How Can Traditional Home Textile Sales Continue To Lower Share?

Luo Lai started the household product development trial in 2014, and widened the household category in 2015 to six categories: bedroom products, bathroom, living room, living home, soft furnishing home.

In the first half of 2015, he aimed at a series of layout of the hottest "smart home": in March, he first introduced intelligent products, 100 restOn smart sleep detectors which were limited on sale. In April, the company signed a strategic cooperation agreement with the intelligent control Limited by Share Ltd of Shenzhen and he Tai, trying to use the technology superiority of harmony and intelligent in the field of intelligent control to produce series smart home and family health products for bedroom.

After a series of capital operations last year, Luo Lai life announced that it intends to raise 1 billion 250 million yuan in private placement.

The reporter understands that the project is to issue 103 million 800 thousand shares to six specific objects, including 12.04 yuan / share, including Wei FA investment, Shao yuan Jiuding, and phoenix phoenix tree.

Of these, 1 billion yuan will be used for the O2O operation system construction project of all channel household life.

Peng Ming, director of marketing department of Shenzhen fuanna home furnishings Limited by Share Ltd, said in an interview with the first finance company that there has not been a leading brand in the industry, or even a real textile brand that is truly a national brand.

"Even the top three home textile companies have a single market share."

Now, after less than half a year, he also announced that he invested heavily in the construction of O2O operation system and the supply chain optimization project under the whole line.

According to Tian Lin, vice president of life and Secretary of the board of directors, the company will pform from wholesale to retail in the future. In three years, it will gradually open 205 offline home life centers in one or two provinces and municipalities directly under the central government and prefecture level cities.

According to it, the company opened its first home life hall in Shanghai last May.

Over the past year, the customer entry rate, store stay time and order rate have been greatly improved, especially in the joint purchase rate between home textiles and home products. The increase of repeat purchase rate and customer unit price has finally affected the business performance of the store, and has brought new growth space for the company.

Peng Ming said the top three of the industry are: Luo Lai life, fuanna, Meng Jie (002397.SZ).

Even in the first place, in 2015, Luo Lai's performance was less than 3 billion yuan, while the second ranking fuanna's performance in 2015 was just over 2 billion 100 million yuan.

In the interview, the reporter learned that the distribution of the household textile industry has shown a certain regional distribution. Taking bedding enterprises as an example, the sales of Meng Jie mainly concentrated in the central region centered on Hunan and Hubei. Sales of Luo Lai mainly concentrated in the Yangtze River Delta area, such as Jiangsu and Zhejiang. The sales of fuanna mainly concentrated in Guangdong and other Pearl River Delta regions, while Fujian was more famous.

In more than three or four lines or even below the town is low-end market, there are many brands, brands, small brands of melee situation.

Although several leading companies have doubled the assets just listed, Peng Ming believes that with the continuous growth of domestic textile industry's revenue growth and profit growth, the high speed of enterprise development has passed.

"2009 is the blowout period of the entire home textile industry."

Peng Ming told reporters that the performance of large companies in several industries is growing at a rate of more than 30% every year.

However, in the past two years, this too traditional industry began to appear weak. In 2015, the growth of Luo Lai and fuanna in spite of the growth, but the amplitude was only at 5%-6%, while the performance of Meng Jie declined slightly, about 3%.

Wu Xiaoyu, an analyst at Zhongtai securities, said analysts are heading for

During the survey, the company told them that through the big data statistics, the company found that its 800 thousand ~90 members were "sleeping members" (one or two times they no longer bought products).

This is also the vast majority of brands.

After developing to a certain scale, the bottleneck "customer" does not have no loyalty to the brand, but the worst is that most families have low frequency of home textile purchase.

This may explain why companies in the traditional home textile industry are now looking for new profit growth points in the market.

For example, Luo Lai started the household product development in 2014, and widened the household products in 2015 to six categories: bedroom products, bathroom, living room, living home, soft furnishing home.

In the first half of 2015, Luo Lai aimed at a series of layout of the hottest "smart home": in March, smart products were first launched, and 100 restOn smart sleep detectors were limited on sale. In April, the company signed a strategic cooperation agreement with Shenzhen and Shenzhen intelligent control Limited by Share Ltd, trying to use the technology advantages of harmony and intelligent control technology to produce series smart home and family health products for bedroom. In May, Luo Lai invested nearly 30 million yuan to invest in Shenzhen Madiga Technology Development Co., Ltd., becoming the largest shareholder of the company.

The latter is the research and development enterprise of Roley's previously sold sleep monitoring products.

The company's May announcement also showed that its wholly owned subsidiary, Nantong Luo Lai Business Consulting Co., Ltd. plans to use its own capital of 50 million yuan to invest in the establishment of a wholly owned subsidiary, "Nantong Luo Lai Smart Home Technology Co., Ltd.".

In October, he launched again to establish an industrial investment fund with Shenzhen Qianhai Indus acquisition investment fund management Co., Ltd. and natural person Xue Jinchen and Lin Qiming. The first phase of the fund raising target is 300 million yuan.

Investment in smart home.

In December 2015, Luo Lai simply announced that the company name was officially changed from "Luo Lai home textile Limited by Share Ltd" to "Luo Lai life Polytron Technologies Inc".

According to Xue Weicheng, chairman of the company, "the future direction of the company is not only in the sales of simple products and household products, but also through big data technology to build a large database of rolls, helping customers to solve their higher living needs."