Home store "oversaturated" Market response is not optimistic

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A small prefecture-level city in the southwestern region, after classification, at least five lines and six lines later, even the red star Macalline, the home of such a large home store is complete, plus many local home stores, A rough estimate of the total area is hundreds of thousands of square meters. A small county in the west, with a population of less than 100,000, also has a chain hypermarket such as Red Star Macalline and countless local home stores. The “oversaturation” of home stores has spread from the first- and second-tier cities to small, medium and small cities in the fourth, fifth and sixth lines.
As early as 2010, the China Furniture Association had issued a warning that the domestic home store area had grown too fast and had “oversaturation”. In fact, since then, Beijing Oriental Home, B&Q, Home Depot and other chain home stores have closed down, or closed stores, and even the red star Meikailong, which has been expanding for many years, has closed down in Guangdong. An important store.
The collapse of these chain home stores not only affected the development of the settled enterprises, but also left many economic disputes and sequelae, which had a great impact and damage to the home industry. Now, such phenomena are developing from first- and second-tier cities to small and medium-sized cities. The most well-known domestic red star Macalline, actually home and other home chain hypermarkets, in recent years launched a high-speed expansion campaign. According to the data, the two major home furnishing giants currently have more than 200 stores, and their development plans will reach 1,000 or more in the next few years. According to China's 2,862 counties, every two counties can spread more than one county. This does not include other chain store brands and many local home stores.
In the past, the layout and purchase logic of the home store was that the township consumers went to the county to buy furniture, the county town to buy in the urban area, the urban area to the provincial capital or the first- and second-tier cities to buy. Now, the county has a lot of furniture stores, they will not go to the big cities to buy home products, which will inevitably affect the sales of big cities. Therefore, the “oversaturation” of home stores is from the first- and second-tier cities to small and medium-sized cities, and the final impact is still the big cities.
In fact, in terms of sales of home furnishing stores nationwide, there has been a downward trend in recent years. According to public information, the sales of home stores in 2014 was about 1,206.21 billion yuan, down 3.36% year-on-year; the sales in 2015 was 1,084.9 billion yuan, down 9.98% year-on-year. In 2017, the sales of home building materials above designated size reached 917.37 billion yuan, a year-on-year decrease of 22.60%.
On the one hand, the home store is expanding indefinitely, and on the other hand, the market sales have been declining year after year. The crisis is already obvious. No matter which side, the sooner the crisis is faced, the less harm the crisis will bring.
For more information, please pay attention to the official website of Xianghe Furniture City http://

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