In the new normal economic environment, the doors and windows of the production profits are diluted, at the same time, more and more dealers complain difficult business environment. Among them, many of them large economic impact and environmental impact of new Internet channel, but in essence, this has a great relationship with the dealer's business philosophy and operations management. So, in the end is what causes it difficult to do business distributors?
The ability to homogenization of the business model the lack of integration
Many doors and windows in considerable period of time, its profit model is actually a repeat, that we have to do something more than 80% of the repeat, repeat the practice eventually we pushed one corner, windows and doors products can not too different under the premise of homogeneity course of business eventually earning power doors and windows business rapid decline.
In many cases, doors and windows are often not from a point or a few points to improve their profitability. They are basically to follow the strategy, in addition to follow peers, but also to follow the windows and doors manufacturers. Thus, a considerable number of doors and windows doors and windows are always urging manufacturers to give yourself a new product. If you find a good product after many followers, dealers have adopted low-cost strategy, so that the original doors and windows of good market order suffered a devastating blow.
By single-point single product support increasingly high cost of store
Today, with the gradual growth path distributors and manufacturers of flat, fenestration products by conventional ways to make money has become difficult, piles trap, and many of them will not go on, it can not improve grades, increase the people, expand regional and so suddenly left and right could not find a breakthrough point, like pond Lieyang profit under gradually depleted. Doors and windows single point by a single product single business increasingly difficult to make money, at least not so simple to make money so easily, and changes in the structure of profit, profit law also changed.
And, doors and windows are basically renting shop mall, along with a corresponding rise in retail rents, storefront costs are growing, many store windows a month are not enough profit rent, in addition to other costs: staff salaries, advertising costs , delivery charges, promotion expenses, human fees, which now shopping guide costs are not rising segment, you want to find good shopping guide, you must be given enough attractive salary.
Doors and windows bigger and more market activity, time has come to "not promote not sell" position, the dealer's profit margin virtually to the diluted. The coming age, will be a fusion of industrial era ecosystem, all businesses need reconstruction strategy, integration of resources, doors and windows also learning management, to management for efficiency, cost control and performance improvement with both hands.