Fujian bathroom manufacturers account for 70% of the national market
Posted on April 02 2022
In 2012, the 71-year-old Su Zengfu returned from the arena with his proud new work, the stainless steel sanitary ware brand. In fact, after finally choosing to surrender the controlling stake in Supor Co., Ltd. in 2006, Su Zengfu was already looking for a new pillar industry for his Supor Kingdom. As an entrepreneurial predecessor, choosing a sanitary brand as an entrepreneurial project is undoubtedly seeing business opportunities and potential in the Chinese sanitary brand market. In the process of China's integration into the global economic environment, its economic strength has risen rapidly, and China has become one of the most dynamic economic regions in the world. China's economic infrastructure has been constructed and improved in a large number, and its industrial development has gradually matured, with obvious advantages of lower labor costs. Chinese bathroom brands have made full use of this advantage to gradually become the world's largest producer of bathroom brands.
And the strengthening of the central position is first manifested in the overall growth in exports of hardware products in recent years. The growth rate of the export of major hardware products is higher than the growth rate of output and higher than the growth rate of sales in the domestic market; the major hardware and electrical products are fully blooming, and not only the traditional export categories such as power tools, hand tools, and construction hardware products have increased. It is very high, and the export growth rate of kitchen appliances and sanitary products that had a small proportion of exports in the past was also very obvious. The huge market and the gravity of the central position will further attract the transfer of manufacturing centers of hardware multinational companies to China.
Fast export growth faces transformation challenges
The annual export of China's hardware industry has maintained an average annual growth rate of about 8%. In 2012, statistics showed that the hardware export quota exceeded US $ 5 billion for the first time, ranking third in light industry exports. It is expected that in the next few years, bathroom brands will increase by 10%. The rate of growth has reached a steady and rapid growth rate. Among them, the sanitary mold industry has achieved an annual growth rate of 15% to 20%. China has gradually become a major exporter of integrated hardware production and processing in the world, and has successfully squeezed into the world's largest hardware producer. One.
Now at least 70% of China's hardware industry is a private enterprise, which is the main force for the development of the hardware industry. China has gradually become the world's major hardware processing and exporting country, and has become one of the world's major hardware producing countries, with a vast market and consumption potential. It is reported that China's production and sales of plumbing and sanitary ware products have ranked first in the world, and is the world's deserved largest producer, exporter and consumer of sanitary ware. The rapid development in the past is completely a way to pursue volume and speed. With the adjustment of the domestic economic structure, the increase of various costs, and the crisis of the international market economy, the export situation will not be optimistic. Many bathroom brand export companies Will face a decline in profits, transformation and upgrading of the export model.
Jin Lixin, deputy secretary general of the China Metal Products Association, said a few days ago when talking about the export of hardware products: "At present, export-oriented enterprises have encountered the most difficulties, which are mainly affected by changes in exchange rates, market demand, and reductions in export tax rebates. Especially The reduction of the export tax rebate rate has a great impact on the export of enterprises. Taking the hardware lock industry as an example, some export companies have very difficult sales, and orders at the Canton Fair last year have decreased significantly. At the same time, some companies have long ignored the establishment of brand marketing channels in the domestic market. Therefore, more efforts must be made to find a breakthrough in the domestic market in the short term. "
"If it was seven or eight years ago, at the import and export exhibition, overseas customers generally had an interest in the new products displayed, and they could place orders on the spot. Before the financial crisis in 2008, Alibaba, Global Sources, and other network channels continued to be delivered. Customers only need to communicate via email or phone to make a deal. Now they ca n’t taste the past and feel that the export situation is getting more and more severe. The traditional foreign trade model faces the decline in the quality of customers ’enquiries and it is difficult to make deals. Not as good as before, very few customers can place orders on the spot. Customers always shop around, think twice, and even make the exhibition a bargaining place. "Said Wang Yanlei, manager of the international marketing department of Aikehualai Sanitary Ware.
