufacturers, making money from manufacturers is more about skills and relationships. Manufacturers and channels actually grow in a community of great interests, 30% win-win and 70% symbiosis;


In fact, this is also a trend, which is shifted from a simple product transaction to a value transaction model. It may be that the two parties of the cooperation or the final output is not cash, but a complement of capabilities, so that dealers have the ability to make money and Resources are more important than making money itself.


With the in-depth development of flat channels in the future, the situation of making money for everyone will no longer exist, and those who can make money will have more opportunities to make money, while those who cannot make money will feel more and more difficult to do.


2. Consumer consumption habits and behaviors have changed. Since the product is difficult to sell, it makes money when it is sold; until now the product is difficult to sell, and it does not make money when sold, and the living environment of the dealer is obviously deteriorated.


Another key reason for the difficulty of dealers ’profitability is the short-sighted imagination in management ideas: for example, the previous rash management empiricism encountered challenges and is easy to be integrated by manufacturers and peers. It is necessary to learn management from enterprises, benefit from management, and control costs Both hands and performance improvement are hard.

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