Red Star Mei Kailong Wang Wei: Next spring is definitely a warm spring!

Red Star Macalline Beijing Chaoyang Road shopping mall is about to be opened for business. This is based on the seventh-generation shopping mall. Red Star Macalline first introduced the popular market place concept in Europe and America to create a multi-format mixed-generation new-generation shopping mall. The furniture and building materials are the core, supporting the home appliances, lamps, food city, design original museum, health and leisure center and other sections, to create the best gathering place for the fashion crowd to eat, drink and play.

In the context of a round of regulation of the property market, the sales of the home furnishing industry are not optimistic, and the market demand for consumption is weak. Why is this high-profile opening in this contrarian? In this regard, Hongwei Meikailong Jinghu, the general manager of the Southwest Region, Wang Wei has consistently been positive and confident!

"I don't think it is counter-trend to open a store, there is no contrarian!" Wang Wei said that the market is very large, the proportion of individual companies is very small, there is no contradiction at all, enterprises need business characteristics, the home industry needs blue sea thinking!

For the next year's market, some people in the industry expressed great concern, and Wang Wei said with great certainty: I can tell you with certainty that next spring is definitely a warm spring!

There is no contrarian in the market

In the home circulation industry, the ups and downs of 2011, Home Depot closed the last store in Beijing, after Lehua Meilan was firm for six and a half years, the Dajiaoting shop closed its doors, and the world's leading consumer electronics retailer Best Buy shut down nine retail stores in China, Ouada Shenyang store has quietly closed less than a year after its opening... The withdrawal of the store has become the focus of attention in the industry.

When asked by the reporter to ask the Red Star Macalline for the contrarian expansion, Wang Wei replied with confidence: "I don't think it is counter-trend to open the store, there is no contrarian." He further said: There are statistics showing that the whole The annual increase of furniture and building materials is about 15%, the market demand is constantly increasing, and the failure of several enterprises does not represent the failure of the whole industry. At the same time, the failure of a certain store of a company does not mean the failure of this enterprise.

The market demand is very large. Wang Wei further explained with the data that the transaction volume of Beijing's property market in 2011 was about 170,000 sets, which means that at least 170,000 houses in the market will need to be renovated in the next year. Including commercial buildings such as office buildings, hotels, shopping malls, etc., if all together, the market demand for renovation of the entire market is at least 100 billion.

From the perspective of the Beijing market, the mainstream home stores are also around 15 stores. Each store has an average annual sales of 1.5 billion, which is only 30 billion, which is far less than the actual market demand of 100 billion. In this way, the market space that brand manufacturers have not touched is still very large.

"The law of the market is to always support the strong, and always eliminate the weak. Some stores do have some empty fields, but it must be that this market is not operating well, the products are not well combined, the brand does not publicize well, not directly to the market. There is a contrarian." Wang Wei said.

Industry needs blue sea thinking

Faced with such a large decoration market, why do many manufacturers feel tired? It’s not a market flaw, the market is not awkward, the market structure has changed, and everyone’s confidence has changed. This is one of them. Wang Wei said frankly: Second, the scale of 100 billion, but actually why Every furniture and building materials brand does not do much business, then who is going to digest 70% of the market? In fact, it is digested by some small brands that you can't imagine.

How to develop and occupy more decoration market? Rather than playing homogenized products and services in a certain market segment, Wang Wei pointed out: To break the limits of thinking, this industry needs a blue ocean thinking!

First of all, we need to look at this market with a challenging and entertaining mentality. What is even more important is to get out of the blue ocean of "specialized management and professional services."

In order to clearly express this concept, Wang Wei used the Xi'an market as an example. Red Star Macalline has four shopping malls in Xi'an. According to the size, scale and location of each mall, the positioning is very clear: one is the category killer shop. A store similar to Decathlon sports brand is actually a professional store for home building materials; one is a block-type home outlet, consisting of a main street, ten small streets, 30 houses, enclosed in one area; There is also a quality shop, which is built into a home art street in the open-air pedestrian street in the city center. It can be called the fifth avenue of the home, and the brand route is taken. There is also a store that is a type of boutique. Mainly facing the small-sized area, targeting the petty bourgeoisie, white-collar workers.

“These four stores are different for the crowd. In the refinement of the market, we have adhered to a very distinctive operation, and Red Star Macalline provides professional services and precise service in the area where it is located.” Wang Weidao The most crucial part of this: "The direct beneficiary of this positioning is the brand. Maybe you have repeatedly opened the store before, almost completely copying the model, which is equivalent to the brand paying four yuan (rent) to do a business, and we are In the same city, the malls with different characteristics are positioned, and the brand manufacturers can adjust their category to correspond to the settlement, which is equivalent to paying four yuan (rent) for four business."

Next spring is definitely a warm spring.

For the next year's home market environment, the industry has expressed different levels of concern, but Wang Wei also maintained an extremely optimistic attitude: I can tell you with certainty that next spring is definitely a warm spring. The spring temperature next year is definitely higher than the "temperature" of this spring!

Why are you so confident? Wang Wei gave three reasons: the first Spring Festival on January 22, 2012, a lot earlier than in previous years, and March is a traditional home season, the market will start early; the second year this year the media is ten The month began to sing down, suppressing consumers' desire for consumption, but in fact the market is very good, the demand for decoration is also rigid. In the spring, the media will sing and sing tired, and the business is busy with warmth, so spring is definitely popular. Wang, another one, when everyone started to say that the market is not good, some people are thinking backwards, so I think that the spring will start well next year, and the flowers will be warm.

Not only is the spring warm, Wang Wei also pointed out that the whole market next year and this year will have a lot of new things coming out. For example, new marketing initiatives, service initiatives, furniture categories will stand out and the market will come to the fore. Beautiful "spring". "There will be no problem next year. If you want to plant something in the soil next year, you can sprout." Wang Wei said.

Under such optimistic forecast, next year, Red Star Macalline will increase its investment in the market. One of the most important is to establish a community service station.

"Our tentacles have been deep into the community, renting houses in many large communities, setting up community service stations, with a standard of 100 square meters. First, receiving customers, with a unified shuttle service car, picking up customers to Red Star Macalline The second extension service, such as some delivery services after customers shop, extend our service line directly to the customer's door. Third, we can organize many installation teams to provide free maintenance and repair services for those in the community. Fourth, the information transfer station, customers can go to the service station to see, see what activities in our mall, discount information, promotional information, brand activity information, announcement activities. Explain that although our cost will increase a lot, it is very necessary to do so in order to be able to implement the service.

The following is a dialogue record, interviewed guests Hongxing Meikailong Jinghu, general manager of Southwest Region Wang Wei:

[Reporter]: Red Star Macalline will open its fifth store in Beijing? Please tell Mr. Wang about the situation of this store?

[Wang Wei]: This store is located at the intersection of Chaoyang Road and East Fifth Ring Road, in the southwest corner of the Fifth Ring Road, next to the Communication University. We call it the Red Star Meikailong Chaoyang Road Store. Why choose this place? Because we believe that Beijing has a tendency to develop in the direction of Tongzhou. With the shopping center as the center, within the range of three to five kilometers, there are many high-end real estates and the transportation is very convenient. The biggest advantage is that it can be extended to Tongzhou. There are many real estates in Tongzhou, and the demand for building materials and households is very strong. We are very optimistic about this direction, so we have made such a shopping mall there.

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The balcony or terrace sun room is in the entire living room, so visual connectivity is very important. It needs to be considered in line with the overall style of the building, while the overall tone is as consistent as possible.

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