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Loss, Bankruptcy, Disadvantage: Who Kills Internet Home Appliances

via:博客园     time:2019/3/14 18:04:22     readed:167

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Wen/Cui Hengyu Yang Jieqi

Loss sales make a lot of money. Internet home decoration is a typical field.

Internet home furnishings, which began to explode in 2015, are now handing in an embarrassing answer sheet. According to the "White Paper on Home Health Consumption in China 2018" published by Yibang Dynamics, the penetration rate of Internet home decoration industry in 2018 is less than 6%, which is only about one third of the industries such as online shopping, online travel and so on.

2015-2020

The market scale and forecast of China's national decoration industry in 2015-2020 are based on the White Paper on China's Home Health Consumption in 2018.

The long construction period, numerous links and large profit margin of traditional home decoration lead to unstable market prices, which make it difficult for consumers to evaluate. In order to solve the industry pain point, the Internet Home Decoration Company integrates the industry chain, standardizes and visualizes the decoration mode. Simple and transparent pricing and decoration methods make it popular with young people.

Once, it was an industry favored by capital. According to Euronet's "Nine Latest Trends in Internet Home Decoration Development" released in 2016, more than 300 brand enterprises were established in 2015, and 27 companies were financed by Angel or A rounds or more.

No one can imagine that after the price war and the subsidy war, there is no overbearing winner in this field. On the contrary, the whole industry has fallen into bankruptcy, and the surviving players are also in deep loss crisis. Qijia Networks, the first stock to be listed on the Internet, broke down immediately after its listing. Its prospectus shows that Qijia Networks lost money for three consecutive years from 2015 to 2017. Tuba Rabbit, the industry leader, submitted an application for IPO in August 2018. The prospectus shows that Tuba Rabbit lost 2.427 billion yuan between 2015 and 2017.

中国互联网家装第一股齐家网上市现场,图来源于网络

Qijia Online Market, the first stock of China's Internet home furnishings, is based on the Internet.

In order to gain traffic and attract customers, many companies have waged price wars. The company's capital chain is stretched to its limit.Once the circulation is not smooth, the whole situation will collapse.

In 2018, the Internet home decoration industry ushered in a deep dishwash, burning up the capital of the money, not profitable companies thunderstorm.

In March, people from Apple Decoration's brand companies went to the building empty. In May, people in charge of Chongqing Aishan Decoration Company ran off one after another. In November, Preferential Guest formally entered the dissolution and liquidation process. Consumers who have not yet finished the decoration and delivered it, upstream suppliers who provide materials, and employees who sell labor force are powerless to protect their rights.

维权的受害者,图片来源于网络

Victims of human rights protection, pictures from the Internet

A service with a long cycle and heavy links.

One

Internet Home Decoration Platform has attracted attention as soon as it appeared. But owners who had hoped to get preferential prices and save time and effort by using the Internet platform found that they had fallen into a new trap.

Using low price as gimmick quality is not up to date

Huang Wei fell into such a decoration trap.

优居客办公楼下的维权群众,图片来源于网络

Right-defending masses under the office building of Youlike, pictures from the Internet

It is believed that it will be safer to have a platform to guarantee it.

As a third-party renovation platform, Huang Wei signed a renovation service contract with Uygur Guest, with a construction period of about three months for a small building of about 50 square meters. Preferential tenants are charged 90,000 yuan for decoration under the third-party fund trusteeship model.

Eugenics staff took three decoration companies to measure their houses and put forward plans. Huang Wei chose one of them. Eugenics promised high-quality decoration companies, but the effect of decoration was not ideal.

Average price is expensive, construction material is poor

优居客的资金托管模式,图片来源于网络

The model of fund trusteeship for Ultra-Home Guests, pictures from the Internet

For consumers who don't know how to decorate, the four acceptances of water and electricity, mud, paint and finished joints given by Uygur Guest definitely hit the pain point. But Huang Wei told Zinc Finance and Economics.The acceptance of the platform is just a passing step, just to see the sanitary condition of the site.

In October 2017, Huang Wei completed this simple acceptance check with the decoration company and Youju Platform. But later, Huang Wei received a part of the refund, due to the collapse of the platform, after which she did not receive the promised installment refund.

Compared with Huang Wei's house, which has been renovated, Li Tian in Shanghai is not so lucky. In mid-July 2018, Li Tian chose to sign a contract with Premier Guest for renovation.

In November last year, Uniqlo announced its bankruptcy, with 240 million dollars in funds hosted by more than 300 people, including consumers, decoration companies and materials dealers, gone nowhere. According to the data from the official website of Ultra-Habitat, there are 4715 Ultra-Habitat Platforms under construction and decoration, and 92,9574 service industry owners.

优居客解散清算消息,图片来源于优居客官网

Ultra-Habitat Disbandment and Liquidation News, Pictures from Ultra-Habitat Official Website

The platform runs away. Who will be responsible for the construction at home? Li Tian fell into a situation of no way to safeguard his rights.

Many owners who have handled bank loans through Uighur will continue to repay their loans to the bank in the later period, but the renovation and rehabilitation are far from being completed.

The decoration company told him that it belonged to the upfront decoration at first, and that it was impossible to construct because of the delay in getting the payment.

There are not a few consumers who have had similar experiences. Zinc Finance and Economics know that many people have encountered different types of troubles when choosing some Internet home decoration platforms, or delays in the construction period, or construction quality problems.

Two

Lose confidence

At its best, it can bring about nearly 300,000 months of profit, but now 360,000 arrears remain unpaid for one and a half years.The status of mud commune in Shilei's mind fell from heaven to hell.