Industrial regional model has matured
Speaking of the distribution of the origin of the Chinese bathroom industry, most people first recommend three regions: Zhejiang, Fujian, and Guangdong. After decades of operation, the development of the kitchen and bathroom industries in Fujian, Zhejiang, and Guangdong has become increasingly mature and has become the main production area of China's bathroom industry. Guangdong production areas mainly produce sanitary ware brands, valves, water tank accessories, induction sanitary ware, bathroom cabinets, leisure sanitary ware, and ceramic sanitary ware. Guangdong production area is currently the province with the most complete domestic industrial chain, the largest number of enterprises, and the most famous brands.
It is reported that there are nearly 500 enterprises engaged in the production of plumbing and sanitary ware in Shuikou Town, Kaiping, with more than 30,000 employees. The domestic market share of the products reaches more than 40%, and the export volume increases at a rate of 20% each year. In Shuikou Town, there are more than 10 plumbing and sanitary enterprises with an annual output value exceeding 100 million yuan, 30 enterprises with fixed assets exceeding 10 million yuan, more than 10 products have all been exported, and more than 20 have passed international ISO certification. More than 300 patent-licensed products. The Shuikou plumbing and sanitary industry now has nearly 4,000 professionals, and the entire industry has adopted world-leading production equipment.
Chaozhou mainly produces ceramic sanitary ware. There are more than 800 ceramic sanitary ware manufacturing enterprises, whose output accounts for half of the country, and its exports are large. It has also become an OEM distribution center for many domestic brands. It is currently the most dynamic and potential production base in the country. Caitang Town, Chao'an County is mainly stainless steel towel racks, paper towel boxes, stainless steel utensils, and sinks. The industrial agglomeration scale is at least 500, and the scale of enterprises is relatively small.
Foshan mainly produces bathroom furniture, bathroom brands, hardware pendants, stainless steel sinks, shower rooms, ceramic sanitary ware, etc. A conservative estimate is that there are no less than 3,000 manufacturing companies in the entire Foshan area. Heshan hardware and sanitary industry has become the town's characteristic industry. More than 300 hardware and sanitary enterprises have settled in the A and B areas of Dongxi Development Zone, Jishan Town, with a total investment of 1 billion yuan and an annual output value of 1.4 billion yuan.
At present, the sales value of Fujian health kitchen has leapt to the top in the country. According to statistics, in 2011, among the top 30 cumulative exports of sanitary ware export sources, Haixi sanitary kitchen base led by Fujian occupied 20 seats. During the "Eleventh Five-Year Plan" period, Fujian's kitchen and bathroom industry centered on southern Fujian maintained an average annual growth rate of more than 30%.
At present, Fujian's plumbing and sanitary wares occupy 70% of the country's market share. There are 31 enterprises above designated size, with more than 3,000 products and more than 20,000 specifications. Equipment manufacturing, parts production, finished product assembly, sales market, logistics, intermediary, training. And other supporting industries are basically complete, driving the development of more than 100,000 upstream and downstream enterprises across the country.
Fujian Province is famous for its Nan'an plumbing hardware sanitary ware, which is centered in Luancang Town and Yingdu Town, Nan'an City, and Xiamen's Weifang Kitchen Industry with Xiamen Luda and Gold Cabinet as its core. Nan'an has become the leading place for Chinese plumbing industry brands, covering hundreds of thousands of building materials and plumbing sales nationwide, and has also created a miracle that “without Nanan people, the national sanitary brands will stop water”.
In particular, the kitchen and bathroom industry in Fujian, with Nanan as the center, has an output value of over 25 billion yuan, an increase of 25% year-on-year in 2012, and the total output value ranks first in the country. Among them, Zhongyu, Brilliant, Jiumu, Luda and other leading enterprises climbed against the trend and the output value exceeded 30%. Nearly 400,000 sales people in Nan'an plumbing and sanitary wares spread throughout the country. They not only sell products produced in Fujian, but also control the sales of products in other parts of the country. The total annual sales are nearly 400 billion yuan. A well-developed sales network is a powerful weapon for the domestic kitchen market in Fujian.
