The introduction of furniture "trade-in" has undoubtedly injected a stimulant into the current deserted home market. However, when it was implemented, it faced various difficulties. Whether furniture "trade-in" can be as successful as home appliances "trade-in", let us wait and see.
Piloting "furniture for furniture" within the year
On the basis of the successful implementation of home appliances "trade-in", the 2012 Beijing Business Work Conference proposed that Beijing will explore the development of furniture "trade-in" in this year. The current plan is still in the discussion stage, and it is initially expected to choose a higher chain, Large-scale enterprises conduct pilot projects.
The relevant person in charge of the Beijing Municipal Commission of Commerce also said that there are many types of furniture, and the materials used are also different. For solid wood and plate, each type of recycling and disposal must come up with a pilot plan through research. The difficulty of the current pilot lies in the selection of old furniture recycling and disposal enterprises. In addition, how to replace new furniture and subsidies with different materials also needs to formulate a reasonable and detailed plan. At present, although some enterprises have expressed positive approval for this work, the commercial department will first pilot, and when selecting pilot enterprises, factors such as the scale of the enterprise and the degree of chaining will be considered. The Beijing Municipal Commission of Commerce stated that the pilot enterprises will be announced to the society after they are confirmed.
Furniture's "new for the old" non-initiative Jimei has taken the lead in "testing water"
Actually Home is the first enterprise to test water furniture "trade-in". Since September 2011, the home has launched a furniture "trade-in" campaign, that is, consumers who purchase new furniture can hand over the old furniture to the store collection point, regardless of the size, size, material, and newness of the old furniture. A discount of 5% of the turnover of the new furniture will be applied.
Jimei Household is also carrying out the "trade-in" business, but its subsidy is in the form of a "used discount". According to the person in charge of Jimei Home Furnishing, customers ’old furniture will be collected by Jimei Home Furnishing, and then according to the appraisers’ appraisal results, customers will be issued a “furniture-for-new home purchase voucher†marked with the corresponding subsidy amount. "One to three" is used for cash. The value of old furniture is 100 yuan, and customers can use this voucher as 300 yuan.
Problem 1: How to recycle old furniture
The secondary utilization value of old furniture is limited, which is very different from the secondary utilization rate of home appliances. The recovered furniture is mainly divided into two types, one is in good condition and can be sent to the second-hand market; if it is damaged furniture, generally only solid wood furniture is recycled, because solid wood furniture can be sent to some small furniture processing plants , Change the shape of the solid wood board and make it into furniture again. The broken panel furniture, because no manufacturer is willing to accept it, can only be used as fuel at most, and the price is extremely low, so it is basically not recycled.
In the first place in the Beijing market, the actual home where furniture was used as the main body to implement the "trade-in for old" furniture has encountered the problem of recycling of old furniture. When consumers buy new furniture in their 5 stores in Beijing, they can return the old furniture to the actual home. This service aimed at encouraging consumers to purchase new furniture has attracted many consumers once it was launched. In a short period of time, thousands of pieces of old furniture will fill the 6,000 square meters of warehouses vacated by the actual home.
However, the house actually looked at this pile of old furniture, but did not have a good disposal method, and finally handed it to the waste station as the waste.
It is reported that the Beijing Municipal Commission of Commerce is also discussing the final "home" of old furniture. At present, some enterprises have expressed a positive attitude towards this work. The Municipal Commission of Commerce will choose one or two enterprises with a high degree of chaining and can represent the high level of the industry for pilot work.
Problem 2: How to define the new furniture subsidy category
The subsidies for home appliances "trade-in for old" are all given by the government financial department, so how to determine the categories of new furniture subsidies?
According to the public statement of the relevant person in charge of the Beijing Municipal Commission of Commerce, the scale of the enterprise and the degree of chaining will be taken into consideration when selecting a pilot company for the "trade-in for furniture". In addition to the need to propose a pilot program for the disposal and recycling of old furniture, the subsidies also need to be formulated , Detailed plan. Who pays the subsidy and the amount of subsidy is also one of the factors that can successfully implement the "trade-in" of furniture, which affects the hearts of many consumers and furniture sales companies.
