2011 home product prices will become a trend

This round of real estate regulation not only profoundly affects the trend of the downstream home furnishing industry, but also affects the household consumption of each consumer more or less. Regulation has "affected" the price of Dongying household products, and also affected the psychology of people consuming household products.

"Now signing, you can also enjoy a 15% discount. After a while, we are likely to increase the price..." Recently, consumers who buy furniture and building materials in the store often hear this from the sales staff. .

Since the end of 2010, many Dongying home improvement companies, furniture and building materials brand leaders have said that raw material prices continue to soar, and labor costs are also high, continue to follow the store to open new stores and so that the profits of many companies continue to dilute. Therefore, the price adjustment after the Spring Festival in 2011 has become an imperative decision for all enterprises.

Under the impact of the new regulatory policies, it can be expected that the driving force of household consumption will continue to languish. When the conditions of small profits but quick turnover are no longer available, in order to ensure the smooth flow of the company's capital chain in the downturn of the market, “price increase” seems logical. Even if the price is unchanged, the discount may be slightly fine-tuned. Wen Shiquan, president of Yifeng Furniture, said that since March 1st, Yifeng Furniture will fine-tune the discount rate of its products, which is about 7 to 8 percentage points. That is, the original 20% off product will be adjusted to about 8.8 fold for sale.

There are not a few home businesses that are brewing or about to adjust prices. Wang Xiaobing, deputy general manager of the current decoration, said that the rise in chemical raw materials has led to soaring prices of paints, paints and plates. Home improvement companies had hoped that the market would improve this year, but now it seems that the market will be even more sluggish. Therefore, companies need to raise the price by more than 10% to resolve the pressure. In addition to the company's own digestion of a part of the cost, the overall increase in the price of decoration is expected to be around 5%.

Lin Zhouyong, the general manager of the Kebao brand, believes that all companies have plans to raise prices. Enterprises will digest themselves within 5% of the increase, but with the rising cost of raw materials, logistics and labor, the price of decoration may rise by 10% this year. Between 20%.

It is foreseeable that in 2011, the home furnishing industry is expected to usher in a large-scale price increase, which will inevitably lead to an increase in the cost of decoration and purchase of furniture and building materials. Yin Yuxin, deputy general manager of Oriental Home Furnishing Plaza, said that while the renovation costs will increase, the rate of renovation of new homes and the renovation of second-hand homes will also increase. Under the general trend of inflation, prices will continue to rise, and consumers will inevitably rush to spend their money before the devaluation.

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