As the back-end consumer industry of the real estate link, the market prosperity of the home building materials industry is closely related to the real estate market. It is believed that the public can still hear the Evergrande thunderstorm in 2021. However, this is only the tip of the iceberg of the decline in the real estate market. Affected by the real estate market, the building materials industry is also facing great pressure and challenges. Coupled with the continuous rise of raw materials and the optimization and upgrading of traditional sales channels, the building materials industry is moving forward slowly. Despite many new changes, it has also released new wind directions and opportunities. Perhaps a new building materials industry ecology is being reconstructed.
In this context, Sina home and CCTV jointly hosted the industry forum “new ecology, new change and new wind direction -- Talking about the ecological reconstruction of building materials market” on the afternoon of April 14, which was jointly sponsored by incredibly home and handheld accessories as special guests, and was broadcast live to netizens all over the country through three platforms: Xinlang home, CCTV and incredibly home. Six heavyweight guests, including Qiu Hong, general manager of Beixin building materials longpai group, Shi Guojun, executive vice president of Weixing new materials, he Junjian, vice president of OPP lighting, Liu Liang, general manager of Dongfang Yuhong tooling division, Chen Haiming, deputy general manager of bunny decoration materials sales company, and Xue Chengkun, founder and CEO of handheld auxiliary materials, jointly discussed the market ecological reconstruction of building materials industry on “cloud”.
Building materials industry moving forward slowly
From the urban development history of the past decade, the real estate market has developed vigorously. During the golden period, several concentrated new buildings can feed the nearby building materials market. However, observing the real estate market in recent years, there is no doubt that it is turbulent and depressed, and the home decoration building materials that originally relied heavily on offline are also facing pressure. When grabbing dividends from the real estate industry, real estate enterprises are undoubtedly an important growth channel for home building materials enterprises. However, due to fluctuations in the development of the real estate industry, they have to face the risk of partners from the real estate industry.
Xue Chengkun, founder and CEO of handheld accessories
The house leakage happens to happen every night, and the rise in the price of raw materials has become a sharp blade lingering on the head of building materials enterprises. Recently, the data released by the National Bureau of statistics shows that affected by the recent sharp fluctuations in international commodity prices and other factors, the purchase price index and ex factory price index are more than 70%, which is undoubtedly worse for the building materials industry. As a platform enterprise radiating more than 20 cities across the country and serving nearly 200000 sets of home decoration customers in the past year, Xue Chengkun, founder and CEO of handheld auxiliary materials, said frankly that the production costs and prices of a series of products continued to rise due to changes in the epidemic, import and export trade and raw material supply. He pointed out that the price of PPR pipe products in water increased by 27% in two years. Affected by the price of copper, it soared from 50000 to 73000, with an increase of 46%. The price of corresponding wire products also increased by 40% in two years. Since 2021, the price of gypsum board products has increased sharply due to the rise of pulp raw materials, with an increase of 25% in 2022 compared with the beginning of 2021.
Shi Guojun, executive vice president of Weixing new material
It can be seen that both the internal environment and the external environment do not seem friendly to the current building materials industry. We can only move forward slowly. Shi Guojun, executive vice president of Weixing new materials, said frankly that it is indeed affected by multiple factors. At present, there is a great pressure on the demand side. However, from the perspective of the building materials industry, he believes that the first thing to be a long-term enterprise is to continuously strengthen and improve the quality of products, Avoid falling into a vicious circle of price competition. At the same time, Shi Guojun stressed that with the rise of green building materials and the impact of future consumption upgrading, building materials enterprises should increase R & D investment and service capacity to deal with the objective pressure faced by the industry.
Qiu Hong, general manager of Beixin building materials longpai group
According to Qiu Hong, general manager of Beixin building materials longpai group, this situation is the same for everyone, and in this period of time, it will breed new opportunities. He believes that, first of all, the market concentration of the building materials industry will change, and the situation that the strong will remain strong and the strong will become stronger will also appear. In addition, there are some inefficiencies in the current home decoration building materials industry, which has greater opportunities for enterprises with innovation and breakthrough spirit.
He Junjian, vice president of OPP lighting
It will be an inevitable trend for stock houses to replace the new housing market
Whether Qiu Hong or Shi Guojun, they see more opportunities and solutions in the face of the objective environment. As a leading enterprise in various subdivided fields, there is no need to repeat the ability to seize opportunities. As he Junjian, vice president of OPP lighting, said, under the situation of intensified industry competition, enterprises should “look up and down”. Extend and empower the industrial chain upward, learn and embrace new thinking; Connect and share downward.
Liu Liang, general manager of Dongfang Yuhong tooling business department
In the new changes, we can naturally smell the new wind direction. Although institutional data showed that the operating amount of the top 100 real estate enterprises in the first quarter was 1438.19 billion yuan and the full caliber sales amount was 1627.92 billion yuan, with a year-on-year decline of more than 47%, it is not difficult to see that although all localities have made actions to alleviate the pressure of the real estate market, the trend towards stability and good is still uncertain. However, the good side is that, taking Beijing as an example, the trading volume of the second-hand housing market in March was 15771 units, an increase of 90.93% month on month. The chain reaction brought by the recovery of the second-hand housing market is the increase in the demand for old housing renovation and transformation, which also released a more positive signal for the home decoration and building materials industry. In this regard, Xue Chengkun well explained with a set of data that in the future, stock houses will replace new houses and become the main body of the decoration market, which will also be the inevitable trend of the development of the industry. He mentioned that the proportion of old houses in the decoration market in the past decade was about 25%, up from 35% five years ago and steadily rising to 50% last year. From the current market situation, the proportion of new houses and second-hand houses is basically the same. Xue Chengkun said that this data is based on the national market. If you focus on the first tier cities, this proportion will be about 80%. It is not difficult to predict that the newly developed commercial housing has come to an end, and in the next 3-5 years, the sinking market of the third, fourth and fifth tier cities will also enter the stock housing market. Liu Liang, general manager of Dongfang Yuhong tooling business department, pointed out that in 2019, the per capita housing area of urban residents in China was 40 square meters. Looking at China’s real estate industry