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Where is the "way out" for the growth of the home furnishing industry?

author:Home furnishing industry outlook

In recent years, "involution" has become the most familiar term in the home furnishing industry, and in 2024, affected by multiple factors such as global economic fluctuations, rising raw material costs, and declining consumer purchasing power, the business of the furniture industry is still not good. Compared with the "development race", at present, "optimizing the stock and looking for increments" has become a topic of more concern in the industry, and this requires revolutionary ways and methods.

1. Involution and then upgrade?

"Volume price" is not as good as "efficiency" and "service"

Since 2023, the home furnishing industry has experienced changes and conflicts, and the involution has been further intensified, and the "price war" has become one of the main lines running through it. Looking back on the price war so far, in the low-price contest of bayonets, the industry seems to have entered a narrow alley that seems to be accessible, and the final outcome is nothing more than starving to death and dragging itself down.

When the industry cycle from the channel era to the service era, in the face of the whole family, the whole assembly, as well as the decline in customer acquisition, the decline in the output value of the signing, the decline in the success rate, the delivery efficiency, the cruel status quo of high delay rate, blindly reduce the price and fight the price, only to seek growth (performance) from the outside, and to seek efficiency (efficiency) from the inside.

The competition in the home furnishing market has evolved from a single price war to a comprehensive three-dimensional operation, which involves many aspects, including front-end R&D and design, mid-end manufacturing, and back-end brand services.

Therefore, we need to realize that the essence of this round of price war is the reconstruction of costs, and "volume price" is not as good as "fighting efficiency" and "fighting service", which is the key to obtaining comparative advantages for enterprises, such as home improvement design, delivery speed, logistics capabilities, installation capabilities, after-sales capabilities, etc., and of course, the innovation ability of digital marketing.

This is a brand-new topic, when home furnishing companies are exploring, Kujiale, which has been the engine of digital upgrading of the industry, provides you with a set of toolboxes to enhance competitiveness.

On April 25th, Qunhe Technology (Kujiale) held an online conference for the full-space upgrade of the new version of the solution in 2024, and saw the two key points of the upgrade of Qunhe Technology (Kujiale) from this conference:

First, through the comprehensive integration of full-space capabilities, it meets the needs of different types of customers in the industry, and opens up full-space design capabilities including home decoration design, public decoration design, intelligent lighting design, door and window design, commercial furniture design, etc., to provide assistance for customers' diversified business development.

Where is the "way out" for the growth of the home furnishing industry?

Second, three of the four new solutions are designed to provide enhanced design marketing capabilities for small and medium-sized enterprises, which is to solve two major growth problems for enterprises: outward growth and inward efficiency.

After the general direction is clear, what soil will the specific growth space grow on?

2. Where is the "way out" for growth?

The home furnishing industry welcomes the era of comprehensive competitiveness competition

In a single dimension, than length; two dimensions, specific area; Three dimensions, specific volume, that is, comprehensive competition.

In the context of an overall slowdown in market demand growth, new production capacity in the industry to be digested, and high-intensity price competition has become the new normal, in 2024, home furnishing companies still need to bravely go through the cycle, grasp the general trend of the times, and respond to new market demand.

(1) The transformation of old houses into a new track for growth is the key to improving design power

With the advent of the era of stock housing, the demand for renovation of old houses has also increased greatly. The home furnishing market pattern is developing from furniture, decorative building materials, and home appliances to one-stop home furnishing modification services that expand into home decoration channels. It should be noted that most of the old house renovation is an improvement user, who pays more attention to the re-planning and design of the internal space, including the decoration and renewal of walls, floors and ceilings, the replacement of doors and windows, the comprehensive overhaul and transformation of water and electricity pipelines, the relayout and decoration of kitchens and bathrooms, and the redesign of interior decoration styles, etc., which have higher and higher requirements for designers and design solutions, and also accelerate the victory of home furnishing brands with design advantages.

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Therefore, Kujiale has comprehensively upgraded its design capabilities for high-end design, lighting design, door and wall cabinet design, door and window design, etc., to help home furnishing companies provide consumers with fast and efficient one-stop, integrated, full-scene home renovation solutions.

(2) Under the integration of integration, the full-space service capability has become an alchemy

The large home strategy, multi-category integration strategy, whole home customization strategy, door and wall cabinet integration strategy, etc., are expected to remain hot spots in 2024. The overall solution of home decoration around "what you see is what you get" has become a must, which requires enterprises to have stronger full-case design capabilities, category integration capabilities and delivery service capabilities.