The Niba Commune, founded in 2012, had a strong momentum and opened many branches throughout the country. Because of the strong preferential power, it is also well-known among the consumer groups. Shi Lei is aggressive and enters into it.

Pricing is lower than getting from suppliers. What do they make money on?

木门工厂,图片来源于网络

Wooden Gate Factory, Pictures from the Internet

In early 2017, problems gradually surfaced.

Reporting cases, pulling banners to safeguard rights, looking for the industrial and commercial sectors.. Like deceived consumers, Shilei people had to start collecting debts.Nearly two years later, this isThe money is still in the ocean.

According to Shi Lei, one of the suppliers has lost more than 2 million yuan. Shi Lei was somewhat helpless and bitter. He no longer expected to get his money back. He also began to refuse to cooperate with any Internet home decoration company.

合肥的泥巴公社装饰公司大门紧闭,图来源于网络

The door of Hefei Mud Commune Decoration Company is closed. The picture comes from the internet.

In addition to upstream suppliers, there are decoration companies.

Gao Xi opened a small-scale decoration company in Liaoning Province, which just started in 2010. At first, in order to open up the market, Gao hoped that media advertisements would cost more than 200,000 yuan a year in print media. This is a big investment for the start-up companies.

Receiving customers, like the fresh blood of a decoration company, means that business can not start without new customers.

When a salesperson of an Internet home improvement platform appeared in front of Gao Xie, she was caught up with the promotion bottleneck she encountered. She even thought that she could seize the new traffic and cooperate enthusiastically.

Or go running with them, and if you want to get the list, you have to put down the price.

网上的互联网家装维权,图来源于百度搜索页面

Internet home decoration rights protection on the Internet, map from Baidu search page

Finally, after several months of struggle, without a single success, Gauchy resolutely chose to flee.

According to Erie Consulting Data, in 2017, the market size of the Internet home decoration industry has reached 246.12 billion. With the huge market scale, players in the industry gradually lose confidence in this model.

With the lowest cost, I hope you can help him with the worst materials.

Zhang Neng told Zinc Finance and Economics that Internet Home Decoration Platform first attracts users to sign contracts with cheap prices. Later, it either sets up various levels in the implementation process to guide users to make better quality choices and increase prices in disguised form; or it is second-best, because there are more links in the process, each link has cost, and finally consumers will pay the bill.

Three

Past glory

Wang Qinwei repeated this sentence to Zinc Finance and Economics.

The rapid development of the real estate industry has laid the foundation for the home decoration market.According to Erie Consulting Data, from 2007 to 2016, the construction area and completed area of residential buildings in China have maintained rapid growth. The construction area reached a peak of 6.89 billion square meters in 2014, and the completed area fluctuated between 1.9 billion square meters. The increased residential area means that the golden age belongs to the home decoration market is approaching.

2016

In 2016, the growth rate of investment in real estate development in China is illustrated by the National Bureau of Statistics.

Dadangjia official website data show that from 2006 to 2013, the platform has hosted more than 5,000 group purchases of household building materials, with nearly 3.8 million orders and an average monthly turnover of nearly 40,000 orders.

Decoration companies, suppliers, project managers and owners are all surrounded by the Internet.Attracting owners by every means has become a common goal.

He calculates an account, now the Internet home decoration platform to obtain information about an owner, just door-to-door housing, the cost is between 1400 and 2500 yuan.

Expensive traffic has long been insufficient to support the operation of Internet home improvement platform, how to transform?Being your own supply chain is a direction, but it's not easy.

The fence net, which used to be a group purchase of building materials, gives a wrong demonstration. In 2009, the annual transaction volume of fence network exceeded 3 billion yuan and registered users exceeded 3 million yuan. After the B round of financing, it started to build its own supply chain and began to build its own warehouse base.

The fragmentation of the capital chain and the operation of the fence for 14 years eventually became a bubble on the Internet.

In Wang Qinwei's view, Internet home decoration is not a new concept, from light package to half package, whole package, package, decoration company has been this model for many years. But everybody's efforts are getting stronger and stronger.A package can even be priced at 799 yuan, 699 yuan and 599 yuan per square meter.

打价格战的互联网家装公司,图片来源于网络

Price war Internet home decoration companies, pictures from the Internet

Before signing the contract, Chen Huan repented.

He has a preliminary judgment on the Internet home decoration platform: quick response, once the mobile phone number is filled, the company will quickly come to the house, the price is low, and then entice users to sign contracts and pay deposits.Follow-up consumers may face many decoration traps.

Nevertheless, Internet home furnishings have become a small outlet with the attitude of destroyer. Since 2014, the Internet home decoration industry has been standing in the tuyere, and more and more capital has entered. In 2014, Tuba Rabbit received more than RMB 100 million in round B financing; Qijia Networks received US$160 million in round E financing in early 2015.

汪涵成为土巴兔代言人,图片来源于网络

Wang Han became the spokesman of Tuba Rabbit. The pictures come from the internet.

That is to say, for an order of 100,000 yuan, customers will ultimately have to pay 300,000 to 400,000 yuan.

The abnormal competition in the industry makes the Internet home decoration industry flourish in disorder.

Facing the pressure of profitability, Wang Qinwei mentioned that many Internet home decoration platforms did not optimize the information symmetry and quality assurance of home decoration industry, but chose to arrange decoration funds trusteeship and carry out decoration loans.

Wang Qinwei thinks there is still a chance at the B-end. Internet platform builds internal information system for B-end users, such as construction link, ERP (enterprise resource management plan), basic OA system (office automation), etc.

(At the request of the respondents, Huang Wei, Li Tian, Shilei, Gao Xi, Zhang Neng and Chen Huan are aliased names.)

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