The emergence of a new pattern of market competition in the home appliance industry

As the new round of reshuffle in the home appliance industry has come to an end in the past five years, the new pattern of competition in the entire industry has quietly moved towards phased stability. In addition to the polarization pattern of mainstream manufacturers that are "strong and strong", there is also a clear trend of mainstream consumption that is "high-end and low-end", as well as the poor ability of mainstream retail channels to "serve users", and a new wave of competition for mainstream products that are "nested and programmatic".
Under the guidance of the "people, goods, and markets" in the home appliance industry, a new commercial order, new industrial pattern, and a new wave of consumption have been reshaped. The home appliance industry has noticed that the new commercial pattern of the entire home appliance industry has begun to take shape and take shape.
Briefly speaking, it mainly focuses on four aspects: the first is the manufacturer brand pattern of industrial entities, the second is the user demand trend of market entities, the third is the retail channel competition pattern of commercial entities, and the fourth is the product trend direction of competitive entities.
Currently, the new round of development and competition around "people, goods, and markets" presents two characteristics compared to the development of the industry in the past few decades: one is that the goal is clearer, resources are more concentrated, and investment is more accurate. That is, the main operating body is many large and medium-sized enterprises and merchants, while people are the most critical user element, namely, operating users, and goods are the most core means, facing upgrading and expansion from hard to soft, The market is an online and offline fulcrum for the implementation of various transformation strategies;
The second is that the market is changing more rapidly and the means of competition are more diverse, but a new industrial development cycle has just begun. Focusing on the high-quality development of the industry, as well as the adjustment of the business structure of enterprises and the value oriented expansion of user needs, the interests of manufacturers and users in the upstream and downstream of the industrial chain are converging and consistent, namely, the pursuit of a better life and stronger development.
Manufacturer pattern: Strong Hengqiang
The phenomenon of "strong people are always strong" has existed in the development of China's home appliance industry in the past 10 years, even 20 years. The only difference between the current and future is the change in the definition of strength. Both household appliance brands and household appliance retailers are facing a development trend of "either becoming bigger and stronger, or passively contracting or even out of business.".
Today's strong players in the home appliance industry, for home appliance manufacturers, cannot simply be "the king in terms of scale and quantity", but rather the comprehensive strength in terms of quantity and quality, speed and efficiency, users and markets, products and brands. Therefore, for large and medium-sized manufacturers, it is just one thing: "not to promote strengths and avoid weaknesses", but to "accelerate the filling of weaknesses.".
So for small and medium-sized manufacturers, the future development direction and trend is very clear, that is, they can mix and play while withdrawing. Don't expect too much, and don't dream of flying into the sky.
Consumption trend: split between two ends
"Either it's good or expensive, or it's cheap and practical." The younger generation of consumers now have a clear distinction between "daring to love and hating" in their choice of household appliances. From the perspective of home appliance enterprises and businesses, it is actually a split between the "high-end and low-end" ends of home appliance products. In the past, so-called "middle tier" household appliances, which were neither expensive nor cheap, faced failure due to lack of features and personality.
From the perspective of users, the new consumption wave of household appliances is mainly affected by consumption ability, consumption awareness, etc. From the overall perspective, high-end consumption, branding, and quality are the major trends. However, it must be noted that household appliances are now consumer necessities and durable goods for families. They are easy to use, practical, and inexpensive, and are also what most families want. Therefore, there is both an upgrade demand for higher quality and experience, as well as a rigid demand for practicality and ease of use, which will be the major trend and new direction of the entire household appliance consumption in the future.
Channel Competition: Service First
There are more and more retail channels for home appliances, but it is increasingly difficult for a single retail channel to ignite the market tide. Under the trend of a large number of channels and a decrease in the appeal of a single channel, the following changes in channel morphology and structure will be finalized, but the means and content of channel competition will be more abundant, diverse, and changeable. In short, whether it's an offline channel or an online channel, whether it's a hundred billion giants or individuals or communities, the future competition of channels will focus on the ability to serve and market users.
From promoting and selling goods to winning trust through marketing and service capabilities for users, it is not a simple change in business concepts, methods, and models, but a change in business models. That is, by exploring more and better service products, service content, and service systems, users should not only focus on product prices and technical features, but also pay more attention to installation, design Service content, speed, and quality of construction, maintenance, and repair.
Service is the only breakthrough for future home appliance retailers to achieve differentiated innovation and personalized leadership. The ability of this service is not simply after-sales service, but more value-added and value-added service experiences before, during, and after sales, and ultimately "inner sublimation" of the user's harvest and surprise.
Product trend: set scheme
The ability to innovate in technology has improved, but the upgrading and iteration of household appliances has slowed down, especially air conditioners, refrigerators, washing machines, and even kitchen appliances and small household appliances. It is difficult for disruptive products to reappear. Even dishwashers, floor washers, and mopping robots are indigenous improvements to older categories in the Chinese market. The innovation of household appliances has come to an end, and new technologies for household appliances made out of nothing will not appear in hardware products.
At a time when the innovation of home appliances as a single piece of hardware is lacking, in recent years, many home appliance companies have begun to launch packaged home appliances and whole-house smart home appliance solutions using AI technology, connectivity, and other means, aiming to promote the deepening of multiple systems of home appliances from products to solutions, from hardware to software, content, and services, hoping to better meet the personalized and diversified needs of different users. It also allows enterprises to more accurately find good users for good products, from selling a product nationwide in the past to personalized landing for thousands of people and faces in the future.
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