Our reporter Xu Peiyu
Editor's note: The Central Economic Work Conference proposed that the "double upgrade" of industry and consumption should be promoted. This statement has drawn wide attention from all walks of life.
In recent years, China's consumption upgrade has been evident. But the imbalance between consumer demand and domestic supply is also more prominent. As a result, some industries and products were "difficult to sell" and "slow-selling", while some consumers "backed" abroad. Analysts generally believe that China's proposed "double upgrade" of industrial consumption means that the Chinese economy will focus on positive interactions between supply and demand to smooth the economic cycle and promote high-quality development.
At present, China has promoted the "dual upgrade" of industrial consumption. In which areas are the conditions sufficient and the demand urgent? Which areas have shortcomings and need to be remedied? This newspaper has launched a series of reports from today to launch an analysis and discussion.
In the past, households equipped with household appliances such as televisions, refrigerators, washing machines, air conditioners, and other small appliances such as rice cookers and hair dryers for a small amount of money, basically met the demand for household appliances.
Nowadays, "net red" home appliances are emerging in an endless stream, and the home appliance industry is being updated faster and faster. New products such as wall breakers, dishwashers, and mite removers have entered the home, and the home appliance category is more abundant. The washing machine has added the function of drying and ironing, the TV should be selected to have Internet access, the refrigerator is equipped with a 21-inch touch screen, and home appliances have more complete functions. The mature industry of home appliances is no longer relying on low prices to grab the market. A hair dryer, costing thousands of yuan, was sold out in 1 second on the day of "Double Eleven"; a vacuum cleaner, which launched new models every year, also attracted everyone to buy it.
Why do home appliances become "Internet celebrities"? What new consumer trends are behind it? What impact does new consumer demand have on industrial development?
Consumption upgrade creates new opportunities for home appliance industry
——Traditional appliances are injected with new technology and upgraded to become “Internet celebrities”; aiming at consumers' detailed needs, new appliances are constantly emerging.
Cheng Zheng's family has two tabby cats. Coming home from the cold wind, the two kittens meowed and welcomed Cheng, babbling around her legs. Xiao Cheng's heart was warm, but his body was "hairy."
"After raising these two cats, the daily chores are much more." Cheng Zheng took the sticky hair cleaner to clean the cat's hair on the jacket, and opened the humidifier at home.
"My cat's nose is not very good, and it's too dry in winter in Beijing. I bought a humidifier for both myself and the cat." During the conversation, Cheng Zheng took out a vacuum cleaner and started cleaning the sofa. Cat fur and cat litter on the ground.
The vacuum cleaner and humidifier in Cheng Zheng's home are all international celebrity brands. She calls herself "iron powder". "Before I bought this brand, I always felt that traditional appliances such as vacuum cleaners can't do anything tricky. After others have recommended it, I think it is particularly good in all aspects. . In short, I am very satisfied! "When buying a humidifier, she did not hesitate to choose the same brand again.
The general trend of China's consumption upgrade has created new opportunities for many home appliance companies.
Some traditional home appliances are injected with new technology and upgraded to become "Internet celebrities." The popular Dyson hair dryer in the market in recent years is one of them. Traditional hair dryers cost one to two hundred yuan, while Dyson hair dryers cost more than 2,000 yuan. Although the price is much higher, the application experience brought by a series of new technologies such as its new motor still attracts a large number of Chinese consumers.
To meet the increasingly detailed consumer demand, new products are constantly emerging in the home appliance market. The "health pot" has been on fire for nearly two years. Many people find that if they want to drink a bowl of delicious and healthy stew or dessert, they don't need to go to the restaurant or wait for hours in the kitchen to spend a small appliance. Huang Min, an investigator of the China Household Electrical Appliances Association, analyzed in an interview with this reporter: "Consumption upgrade brings new consumer demand. With the improvement of living standards, people have begun to pursue a more refined life, and personal needs have arisen and spawned Segmentation of home appliances. New demand has driven industrial supply, which has also stimulated and created demand. "
Domestic brands make high-end
——Chinese domestic brands have more abundant categories and more complete functions; the share of high-end and high-end products has continued to increase; their international influence has become greater and greater
"My home appliance rice cooker was brought back to Japan a few years ago, and I quarreled with my mom for this. She always thought that the more than 100 yuan rice cooker would work." Huang Yifan is a Haitaoda person, Home appliances are the protagonists in their global shopping carts. "My parents' coffee machines, sweeping robots, and garbage processors are all from Haitao."
Like Huang Yifan, there are many people who are passionate about Haitao appliances. With the improvement of consumption level, Chinese people have higher and higher requirements for the quality of home appliances, but the corresponding high-end products of domestic brands have not kept pace.
However, this situation is quietly changing. After New Year's Day this year, Huang Yifan started to renovate his new home. During the renovation, she "grown" many new appliances, such as humidifiers, water dispensers, health pots, wall breakers, and projectors. After calculating, it is close to 20,000 yuan. If you look at the brand and origin, Chinese domestic brands account for more than half.