This is also the background of the upgrade of Kujiale, by opening up the whole space design capabilities including home decoration design, public decoration design, intelligent lighting design, door and window design, commercial furniture design, etc., to provide an integrated toolbox for enterprises, accurately help home furnishing enterprises improve the efficiency of drawing, give design inspiration, and improve the output ratio of marketing expenses, traffic transaction rate, consumer satisfaction The role will become more and more obvious.

Not only that, based on the digital upgrade of wider connectivity, stronger intelligence, and higher agility, Kujiale will continue to help brand owners and dealers achieve a leap in digital value, and achieve integrated and personalized customized solutions and delivery.

(3) Reaching out to young consumer groups, digital marketing capabilities have become a "rigid need"

Where the consumer is, the business is there. With the changes in the decision-making mode and catalyst habits of the new generation of consumers, the marketing link of enterprises is also changing rapidly, and digital marketing is reconstructing the "people, goods and yards". Different operation nodes and different transaction scenarios require different operation methods to "grab business". Especially in the era of short videos, video and virtual display have gradually become the field of commodity display in the new era.

For example, the WeChat mini-program (enterprise exhibition hall) launched by Kujiale uses the excellent solutions precipitated by the enterprise to allow store shopping guides/store managers/designers to spread through private domain channels (such as: WeChat Moments, communities) and obtain customer-related clues. The light shade short video marketing can help novice partners produce hundreds of design small videos in one day, and publish them to Douyin with one click, helping to obtain public domain traffic and customer conversion.

In addition, it has also become an inevitable trend to accelerate the implementation of precision home marketing through AI technology, reduce investment and effectively improve the input-output ratio of marketing resources, such as AI proposal PPT and AI posters.

Where is the "way out" for the growth of the home furnishing industry?

AI Design Assistant - "Xiaoku" live function demonstration

It can be found that in the face of new traffic and marketing battlefields, with the help of Kujiale's upgrade, it has created a marketing tool for enterprises, broken the problems of enterprise operation, and improved operational efficiency.

All of the above involves the upgrading of product forms, the iteration of service models, and the transformation of marketing methods, and behind them is the improvement of the overall operation ability of the enterprise and the competition of efficiency. And these, in this upgrade of group core technology, have given growth solutions.

3. This time, what did Kujiale "break through"?

Undoubtedly, this is a release with "revolutionary" overtones. In the view of home micro-observation, the launch of the new version of the Kujiale 2024 solution is essentially to reconstruct customers, products and channels through technology and AI, so that home furnishing companies can grasp an important breakthrough, that is, "grasp customers".

Specifically, it is divided into three levels:

First, pay close attention to design and marketing capabilities. In terms of product capabilities, in addition to the above-mentioned improvement of full-space design capabilities, Kujiale is the first in the industry to create real-time rendering in the cloud. In the home furnishing industry, slow rendering and slow drawing have once become a major problem criticized by consumers. The Kujiale cloud real-time rendering, whether it is changing the material or changing the lighting, can be "rendered while changing", allowing customers to "preview in real time". This time, a new split-screen feature has been added to further optimize the design experience and make the effect preview more direct.

It is understood that with the help of Kujiale's design and marketing empowerment, through AI intelligent design, real-time rendering, AI rendering lighting, AI intention proposals, and short video marketing, it can help enterprises increase the unit price of customers by 40% and increase the conversion of signing orders by 50%.

Where is the "way out" for the growth of the home furnishing industry?

The second is to strengthen the efficiency improvement battle and highlight an "out-of-the-box". Avoid the embarrassing situation of not being able to use it after buying it, and not understanding dry staring. AI inspiration library, lighting template library, customized boutique library, soft decoration material library, marketing plan library, short video template library, configurable, copyable, one-click application, convenient for enterprises to land faster and get started with the application. The huge material model library allows enterprises to use it out of the box and enhance the value of enterprise business customers.

Where is the "way out" for the growth of the home furnishing industry?

The last one is the implementation of the service system. With the help of the eight new worry-free services and the brand support plan 1.0, the Kujiale service system has been upgraded again, with top resources to help enterprises fly, providing full-process application landing services for home furnishing enterprises, and driving the quality and efficiency of enterprises' operations in the whole link.

Where is the "way out" for the growth of the home furnishing industry?

IV. Conclusion

The essence of "volume" is competition. The new version of the Kujiale 2024 solution directly hits the essence of "involution", focusing on the three dimensions of "digital support business, digital value creation, and digital innovation", through the comprehensive upgrade of design and marketing capabilities, reconstructing costs and reshaping efficiency, helping home furnishing enterprises get rid of the "rough" label, seek more refined, more professional operation, and achieve high-quality development.

As the vanguard of digital software in China's large home furnishing industry, this time, Kujiale once again handed over a technical proposal that amazed the industry.

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