The development of everything has its own law of development, and the hardware market is no exception. The development of my country's hardware market first benefits from the development of my country's economy and the rapid development of my country's hardware industry. Luo Baihui, secretary general of the International Association of Mold and Metal Plastic Industry Suppliers, said that my country's hardware manufacturing industry is already the manufacturing base of the world's hardware industry, and its production share accounts for more than half of the world's hardware manufacturing. my country's hardware manufacturing industry is in a stage of rapid expansion. This market situation has laid the foundation for the development of the national hardware market, but as far as a specific hardware market is concerned, it is essential to do the following three aspects if you want to become bigger and stronger.
The hardware manufacturing industry must achieve these three points to be strong
First, adopt a differentiated business strategy. The division of branches, market segmentation, and the formation of specialized and large-scale markets are the primary guarantees for market prosperity.
Take the North China Hardware City as an example. At the beginning of the market’s formation, the hardware market in Tianjin was dominated by Lao Nanma Road Hardware City before 2005. Due to historical factors, it is located in the bustling downtown area. According to the characteristics of the hardware market, we believe that the hardware market The market is unlikely to be entrenched in the downtown area for a long time. After reviewing the overall urban planning of Tianjin, the site was chosen to be close to the outer ring line and the 205 National Road. The new district can radiate far to Beijing, the three northeastern provinces, Hebei province and other places, and it is the first choice for the market.
However, as how the emerging hardware city complements the old city and gradually strengthens itself, we have chosen a differentiated complementation strategy. In 2006, we began to make a unified business positioning and positioning for the current four districts of A, B, C, and D. According to the plan, Area A and B are hardware and electrical appliances area, Area C is solar energy area, and Area D is pipeline valve area. In the later investment promotion, many construction machinery and machine tool equipment operators think that our city’s buildings are spacious and have relatively high floors. The roads are wide, suitable for large-scale equipment to enter and exit, and one after another enters the city for operation. We have opened up a professional street for machinery and equipment in a street on the west side of District A and C in accordance with the requirements of the market. This makes the business planning of the four districts comparable to other hardware markets in Tianjin. The positioning of the company is differentiated, and the effect of seeking differences from the same and complementing each other is formed. By the first half of 2007, the four major professional wholesale markets have basically formed.
The hardware industry is all-encompassing, with many product categories, ranging from steel and machine tools to small screws and screws, covering a wide range of industries. Although the current hardware city is relatively large, it is impossible to accommodate all hardware products. It must be based on the business circle. Within the scope of the economic development stage and characteristics, adopt differentiated business strategies to segment the market, select the hardware industry suitable for its own market development, and target investment to form its own characteristics and form a professional market advantage.
Second, the unified operation and management of shops is an important guarantee for market development.
At present, most of the hardware markets are composed of property-owned shops. It is not that property-owned shops do not operate well. According to our experience in operating several markets in East China, the successful approach is to sell shops to scattered owners at the same time. The market management company and the owners immediately signed the entrusted operation contract to give the owner stable rental income in return. The entrusted operation period should be more than 5 years. The unified entrusted operation firstly ensures that the different areas of the market can be unified market planning. At the beginning of investment promotion, unified investment promotion can be carried out according to the business format planning of the market. While avoiding the chaotic situation of mixed operation, it also promotes the formation of scale effects, making different functional areas bigger and stronger, and forming professional market advantages and scale. effect. The current four major areas of China North Hardware City are compatible with the four major professional markets we operate, and it is impossible to achieve without unified management. Under the premise of unified entrusted operation, the management company should reserve more than 40% of the business area. Within two years of starting the market, it will implement preferential policies such as rent-free to promote the entry of major brand manufacturers, general distributors, and first-level agents. Provide room for maneuver, and at the same time can use 40% of the self-retained business area to play a leverage role in the rental policy in the process of market development.
Third, strong brands are the core competitiveness of the market.
In a market environment where the types and quality of modern commodities are converging, the essence of competition is brand competition. How to form a strong brand is what every company and every hardware market must face. The formation of a strong brand includes two aspects. It is the brand's wide recognition, on the one hand, the brand's strong centripetal force.
