The fragmentation of home appliance retail channels does not affect the major enterprises and merchants in the home appliance industry to accelerate the reshuffle in the first-tier market and accelerate the concentration of market share. In the future, the discourse power of the home appliance market will be steadily concentrated on a few giants.
Chang Wei ||Written
This is a fact that home appliance manufacturers are unwilling to face, but they cannot avoid it.
That is, under the tide of accelerated fragmentation of household appliance channels, the voice of the channel is accelerating to concentrate on a small number of brands and channel providers, and the market share of a few manufacturers is also steadily increasing. Among them, brands such as Haier, Midea, Gree, Hisense, Changhong, TCL, Fotile, Joyoung, Ecovacs, etc., as well as channel providers such as Tmall and JD.com are the core and protagonists.
In recent years, the highlight of the transformation and restructuring of China's home appliance industry is not only the downturn in the retail market, the sluggish user demand, but also the fragmentation of home appliance channels. In addition to the two major systems of online and offline stores and physical stores, they have successively differentiated into live broadcast e-commerce, community e-commerce, shelf e-commerce, as well as individual micro-businesses, channelers, and stockscrapers who cannot accurately count the number.
The increasing number of home appliance channels seems to allow many home appliance companies to gain a larger stage, space and opportunities in the process of operating and competing in the first-line market. In particular, some small and medium-sized brands seem to be able to speed up shipments, retail, and wholesale through more channels, so as to break the "encirclement" of big brands and large enterprises. The reality is: a large number of fragmented channels, especially emerging and individual channel providers, do not have the ability to operate users, but simply fight for the best and the cost, but cannot fight for the ability; A large number of consumer groups do not only pay attention to the quality of the product, but also pay more attention to the brand, technology, performance, service and other elements of the product.
In the end, the fragmentation of home appliance channels has directly triggered the business difficulties of many home appliance companies in recent years, as well as the involution of home appliance dealer groups.
On the one hand, in order to solve the business layout of different channels, home appliance enterprises set up different channel management teams, which increases operating costs and brings internal friction between channels, which is not economical in scale; In order to avoid internal friction between different channels, more and more home appliance companies have generally adopted the principle of "either paying attention to offline channels, and online just listing products to increase the brand rate; Either pay attention to online channels, and offline channels basically give up self-management and turn to wholesale and restocking."
On the other hand, the number of home appliance channels has increased exponentially, which has exacerbated the involution and competition complexity of the original home appliance channel system; More and more self-employed and micro-businesses are participating in the business grabbing of household appliance channels and user orders, which directly leads to low prices in each store, and there are more than a dozen ** business chaos in a household appliance product, and all household appliance channel merchants have fallen into the quagmire of "not making money, difficult to make money".
It can be seen that in the past 5 years, the involution competition of household appliances channels has burned, and it has become a "cancer" and "acne" in the operation process of the household appliance market: not only let many small and medium-sized household appliance enterprises only choose to concentrate on a single channel and give up the expansion and layout expansion of channel diversification, but also let many weak home appliance channel providers fall into a "dilemma" situation. The home appliance circle believes that this situation will not last long, and there will soon be a round of inflection point, that is, the restructuring of the household appliance channel pattern and order reengineering caused by a new round of reshuffle in the household appliance consumption and household appliance market.
It is foreseeable that in the future, as the form of household appliance channels has become mature and stable, the entire channel structure and system will show three significant changes. First, the number of channels will enter the stage of "more exits than entries", and the number of channels will generally enter the downward channel; Second, the channel structure will accelerate the channel of "the strong and the weak eat the strong", and all kinds of small and medium-sized channel providers must learn to hug their thighs or find backers; Third, channel competition will enter a round of "industrial capital-led" cycle, channel providers must embrace major home appliance brands in order to develop and grow, and capital alone can not seize the initiative in the operation of the home appliance market.
It must be seen that behind this round of fragmentation of household appliance retail channels, there is a hidden force of major household appliance enterprises and merchants in the first-line market to improve their voice and the concentration of market share, and they are leading the differentiation, trend and direction of retail channels, which are also pushing up the entry threshold of the industry. That is to say, no matter how the retail channels of home appliances fission, spread and spread, the number of home appliance brands and suppliers will only become smaller and smaller, and the industry share of relevant head manufacturers will become more and more concentrated.
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