It is reported that the "trade-in" of furniture may continue the policy idea of ​​"trade-in" of home appliances, uniting several large-scale furniture retail stores in the market, using several types of commonly used furniture as trade-in categories, and subsidizing the percentage of turnover of new products And set an upper limit. Because there are many types of furniture, including solid wood, plank wood, and plank, how to delineate the scope of subsidies and to promote consumption and benefit the general consumer groups requires careful investigation.
Problem 3: How to determine the amount of subsidy
Beijing eliminates more than 1 million sets of old furniture every year. If these old furniture are consumed in a "trade-in" approach, the current market price of at least 3,000 yuan per set of furniture will be used to implement the "trade-in" policy. Furniture consumption.
"The government's vision to promote furniture 'swap for new' is good. In the final analysis, it's still for consumers to enjoy the benefits. Merchants have more business to do, but it is really difficult to operate it." For the government to promote furniture "Changing the old with the new", Zhu Changling, chairman of the China Furniture Association, is both happy and a bit worried. In addition to the difficulty in handling old furniture and unclear subsidy methods, he is most worried that some furniture companies will take advantage of the shortcomings to obtain subsidies for product prices.
Take the subsidy method of 5% of the turnover of new furniture implemented by Actual Home as an example. Zhu Changling believes that this method also has loopholes, and that is to make a fuss about the price. For example, he said that a product of a certain brand of sofa could be sold at a discount of 20%, but in order to participate in the "trade-in" campaign to boost sales, it may only be 10% off, and 5% of the subsidy itself is included in the price. "Now the price of furniture is very high, and only a few discounts can be regarded as a real bargain. Whether the merchant really makes a profit or not, consumers are not sure about this."
It is difficult to identify whether the price of a furniture product is high or low, and it is not uncommon for false and high prices to be priced. This makes some companies take risks in the process of participating in the "trade-in" of furniture, temporarily raising the product price to reduce the discount, or keeping the original price but raising it For discounts, even if the government allocates a special subsidy, it will only fall into the pockets of the manufacturers, and consumers will not get any benefits. In this regard, Wen Shiquan, chairman of Yifeng Furniture, said: "After so many years, brand companies should be generous to provide consumers with more benefits, and the advantage of taking advantage should be eliminated."
However, a bid-winning enterprise that traded in electricity for electricity said that household appliances are “subsidized for 10%â€, which is subsidized at 10% of the sales price of household appliances. The sales price is 10,000 yuan, and the subsidy received by consumers is 400 yuan, not 1,000 yuan. Therefore, if the furniture trade-in policy continues with the appliance trade-in policy, the price of furniture will not affect the subsidy pricing.
Views of all parties
Consumer Ms. Li said that after her house was renovated, there were a lot of old furniture. The rule of "furniture replacement" is cumbersome, and the 5% discount is not attractive. The main thing is that this policy is still in the research stage. There is no policy basis, or do not act rashly. "
When asked about the attitude of consumers after the introduction of furniture "trade-in", Mr. Gao, the salesperson of the store, said, "There are still some people who are concerned, but there are still few people taking action. It may be that the activity has just started, and everyone's consumption concept has not been reversed yet. . "
Wang Linpeng, President of Actual Home, believes that the trade-in of furniture can achieve a win-win situation for enterprises and consumers. He said: "Anyway, home stores must do advertising, and use advertising costs to subsidize customers, on the one hand, promote the sales of the store, on the other hand, consumers also get benefits."
Wen Shiquan, Chairman of Yifeng Furniture: Furniture "in exchange for the old" injects stimulants into the home furnishing industry in 2012. In the current situation of real estate regulation and control, the amount of new house decoration has decreased, and furniture consumption has also decreased accordingly, but "trade-in" is a big piece of cake. If an enterprise has the opportunity to enter the government's list of subsidies, it will definitely cherish this opportunity, set the price reasonably, make the best service, and let consumers get the most benefits.
The introduction of furniture "for the old" will undoubtedly inject a booster into the current deserted home market. Although the road ahead is not smooth, but with the strong support of the government and the active cooperation of enterprises, it will inevitably bring new products to the home furnishing enterprises. Vigor, let consumers get more benefits.
Ningbo Wason Lighting Technology Co.,Ltd , https://www.wasonlight.com