At present, the Zhejiang sanitary ware industry has formed six leisure industrial bases in Hangzhou: Hangzhou leisure sanitary ware base, Jiaxing Pinghu sanitary ware base, Wenzhou plumbing equipment production base, Taizhou plumbing and sanitary ware base, Ningbo plumbing equipment and sanitary ware production base, Shaoxing, Jinhua, Zhoushan, and Huzhou. Characteristics of the economic development sector.
Wangdian Town, Jiaxing is famous for producing Yuba. Wangdian Town, Xiuzhou District, Jiaxing, the whole country and the world, the town ’s peaceful Yuba products account for 70% of the domestic market and 50% of the global market. More than 20 million Yuba products are sold throughout the year. , Sales income of nearly 2 billion yuan.
In recent years, the plumbing and sanitary industry has developed rapidly in Yuhuan, Luqiao, and other places, with an output value of 24 billion yuan, accounting for 16.5% of the total industrial output value. Currently, the world ’s plumbing valve and pump industry's Taiwanese manufacturing base is being transferred to Taizhou, of which Yuhuan is the most concentrated. Yuhuan is the nation's largest production and export base of medium and low pressure copper valves.
Future bathroom brands are still full of potential
At present, the domestic first- and second-tier sanitary ware brands have basically saturated the channel network in the domestic market. With the overall rapid growth of the national bathroom market, the number of new sellers in the bathroom brand industry has increased rapidly, and the rapid growth of the industry, the emerging brand still has huge market space.
At this stage, in addition to the first and second tier cities, the emerging sanitary ware market in the third and fourth tier cities is rapidly increasing, which brings huge opportunities for the rapid rise of emerging brands. A series of well-known national sanitary ware brands such as Hengjie and Zhongyu have rapidly grown from early emerging brands to first-tier big brands, which has increased the confidence of sellers in choosing emerging brands.
The rapid rise of China's emerging brands. Except for a few brands relying on strong financial strength to develop the market, most brands can only adopt a step-by-step development strategy, gradually expanding from key regional markets to the national market, and growing from regional strong brands to national well-known Brand. For developers, the model house is the face of a real estate. The quality of the model house directly affects the sales of commercial houses.
For bathroom brand enterprises, the influence of the model market on the formation of regional brands is closely related. If a regional brand wants to go out of the region and enter the national market, it must not blindly advance, but it needs to be promoted selectively, especially in the way of establishing a model market, with a strategic, purposeful and step-by-step approach.
This will be very conducive to the national market expansion of regional brands, allowing regional brands to gradually move from the region to the national market and grow into national brands. The establishment of key regional markets is a key factor for emerging brands and well-known brands to gain brand influence in the market game.
In Chaozhou, where small and medium-sized bathroom brands are concentrated, some small and medium-sized brands have achieved a sales performance of over 10 million in a single regional market through the creation of a model market. They have outperformed domestic first-line well-known bathroom brands in regional market sales and brand influence, and have gradually grown New cutting-edge sanitary ware brand with certain potential.
At present, a large number of bathroom brand companies across the country have joined the domestic brand bathroom brand market competition through transformation and upgrading. Thanks to the booming sales of the property market in recent years and the strong demand for bathroom brands, the pressure on corporate transformation and market development is relatively small. New and emerging bathroom brands have emerged intensively and have increased market expansion.
In recent years, with the rapid development of China's property market, it has brought huge business opportunities to domestic sanitary ware brand enterprises, and also opened the prelude to the domestic sanitary brand market brand war. Strong export-oriented sanitary brand companies, a large number of small and medium-sized sanitary brand companies, including the original sanitary brand companies relying on the domestic sanitary market, have accelerated their domestic brand sanitary brand market development plans. Momentum.
In the fierce battle for the sanitary brand market, the first-line brands are strong and full of strength, and a large number of emerging brands with rapid growth potential are rapidly rising, which poses a great challenge to the current Chinese bathroom brand industry brand structure. However, only cutting-edge brands can avoid feathers The loneliness after glory avoids the brand's ephemeral situation.