Furniture dealer's abacus: counting small accounts, big living method


Shanghai is prosperous, feasting and fascinating.
However, the Shanghai furniture market is in a state of crisis, fierce competition and even cruelty. There is no extraordinary courage and skill, and it is not suitable for survival in this city.
As early as 2011, Shanghai was the hardest hit city in the furniture industry, and today it is the hardest hit area in the hardest hit areas. However, the city is still prosperous in appearance, and it is full of gold, but in the dark it is choppy and bloody. Distributors who are still able to survive in this market and earn a small amount of money must be competitive. Wang Xingang, the chairman of Shanghai Yuanmei Home, is such a dealer. He is one of the best dealers in Shanghai. The annual rent to the store has exceeded 10 million yuan. Then, in the hardest hit area of ​​the furniture market in Shanghai, how did he kill the encirclement, let himself survive, and still live well?

Can the dealer still live five years later?
In a forum, Wang Xingang said that wealth is being redistributed. The furniture pattern in 2014 has undergone subtle changes. Many brands have gradually formed, and many monopolies have gradually emerged. The only thing that has not changed is the dealers who have not made a sound.
Shanghai is China's most severe market. In Shanghai, one-third of all booths in the store are supported by factories. It is really less than one-half of the dealers' operations, and some are not paying rents. From last year to the present, I am able to practice in Shanghai and believe that I can do well in Shanghai and definitely do well in the country. Wealth is redistributing, the factory brand has taken shape, in the sofa is Gujia, Zuo, Zhihua Shi, in the mattress is Mousse, Xilinmen, Suibao, the factory that did not form a brand is closing down.
In terms of stores, Red Star and the chain stores have been promoted to the eighth generation.
What about dealers? I am not ready yet, why? Because many dealers still stay in the stage of choosing a good brand, taking a good product, and waiting for how much. This stage has been experienced by dealers like Wang Xingang, but once gone, he believes that wealth is shifting, dealers who can live to five years later are moving, and the future may be 1:5 or 1:10. The rate is happening. Have to ask, can you still live in the dealership after five years?
Especially in Shanghai, the rent of the store accounted for more than 20% of the turnover of many dealers, the salary of personnel accounted for 8-10%, the gross profit margin of Shanghai was about 40%, but the net profit was less than 10%. Such a high cost, such a low profit, how to live? Must learn to "calculate"!
Don't underestimate these two words. The so-called small account big living method, there are many ways to survive.

Team awareness is the biggest profit
The first thing to do is to figure out what is the biggest profit? It is team awareness!
Take advantage of the team's sense of teamwork and squeeze out profits from yourself. The company's development and achievements come from employees, and the company's progress and honors come from employees. Today's employees are more thoughtful and more pioneering. How to use the employees' work attitude to make the company more competitive in the market is the top priority of every manager of the company. The process of a job is divided into five sections: communication, parliament, resolution, execution, and feedback. Take communication as an example. If managers communicate well with employees, they can motivate employees to be creative and creative, and take the initiative to make the best results in the shortest time. The cost savings and profitability are extremely big.
Therefore, the current market can be said to be the market for products but more is the competitive market for talents. It is a great project for a manager to discover the advantages of employees and maximize their own value. Furniture is difficult to do now, but a lot of humanistic care still needs attention, and the profit in the later stage is maximized.

