VIFA Weifa Kitchen Cabinets’ Profit Strategy

The cabinet market in 2013 has entered the era of low profits. The prices of upstream raw materials in the cabinet industry have increased, industry standards have improved, labor costs have remained high, industry competition has been extremely fierce, and consumers’ consumption concepts have become increasingly mature. How to increase sales in the micro-profit era, thereby expanding the scale of corporate production and increasing corporate efficiency, has become the core focus of many cabinet companies.

How to solve this problem, here are two suggestions:

1. Establish a sound and healthy kitchen cabinet marketing channel

Although China’s kitchen cabinet industry started late, The marketing techniques are not mature enough, but it does not prevent the cabinet industry from becoming one of the huge profit industries and developing rapidly. Nowadays, the cabinet industry is becoming increasingly mature. Where should cabinet companies go in the low-profit era? How can they obtain new growth and development? They can establish sound and sound cabinets. Marketing channels, focusing on the integrated pre-sales, during-sales and after-sales service system of kitchen cabinets, influence customers' consumption orientation by building their own brand awareness and customer satisfaction. In addition to previous stores, self-operated stores, and franchised agents, cabinet companies have also gained a lot of benefits through experience centers, online marketing, and other forms. According to reports, the turnover of online sales does not account for a large proportion of the total turnover. Small is another marketing channel for cabinet companies to survive and develop.

2. Cabinet companies are taking the road of differentiated brands

my country's kitchen cabinet industry is still in the development stage of diseconomies of scale. The proportion of self-owned brands of enterprises is low, and most products follow the path of differentiated brands. It is still a mid-to-low-end route, with low profit per product, and various comprehensive costs including wood, labor, etc. are constantly rising, resulting in companies generally being on the edge of meager profits. In this regard, cabinet manufacturers said that abandoning the labor-intensive development idea that relies solely on cost advantages and building a brand with unique advantages will be the key to increasing profit margins for cabinet companies in the future.