Dong Chao, the director of the Institute of Circulation and Consumption of the Institute of International Trade and Economic Cooperation of the Ministry of Commerce, said: "In the past, China's industrial upgrading and consumption upgrading were to a certain extent disconnected. China is more of selling high-quality products abroad and externally. The market is driving domestic industrial upgrading, but neglecting the upgrading of domestic demand. Considering the current international environment and the strong uncertainty of external demand, China's industrial development still depends on the strength of domestic consumer demand. "
In recent years, in addition to the international popularity of Dyson and other domestic brands, domestic home appliance brands such as Beiding and Jiuyang have also taken advantage of the trend and introduced a lot of new products popular with consumers. New changes have taken place in China's home appliance industry.
More categories and more complete functions. In addition to traditional appliances such as refrigerators, washing machines, and air conditioners, emerging categories such as wall-mounted washing machines, wall-cooking cooking machines, and mite removers have sprung up, enriching the home appliance market. Household appliances also show "multi-functional" features, such as Mofei multi-function pot and Jiuyang multi-function soymilk maker. Dong Chao said: "A trend in the home appliance industry is integration. In the past, the functions of the kitchen were separated, and now they are sold as a combination. This is also related to the per capita living area. Products with a combination of functions are more conducive to reducing occupation. Ground area, and more reasonable use of space. "
The share of mid- to high-end products has been increasing. Huang Min said, "In the past, consumers tended to choose international brands when buying high-end products. This situation has changed significantly in recent years, with domestic brands taking the lead in the high-end market for many products." According to data from Zhongyikang, 2019 In the first three quarters, Haier's high-end brand Casa Di's retail sales share reached 40.6% in the refrigerator market of more than 10,000 yuan; in the drum washing machine market, the total retail sales of Haier, Little Swan and Midea have exceeded 50%; once foreign investment The leading broken wall cooking machine market has been monopolized by domestic brands, and Midea, Jiuyang, and Supor combined accounted for more than 97% of offline retail sales. The competitiveness of domestic brands in the high-end market continues to increase.
International influence is growing. Haier's acquisition of Fisher & Paykel New Zealand, General Electric of the United States, Cardi of Italy, Midea's acquisition of Toshiba of Japan and KUKA Roboter of Germany ... The pace of overseas expansion of China's leading household appliances industry has accelerated, and its international influence has also expanded. Today, Haier products have covered more than 160 countries and regions around the world, and nearly 100% are independent brands.
Reverse customization mode is popular
——The user-centered concept is leading the home appliance industry to accelerate transformation and upgrading, and to connect consumers with the continuous pursuit of a better life
The Central Economic Work Conference put forward the need to promote "dual upgrade" of industry and consumption. In the eyes of the industry, home appliances, as an important area of the consumer market, is an important test field for the "dual upgrade" of industry and consumption. Dong Chao's analysis: "China is the largest country in home appliance manufacturing, and it also has the world's largest consumer electronics market. The huge market can support the transformation and development of China's home appliance manufacturing industry into the mid-to-high-end sector, which will enable industrial upgrades and consumer upgrades at the same frequency Resonance. "
The reverse customization model that has emerged in China's home appliance field in recent years is the best interpretation of the industry's upgrading driven by consumption upgrades.
During the "June 18th" shopping festival in 2019, JD.com launched a "Jingpin Home Appliance" with a number of home appliance companies. Through the integration of AI algorithms and big data, it captures consumer electronics purchase preferences, page views, dwell time, and purchase records, and then uses this information as a guide to collect the most valued parts of consumers and customize them to meet the market Demand for quality home appliances. Data show that during the entire “June 18” period, the average turnover of Beijing's home appliances increased by 4 times compared to May.
The user-centric concept is leading the home appliance industry to accelerate transformation and upgrading. Huang Min introduced that many home appliance companies now rely on questionnaires to conduct user surveys. They have adopted new technologies such as big data, artificial intelligence, and cloud computing to gain insights into user needs and incorporate user experience into product development processes to make product development more Targeted and accurate choice of user needs. "Haier, Midea, Hisense, Fangtai and other companies have actively carried out user research and established R & D management systems and product innovation processes that focus on user experience."
Wang Xuhua, deputy director of the Comprehensive Business Department of the China Light Industry Federation, said that the rapid growth in the past 10 years has pushed the size of the home appliance market in 2018 to 810.4 billion yuan. Such a large market base and near-saturated population retention have determined that it will be difficult for China's home appliance manufacturing industry to make breakthroughs in scale in the future. However, we must see that the Chinese market has a large depth and strong undertaking force. In all levels of the market, consumption upgrades are simultaneously underway. If companies focus their efforts on upgrading their product structure and consumer experience, and connecting consumers' continuous pursuit of a better life, there is a lot of room for the future.
On the one hand, the sinking market has huge potential. With the implementation of "home appliances going to the countryside" and "old for new" measures, the home appliance market in rural and third- and fourth-tier cities has gradually upgraded. Consumer demand for sinking markets is no longer just usable, durable, cheap, better-used, more energy-efficient, and smarter products are welcomed, providing space for many home appliance companies to show their skills.
On the other hand, consumers in first-tier and second-tier cities pay more attention to re-technology and high quality, and also created a market for some home appliance companies to take the high-quality and high-end route. Huang Min said: "Demand is constantly being updated, depending on whether our industry can seize the opportunity."