Due to the rise in the upstream raw material, the home industry related enterprises began to raise product prices, involving all housing customizations, tiles, waterproof coatings, lighting and other fields, and the price increase is 5% -20%. China Securities News reporter visited a number of companies in the home industry. Due to the fierce market competition, although they had raised some of the price, many home companies were still unable to completely suppress the cost of raw material prices.
Under this circumstance, more attention to the business capabilities of the company, many home companies are strengthening the adverse effects of digestive cost rise by innovating products, strengthen supply chain management, and increased efficiency.
Small price increase "We have raised 3 prices in the year, and the average price of each sheet has risen by 10 yuan, and some varieties have risen by 15 yuan to 17 yuan, and the price increase is almost 5% -6%. From the current consumer response Look, it should still be within the space.
"The person in charge of the domestic famous home building materials enterprises, Zhang Liang, said reporters from China Securities News.
He frankly, because it mainly faces C-terminal customers, plus market competition is very fierce, they have been cautious about price increase, and the early stage has also passed multiple rounds of measurement and market research.
Similar to this enterprise, Huzhou Anji is an export-oriented office furniture company to complete the price increase of most abroad customers in the third quarter of this year, and start a new price in the fourth quarter.
"We started the price adjustment from the first quarter, and the second quarter and a big customer had a talk, and the negotiations were completed in the third quarter and received the customer’s recognition.
"The person in charge of the company said to China Securities Journal report. Recently, many building materials home companies have issued a price increase notice. On September 21, the Common Group released an announcement, given that the raw materials are high, the company has taken a seasonal effect and Cut a number of expenses, but the effect is small.
The company decided to raise the recommended retail price of some building materials and equipment machine products on December 1, 2021, and the price of the price is part of the whole bathroom, including Renobiofit, BW, BLW, BLCW, BLCP, Docare, ShowerUnitsp, etc. The price increase is 2% -27%.
This is also the second price adjustment after 10% -15% of the price of the company in August.
At the end of September, the Ou Pai home announced fine-tuning self-cultivation prices. Dongpeng Holdings from October 1st to raise tile sales prices. From October 11, the emperor is on October 11th, with the unloading conventional products and the following specifications of tile products, the original price of 5% increased. According to the incomplete statistics of the reporter, this wheel price increase involves the customization of whole house customization, tile, waterproof coatings, lighting and other fields, with an average price increase of 5% to 20%. On November 15th, the Sino-Yuanyuan Home responded to investors on the interactive platform that the company’s sofa, indoor home and other products will have a certain price increase in the region. The staff of the China Securities Department of China Securities News reported that the price increase was mainly influenced by the rise and exchange rate of raw materials, mainly for overseas customers. The gross profit margin decline China Securities reporter learned that raw material prices and logistics costs have risen sharply, the main guides in this round of home industry.
"Since this year, the price of sponges, chemical raw materials, wood, steel plates for home products have increased, thereby increasing product costs. This part of the pressure will bring greater operating pressure to enterprises if they do not conduct prices. Zhang Liang said.
In fact, the rise in raw material prices directly leads to cost-lifting, and the corporate gross profit margin directly linked to the cost has been reflected in the first half of this year.
According to statistics, the gross profit margins in the first half of this year in the first half of this year, and most of them decline.
Dongpeng Holdings 2020 gross profit margin were%, and the first half of this year fell to%. The gross profit margin of Eco House in 2020 is%, and the first half of this year fell to%.
Many industry insiders said to China Securities News reporters that the current price increase does not fully compensate the pressure on the rise. For companies that directly face consumers, under the fierce market competition pressure, companies can weaken their competitiveness, affect their market share, so they often "cautiously" for price increases; for mainly face B For a relatively stable price, relatively smooth prices are important chips in maintaining big customers. The price increases not only need to pass multiple rounds of negotiations. At the same time, the price is really conducted also takes a certain time. Many corporate heads also said to China Securities News reporters that if the cost of raw material continues to fluctuate, there is no elimination of the possibility of continuing to adjust prices.
Inspired by the enterprise to seek new and seeking the passive price increase, the internal management capabilities of the company, many companies have taken measures, with the premise of ensuring the quality of the product, bring the price tide to the enterprise, market and consumers The impact is minimized. Chen Yu, the person in charge of a bathroom export enterprise in Fujian Province, told the Chinese Securities News, on the one hand, they signed a long-term supply contract with domestic raw material suppliers to a certain extent, alleviate the negative impact of raw materials supply tight and price increases; on the other hand They and foreign customers are flexibly priceable for products based on raw material prices and exchange rates.
In the face of increasingly fierce market competition, many home companies put their business focus on the core competitiveness of products. Henglin Shares said that the Chinese Securities News reporter said that manufacturing companies will face unfavorable factors such as raw material prices, which will also be allowed to enter companies through innovative products, strengthen supply chain management, and increase the effects of growth. The adverse situation in digestion has increased, especially the improvement of product competitiveness, and it is very important to brand language.
"Only your products are good enough, customers have viscous, so that there is enough bargaining ability and space at cost." Zhao Shi said that with the increase in raw material cost, some leading companies’ brand and scale advantages will highlight Industrial concentration will further improve.
Another secret secretary of the home building materials is also admitted to the interview with China Securities News reporter. The current market environment has more tests the business capabilities of the company. The direct price of products is only the short-term strategy of cope with cost, and the optimized product structure is the development of the company. Long-term power.
Only have new questions, and enterprises can adapt to the fierce market competition. For home listed companies, raw material prices have risen, in addition to increasing corporate production pressures, affecting profitability, it has also enabled industry shuffle acceleration.
Shen Wanhongyuan Securities believes that in the profit end, the home industry is generally influenced, including raw materials price increase, maritime resource tight, profitable carrier pressure of hardcover business.
In the context of external pressure, the operational toughness, pre-judgment and response of the head enterprise are stronger.
Industry insiders said that there is a status of real estate industry, plus the secondary renovation of real estate stocks will gradually improve, long-term, home industry consumption attribute will gradually transcend cycle properties, head companies have multi-channel, multi-class The concentration is expected to further improve. It is predicted that the price increase may be maintained for a while, and the relative steady state can be entered after the market is realized. CDM statement: All works of "Source: China Securities and Securities Network", copyrights belong to China Securities News.
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