In the first half of this year, an exciting news came from the home furnishing industry that the furniture trade-in policy will be introduced in July. It is understood that the Ministry of Commerce has indicated that it will actively support local pilots of furniture trade-in. If the pilot effect is obvious, it can be promoted nationwide. Subsequently, the details of the implementation of the policy have gradually surfaced, attracting a lot of praise in the industry. It is a pity that this seemingly out-of-the-box policy has not been followed.
Why did the furniture trade in the old ones fail to "go to the appointment" as scheduled? When will this policy be introduced? How can companies persist without the support of policies? Recently, the reporter visited several major home stores in Beijing and called the relevant people to learn about the latest developments in furniture trade-in.
Furniture trade-in becomes a promotion normal
In the midsummer of August, the homes of the home, such as the Real Home, Lan Jingli, Jimei Home, and Chengwaicheng, are still in full swing in the furniture trade-in activities, and the results are good.
In May of this year, the old furniture recycling processing center of the family was officially put into use, which solved the biggest problem in the process of trade-in. The "actual mode" was highly praised by Vice Minister of Commerce Jiang Zengwei.
In the Shilihe store of the home, the advertisements for the old-for-new furniture were clearly placed in front of the service desk. The subsidy form of “recycling old furniture by 5% of the turnover of new products†was widely used by other selling places.
Meng Xiao, deputy manager of the operation and management department of the Real Estate, told the reporter that since the introduction of furniture trade-in last year, this activity has been considered and supported by consumers. Currently, the number of orders per month has reached five or six thousand, resulting in sales. The amount is nearly 80 million, accounting for about 20% of the total sales of furniture in the home, and the results are quite gratifying.
The reporter learned from another old-fashioned store in Beijing, Lan Jingli, that since the official implementation of the furniture trade-in activity on May 1, the total number of orders has reached about 10,000, driving sales by nearly 20%.
"As the furniture trade sales pulling more obvious. July Lan Jing Li family to participate in the activities of the product range has been expanded, some of the building materials products, such as cabinet cabinets, bathroom cabinets, etc. may also participate." Blue Jing Li family planning department Manager Lu Min said.
The reporter found that consumers and merchants are very optimistic about this policy and believe that "this is a win-win move." A Mr. Zhang, who is buying furniture, told reporters that the old house in the house had just been refurbished and planned to buy. New furniture, but the handling of old furniture is worrying. Mr. Zhang said, "Now I know that there is such a trade-in activity. The old furniture has a place to go, and it can also get a discount on new furniture. It really kills two birds with one stone."
Policy dystocia enterprises face high cost pressure
Since the implementation of furniture trade-in, it has been highly anticipated by all walks of life. The industry believes that this is a good news for the furniture industry, which will greatly stimulate consumption and stimulate domestic demand. However, the reporter's investigation found that due to the delay in the introduction of relevant policies, enterprises can not get policy subsidies, subsidies and operating costs must be borne by themselves, which has caused great pressure on enterprises.
For the home of the family, although the furniture trade-in brings a very obvious sales pull, it also receives the support and support of the merchants, but as time goes by, it brings more and more pressure to the enterprise.
Meng Xiao said that due to the large sales volume brought by the old-for-new, only in the distribution of furniture subsidies, the average family spends nearly 5 million per month. In addition, the annual operating cost of the old furniture recycling and processing center is as high as 3 million.
Yin Bo, general manager of Lan Jingli, told reporters that in order to better implement the old-for-new policy of furniture, Lan Jingli invested heavily in the research and development of the “single product management†system from the beginning of the year, and implemented the clear price in the store. "At present, Lan Jingli's average monthly furniture subsidy is more than 1 million. This cost is borne by the store itself. The pressure is very high. We hope that the policy will come out as soon as possible and ease the pressure on the company."
According to the reporter's further understanding, in addition to the huge subsidy costs and operating costs, the most headache for enterprises is the recycling of old furniture.
Lan Jingli's family used the method of cooperation with professional companies in the handling of old furniture, but Lan Jingli also built a warehouse for temporary storage of recycled old furniture. "Because there are too many old furniture, the turnover rate is high, and the warehouses are often piled up. It is often that the batch has not been shipped away, and the next batch has to come in again." Lu Min said.
It is understood that the Jimei home, which began to participate in the "old-for-new" furniture at the end of last year, is also in a difficult situation. The original company used the door-to-door valuation of old furniture, and then issued coupons for consumers to trade in. But this model is simply unsustainable in practice. Subsequently, the company established a new system and paid for the cost of the old furniture. Only these two items, Jimei spent at least 10 million yuan a year.
While some companies continue to invest heavily in maintaining trade-in activities, some companies are no longer implementing them. Last year, Red Star Macalline invested 100 million yuan to launch a "non-replacement" campaign, which pioneered the old furniture subsidy model of "old Huixin". However, the staff of Red Star Macalline told reporters that the activity has been cancelled.
Yu Xiusu: The policy has entered the final approval stage
According to industry insiders, due to the difficulties in logistics, the difficulty in defining subsidies and the difficulty in reusing them, the models adopted by each store are not the same. There is still no good solution in the industry. Therefore, I hope that the government will introduce a policy of replacing the furniture with the old ones as soon as possible.
However, it is understood that at present, all major stores in Beijing have not received news about the introduction of relevant policies.
To this end, Sina Home Reporter specially called Yu Xiusu, president of the Beijing Furniture Association. She said that with regard to the introduction of the new policy, the work of the association has been completed, and it is waiting for the approval of the superiors.
Yu Xiusu said that the introduction of furniture trade-in policy is imminent, because it is difficult for the whole industry to advance the industry alone. "Old-for-new" meets the needs of consumers, and also meets the development concept of circular economy, energy saving and environmental protection. It is a trend that is inevitable and imperative. "At present, companies are under a lot of subsidies and they are under great pressure. I hope the government can give policy support and push everything forward."
The reporter learned that several large stores in Beijing will be used as pilot enterprises for furniture trade-in. After the implementation of the policy, the government and enterprises will jointly undertake subsidies. "In order to get the subsidy for furniture trade-in, the store must first implement the clear price, and the goods must be reasonably priced, otherwise they will not be subsidized." Yu Xiusu stressed.
Although it is still unclear when the furniture trade-in will be introduced, it is safe to say that “all things are ready, only the east windâ€.
"Because we did a lot of work in the early stage, the process of the introduction was basically no difficulty. Now wait for the above news." Yu Xiusu said, "I am also very anxious, I hope to introduce it soon."
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