The Opportunities and Challenges of Hardcovering the Cabinet Industry

The National Ministry of Housing and Urban-Rural Development has already issued provisions for the elimination of rough houses, and the trend of fine decoration will have a far-reaching impact on the home industry. It also means that home companies including cabinets will usher in a huge tooling market. With the full opening of the era of fine-tuned housing, cabinet companies are faced with the opportunities of deep market cultivation, and also face the challenge of having the strength to eat this piece of cake.

The polarization of the cabinet industry becomes more apparent. According to cabinet industry sources, the overall cabinet industry's top corporate sales revenue was nearly 2 billion yuan, while other slightly higher rankings included only 0.8 billion yuan. With the introduction of more stringent market regulation, the property market has been further regulated. This has certain challenges and opportunities for the cabinet industry. First, the home building materials industry is inevitably affected by the regulation of the property market. Secondly, the vigorous promotion of hardcover houses also stimulated the demand for cabinets in the home improvement market to some extent.

Many houses are refined afterwards. The cabinet industry is only a part of the renovation of the property. As long as the products are done well, they can satisfy a greater degree of emotional needs. The price can be further increased, so the profit margin of the cabinet industry is still It is quite large. Therefore, especially in the first- and second-tier cities, the consumption of medium and high-end cabinets is a development trend in the future, and it is also a transformation opportunity for larger companies.

With the intensification of the competition in the traditional cabinet market and the further development of the national real estate control policy, the trend of “staking races” at home stores has become saturated, or even surplus. Then, consider directly facing the consumers in the decoration and designing process, which may be a good choice for some cabinet companies.

The cabinet industry has shifted from a decentralized state to a concentrated one. Under the general trend of real estate decoration, the next step in the improvement of the cabinet industry will be the expansion of engineering channels, the improvement of later installation services, and the enhancement of kitchen space design integration capabilities. At the same time, product standardization and kitchen integration will be accompanied by the development of the kitchen and toilet industry.