China's hardware industry's traditional channels show four major trends

Abstract The circulation pattern of China's hardware industry is undergoing profound and fierce changes. In recent years and in the future, it should be mainly operated under the condition that the circulation and terminal channels cross each other. The hardware market is made up of traditional hardware. A street to the hardware and electrical city, to...
The circulation pattern of China's hardware industry is undergoing profound and fierce changes. In recent years and in the future, it should be mainly operated under the condition that the circulation and terminal channels cross each other. The hardware market is made up of traditional hardware. From the street to the hardware and electrical city, to the professional market combining exhibition and trade, the hardware market has embarked on a fast and professional development route.

Traditional channels still play an important role, especially in the secondary and tertiary markets. Distribution channels tend to be flattened, and some new hardware hypermarkets and big markets have emerged. Some operators and large distributors have also established their own brands, which conflict with corporate retail strategies. The traditional channels of the industry are showing scale and diversification. Trends in modernization, centralization, internationalization and mainstreaming.

Analysis of the Four Development Trends of China's Hardware Industry

First, scale

China's daily hardware industry has entered the forefront of the world. China has established 14 technology development centers such as zippers, electric shavers, stainless steel utensils, iron pots, blades and bicycle locks, and 16 product centers such as pressure cookers, electric shavers and lighters.

At present, most of these centers have developed into industry leaders, and some have become world leaders and have achieved good economic returns.

China has gradually become a major hardware processing and exporting country in the world. China has become one of the world's largest hardware producers with a broad market and consumption potential.

At present, at least 70% of China's hardware industry is a private enterprise, which is the main force in the development of China's hardware industry.

In the international hardware market: developed countries in Europe and the United States, due to the rapid development of production technology and rising labor prices, will transfer universal products to developing countries, producing only high value-added products, and China has strong market potential, so it is more advantageous. Developed into a major exporter of hardware processing.

Second, diversity

In the trade, circulation, export and other aspects have a huge advantage in the wholesale market, the production of hardware products has prospered the market, the prosperity of the market has driven the production of products, forming an interaction between production and market circulation. The construction of hardware and electromechanical professional markets in various regions has basically formed a reasonable mix of origin and circulation, large and medium-sized, comprehensive and single, complementing each other. The overall planning and layout of the national hardware market is reasonable, the business variety is complete, and the logistics flow is smooth. pattern.

Taking the Tianjin market as an example, Tianjin International Hardware and Electrical City, Xinnan Road Hardware City, North Hardware City and Zhujiang Hardware City have four major hardware professional markets, with annual sales totaling more than 20 billion yuan.

These four hardware markets seek development in the competition and form their own development models according to their different market positions.

The International Hardware & Electrical City in the center of Tianjin adopts a comprehensive and diversified business model. There are commercial stores in the electromechanical city, high-end office buildings and star-rated hotels, and hardware stores take the high-end route. The North Hardware City features the plumbing and solar wholesale markets. And Zhujiang Hardware City is more focused on the operation of decorative hardware tools. These four major markets not only gathered more than 60% of the hardware merchants in the city, but also introduced well-known brands such as ABB, Stanley and Bosch to Tianjin. Today, one of the largest hardware industry wholesale bases in northern China, a “hardware industry aircraft carrier” that integrates versatility and professionalism, is standing on the shore of the Bohai Sea. The future prospects of the hardware market will grow from extensive to intensive. Branding, specialization and scale will be the development direction of the specialized hardware market. In the future, the specialized hardware market will show an irresistible development momentum.

Third, modernization

First, the production enterprises extend to the circulation field. The new market trend of China's hardware industry is becoming more and more obvious. The rise of emerging channels not only makes hardware manufacturers face major issues such as re-positioning traditional agents, dealers, and restructuring cooperation, but also makes enterprises face higher and higher. The danger of market control is falling.

Second, specialty stores have become an important development direction. The store has a lot of success. Huitailong relies on the store system to move from a brand that has never been seen to a well-known brand in the industry.

Third, e-commerce has become the mainstream of future development. The impact of e-commerce on traditional hardware channels is growing, and most hardware cities are beginning to seek to combine online e-commerce with the offline hardware market.

Fourth, centralized

Regional concentration. China's hardware tools market is mainly distributed in Zhejiang, Jiangsu, Shanghai, Guangdong and Shandong, with Zhejiang and Guangdong being the most prominent. In the east, there is Shanghai Hardware & Electrical Trade City, which is known as “China Hardware First City”; “Chengdu Jinfu Hardware & Electrical City”, which has a large market such as Wanmen Hardware & Electrical Market, is located in the west; Guangdong Guangfo Hardware & Electrical City is famous in the south; In the north, there is Beijing Zhonghua Hardware City, which is under construction. There is Changsha’s “Yuhua Hardware & Electrical City”. In addition, other large hardware and electromechanical markets include: “Jiangdong Hardware & Electrical City” of Jiangsu Jiangyan, “Huazhong Hardware & Electrical City”, which is being built in Wuhan, Hubei, and “Tianhe Hardware & Electrical City” in Shenyang, Dalian has been built and The “Dalian Hardware and Electromechanical City”, which opened, and the “Nanning Hardware & Electrical City” for ASEAN and “Quanzhou Hardware & Electrical City” for Taiwan.

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