Use data to adjust marketing strategy
Second, business management is inseparable from the research market, and the market must talk about data. Wang Xingang said that companies need to understand the needs of consumers and the changes of competitors according to market conditions, in order to make product adjustment and update business to ensure that the products sold are competitive, but also to ensure that the inventory can meet the needs of consumers. Demand, let price and cost control have an advantage, and profit from it.
This is only possible with data as a support to make a real judgment.
In the interior of Yuanmei Home, logistics, warehouse and store employees are dealing with various data on a daily basis. Every day, every month, every bit of data is gathered together to form the final demand report of the market, and the data in the report can also be mutually confirmed. Basis.
It is understood that Yuanmei Home will measure the market share of its own products based on the opponent's product price and selling point, and predict the opponent's turnover and salesperson's income based on certain sales channels. Knowing ourselves and knowing each other can be a battle, competitors which color products sell well, which size of the cabinet or sliding door sells well, competitors' sales attitude and sales methods, and which products in their own products are sold low. Which products are selling well. These should be reflected in the summary report, according to which to determine the specifications and quantity of the inventory products. According to good market insight, we can place orders today and deliver them to you tomorrow. This is a competitive advantage.
In addition, the inventory data is updated every day, Wang Xingang said: "We require that the inventory can not exceed fifteen days. If it exceeds fifteen days, measures should be taken. If there is a backlog in the inventory, the inventory will be distributed to each store. Give each store a certain sales indicator."
Therefore, a good dealer will definitely study the market and use data to adjust the marketing strategy, so that every move can be accurate, not only has more rushing ability than the opponent, but also reduces a lot of cost waste.

A small account calculates the survival
"Come on, know what the dealers in Shanghai and Beijing are doing? Hold the whole vehicle and ship it from Guangdong. The cost of the whole vehicle is 6,300 yuan. You can pull 40 sets of sofas. The sea is 4,800 yuan. You can pull 23 sets of sofas. Every day. It is these small accounts." Wang Xingang once analyzed: "In many first-line markets, logistics costs, long-distance accounted for 3%, short-distance accounted for 4%, if logistics costs exceed 7-10%, your net profit will not More than 5%. These are all calculated by us when we calculate the account, I believe that the majority of dealers do not count this account."
The money wasted in the circulation link is not to be known. It is really scary. Under normal circumstances, the long-distance cargo loss rate reaches 1%. Warehouse damage is 0.3% to 0.6%. In the entire transportation process, the company aims to reduce costs by reducing freight rates and cargo damage rates. “We improve the packaging of furniture and require the packers to have corner guards for the furniture to be sent. This small corner protector is only a few cents, but it can greatly reduce the damage and thus increase the profit value. At the same time, reduce the logistics cooperation object, concentrate In one or two, they are guaranteed the amount of transportation, but the logistics side is required to give lower freight rates, and at the same time put forward higher requirements for the logistics party." They do the delivery of the whole vehicle every time, if A car has 70 cubic meters, and if the order is only 50 cubic meters of goods, it will be purchased according to the better products in the sales ranking, and the remaining space will be filled up. Moreover, the secondary turnover phenomenon is not allowed in the transportation process, and the number of transportation is reduced, so that the handling loss can be reduced.
Similarly, the storage cost cannot exceed 1%, and the after-sales cost cannot exceed 1%. If it exceeds, the net profit will fall below 5%. In terms of warehousing, the factory added equipment such as modern standard shelves and forklifts for fast cargo circulation. However, most dealers are short-term behaviors, which are all placed in the warehouse, and the stacking, handling, and improper placement can cause damage to the goods, and also increase the inventory area and increase the inventory cost.
These one-off small accounts are clearly calculated, and the profits are squeezed out, and you will find more survival opportunities than others. The vast number of dealer friends, quickly calculate the account, don't wait until the day is over, the knife is on the neck, and then settled, it will be late!

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

Galvanized Wire Dog Playpen

Galvanized Wire Dog Playpen

The Galvanized Wire Dog Playpen is similar to the galvanized tube dog playpen.The playpens can be installed with any shape, like square, rectangle, hexagon, octagon,etc.It is easy linking and flat packed without other tools.Other features including powder coated, Anti-rust,use long life and each door has one lock for security and to stop you pet escaping.


Pet Playpen

Galvanized Wire Dog Playpen,Collapsible Galvanized Wire Dog Playpen,Iron Metal Galvanized Wire Dog Playpen,Welded Wire Dog Playpen

Huanghua Fengyi Honde Metal Factory , https://www.hd-petproducts.com