Analysis of Several Factors Affecting Sales of Doors and Windows Products in 2011

At present, many of the doors and windows companies that I want have no own brand in the market, and they have no pricing power in terms of prices. This is a very important consequence for foreign brands. This will in turn drag down the development of our domestic market.

According to industry sources, the future market for door and window competition will be concentrated in the second and third-tier markets, and even the fourth-tier market in townships and towns. The total amount of this market is huge, but the monomer is small, so it is difficult to estimate the difficulty of development and management. There is no doubt that this is a typical "long-tailed" market. The competition has entered a crucial stage. The new situation calls for a new business model.

Domestic doors and windows enterprises rely on only a single traditional business model. If they want to “take the lead” in the window and door industry, I am afraid there will be no chance. Even if the previous foundation plays well, if you can't keep pace with the pace of market development, you may be eliminated. Jiuzheng Building Materials Co., Ltd. has learned from a number of surveys that the following five factors have affected the sales of doors and windows in 2011:

Rising costs of raw materials and labor Since 2010, major raw material products in the country have risen sharply. Prices of raw materials such as copper, aluminum, and timber have continued to rise. It is understood that the most prominent change in the current window and door market is the obvious decline in sales of mid-range products. A window company official told reporters: sales of mid-range doors and windows fell by about 10%. In addition, people in the industry also stated that the impact of rising raw material prices on the window and door market is obvious. The cost has increased. The price of doors and windows has only risen slightly, but it has caused consumers to deter.

The regulation of the property market In early 2011, the introduction of the eight countries made it clearer that the country’s firm determination to control the real estate industry. It can be predicted that the regulation will be more severe in 2011, which will directly lead to shrinking real estate transaction volume. The price of houses in major and medium-sized cities is now worthless, and the transaction volume is extremely low. In particular, the transaction volume of second-hand housing is even lower. This situation will directly affect the downstream building materials industry, and the door and window industry will not be spared.

Intensified market competition Due to the low barriers to entry for the door and window industry, especially the wooden door industry, it is possible to start a wooden door factory with only a little capital, and a lot of companies that do flooring and cabinetry compete for cross-border entry, resulting in fierce competition in the industry.

*** Appreciation pressure on the appreciation of *** has, to a certain extent, led to an increase in the production cost of wooden doors, prompting export-oriented wooden door companies to start aggressively entering the domestic market, which has brought a more severe competitive environment to the already heated wood door industry.

The impact of inflation on nationwide inflation has caused many consumers to start cutting expenditures, which has affected the sales of doors and windows to some extent. The increase in CPI has far exceeded the increase in people's disposable income, and it will directly affect consumers who dare not spend money.

Factor Analysis 2011 will be the most difficult year for door and window companies, and the status quo of the doors and windows industry will determine the beginning of this year will be the year of brutal competition brand cleaning.