[Sales] Why is the Bathroom Market Good, But Your Products Aren’t Selling?

Xiaoxin Bathroom Headline

China’s bathroom industry from the beginning of 2017 was affected by the central bank to raise interest rates, followed by macro macro-control policies, real estate policies, and raw material price increases and other various policy influences, all let the bathroom industry to varying degrees of impact, this situation is mainly reflected in two aspects.

One: the low-end market clogging congestion, the high-end market smooth empty!

Nowadays, those small ceramic bathroom enterprises generally exist in small scale, obsolete equipment, a single product, lack of market competitiveness and even survive on OEM and other obvious disadvantages.

And several big foreign brands not only control the high-end market, the price is also increasingly competitive, gradually in the low-end market penetration, small and medium-sized ceramic bathroom enterprises, are unprecedented test.

It has been said that China’s ceramic bathroom market is Chinese people themselves “let” out, dumping each other’s Chinese enterprises so that foreign companies sit on the fisherman’s profit. A lot of native Chinese business pressure is more from itself, the external environment to business opportunities are equal, their own internal power is not deep, the foundation is not strong, marketing, cost control is not good, the pressure will be big.

Only by occupying the high-end market, the brand will have a position; on the contrary, the smaller the share occupied, the lower the position.

Analysis:

It is understood that China has become the world’s largest ceramic bathroom consumer market, many domestic ceramic bathroom brand performance and quality to even exceed the foreign brands, however, the use of foreign ceramic bathroom brand strong financial strength and high brand awareness, almost a monopoly of China’s high-end ceramic bathroom market.

In addition to historical reasons, the domestic enterprise brand awareness is not strong enough to lead to this situation is an important reason.

Ceramic sanitary ware continues to develop and improve, more and more consumers in the purchase of ceramic sanitary products, not only concerned about the price, quality, after-sales service, but also concerned about brand awareness and business reputation.

If the enterprise is still stuck in the past the seller’s market business philosophy, will certainly be in a disadvantageous position in the market competition, and even by the market ruthlessly eliminated, ceramic bathroom industry into the era of brand marketing.

Second: the market is good, the product is not sold out!

According to statistics, in recent years, China’s demand for ceramic sanitary facilities will reach 34 million pieces, leaping to become the world’s largest consumer market for ceramic sanitary products, tiles and sanitary ware products last year reached 7.5 billion square meters and 177 million pieces, respectively, occupying 60% of the world’s total production of building sanitary ceramics and more than 40%, exported to Europe, the United States, Japan, South Korea, the Middle East and other parts of the product every year! The growth rate is 50%.

From this trend analysis, China’s ceramic bathroom market is quite optimistic, with a lot of rigid demand, can be said to be a very good market.

But this year in the housing market control, raw material prices, rising labor costs, floods and droughts continue to disasters and other comprehensive factors, the domestic ceramic industry in the doldrums, the recent Shandong Zibo producing areas, Sichuan folderjiang and Yunnan producing areas have also appeared in large areas shutdown phenomenon.

Frequent occurrence of “excess capacity” for the industry, “market saturation” and other words, for those small and medium-sized bathroom enterprises, with the profit margin compression, and more and more rational consumers are not going to pay for this, the pressure of the product backlog is quite large, some had to stop running part of the production line.

Analysis:

Ceramic sanitary industry in management and marketing is still very traditional, the quality of industry practitioners is not high, so only a few companies have a more well-known brand and relatively complete channels.

Many of their own channels and sales management are obviously not standardized enough, the market network is weak, the dealer’s choice of products rely on good customer relations.

In addition, many enterprises do not have the ability to operate the brand, no systematic business model and professional marketing team, no accurate market information, no customer-oriented service standards and service system for customers, no research for the market, production, supply system, capital investment cycle is long and risky, all these will become a time bomb to put the enterprise to death, at any time may be a deadly move.

In summary, it is easy to see that the internal operation and management system of the enterprise needs to be built and market standards need to be standardized. In addition, enterprises can stop running part of the production line, digest inventory, waiting for the sales season. I believe that there is a real rigid demand, as long as the product to do a good job, no matter how the market environment changes, will eventually achieve some results.