Guangzhou Market Demand Declines 30% in Hardware Merchants or Outgoing

In the past few years, with the rapid economic development, Guangzhou's home building materials stores have continued to increase. In 2010 alone, the new high-end stores in Guangzhou exceeded 500,000 square meters. There have been a number of hypermarkets such as the Jockey Club, Goldman Dee, Wuzhou, Meikailong, Jisheng Weibang and Qirui. In addition to the previous home building materials stores, the total area of ​​Guangzhou home building materials stores exceeded 1 million square meters. With so many stores in fierce market competition in various regions of Guangzhou, the market space of Guangzhou hardware dealers is getting smaller and smaller, and business is increasingly difficult to do.

In the Taipingsha area of ​​Beijing Road in Guangzhou, there were hundreds of companies doing hardware business a few years ago. Now there are only about 30 companies. The Taikang Road hardware store along Beijing Road has also been reduced from the previous 100 homes to 20. The old houses on Beijing Road and Taikang Road have been gradually dismantled in recent years, and hardware shops have become less and less. The best hardware store in Guangzhou before was the Taikang Decoration Materials City in Beijing Road Business Circle. The store’s location is excellent and the business atmosphere is hot. With the acceleration of the transformation and upgrading of Guangzhou's old city, Taikang Decorative Materials City was relocated to Jiangnanxi in the previous year, which is now Xintaikang. The accumulation of sentiment in new stores takes a long time and business is no longer comparable to Old Taikang. And new Taikang is a comprehensive store of various building materials, hardware stores are not many.

Guangzhou Tianjian, another large-scale decoration material store in Guangzhou, has a history of nearly 10 years. At the beginning of its operation, it was positioned in a professional hardware store, mainly in the wholesale business. In the most brilliant time of previous years, Tianjian once had thousands of hardware companies or hardware dealers settled in, and the entire store was basically full. However, due to the fact that the store is located in the Sha Tai Road in Baiyun District, the geographical location is relatively remote, and the popularity is still not very prosperous. The author recently went to Tianjian to learn that since last year, the hardware dealers in the store have reduced by at least 40%, and 20% of the stores have posted notices or directly closed (fitting renderings). The author saw that the B hall of the store has been changed to the cabinet house, settled in the wardrobe (fitting renderings), cabinet companies; D hall has been transformed into a logistics park, settled in logistics companies. It is estimated that the hardware shops in the store will be further reduced.

The Tianping Decoration City (located in Tianhe District), which is only a few miles away from Tianjian, and the South Bank Road Decoration Materials City located in Liwan District, although it is a comprehensive building materials market, it has a good geographical location and has a dozen or so. Years of business history, so popular more prosperous. The author recently came to understand that the business of these two store hardware shops is still normal, but the performance still has a certain decline compared with previous years.

Decline in market demand Sancheng hardware store faces elimination

Guangzhou, as a first-class city, with the depth of regulation of the property market, the transaction volume of the property market has continued to decline, and the demand for building materials has also dropped substantially. There are too many hardware stores in home building materials stores, and supply exceeds demand. It is estimated that about 30% of specialty stores will be eliminated by the market.

For the hardware industry, Guangzhou is not a production base. There are fewer and fewer manufacturers, but a consumer market. However, the local market capacity in Guangzhou is limited, and a large part of the downstream manufacturers such as furniture, cabinets, wardrobes, doors and windows (decoration renderings) and other manufacturers are basically looking for supply directly from hardware factories in surrounding areas such as Foshan, Zhongshan, and Gaoyao. Moreover, merchants are becoming more and more astute. In the exhibitions such as Canton Fair, merchants have taken a look at certain types of hardware products. With the developed transportation in the Pearl River Delta region, they can easily go to factories in the surrounding areas of Guangzhou to fully understand the qualifications of production companies. And scale. Therefore, many hardware companies do not need to spend money to set up branches in Guangzhou.

According to the director of the large-scale hardware lock business door lock industry Zhao, the door lock industry has thousands of dealers nationwide, sales of dealers in the primary and secondary markets have decreased, and dealer sales in the tertiary and tertiary markets have increased. Now. It can be foreseen that a good location, a big brand, a distributor with good reputation, or a factory outlet store will become the main force of the Guangzhou hardware market, occupying the majority of the Guangzhou hardware wholesale and retail market.