Home Appliance Industry Fought in the Rural Market Explore New Business Models In the past ten years, the process of urbanization in China has accelerated significantly, and the urbanization rate has increased by an average of about 1% per annum. In October 2011, it exceeded 50% for the first time. Professionals predict that by 2020, China's urbanization level will reach 62%, and the new urbanization construction will greatly promote the profound changes in the home appliance channel market, and will become the basic point of policy to promote the sustainable development of the home appliance industry.

According to the forecast of the National Bureau of Statistics, a one percentage point increase in the urbanization rate in China will drive 7 trillion yuan in market demand. Specific to the home appliance industry, in the next eight years due to urbanization, the rural market will accumulatively increase sales of home appliances by 4.5 trillion yuan, and cumulative sales will exceed 9 trillion yuan. What comes with urbanization is the increase in the income level of the people.

“Increasing income levels will further increase the growth of the rural household appliance market, and the price-to-income ratio will further decline. Under the background that the first and second-tier markets tend to be saturated, the rural household appliance market with increasing body weight will become the development of the home appliance industry. The main growth engine.” Mr. Zhong Yikang, the president of Zhong Yikang, believes that compared with the saturation of the primary and secondary markets, there is still room for improvement in the household ownership of rural household appliances, and the cluster effect brought by the speed of urbanization will make the rural market the home appliance industry. The next high growth point. "Businesses operating channels in the rural market must change their thinking." Wang Huanjiang, chairman of Multi-Folder, said that taking a look at the current home appliance market, the industry's overall excess production capacity, urban home appliance ownership tends to be saturated, the market sales situation is not optimistic. From the perspective of regions, the emergence of the third and fourth-tier home appliances markets is unceasing, and the imbalance between supply and demand caused by insufficient regional supply will become the development opportunity of the future home appliance industry. Yang Jun, General Manager of Changhong Air Conditioning Marketing Co., also disclosed that Changhong Group had sales of about 25 billion yuan in the rural market last year, accounting for about 30% of its business. However, air-conditioning is still less than 10% of the rural market, and there is still much room for growth in the future.

In view of this, some emerging companies in the industry have begun to explore new business models in the rural market. Since last year, many retailers of home appliances that focus on the rural market have rapidly risen. At present, franchise stores have grown to more than 8,000. Different from Gome, Suning, etc., many parties use the franchisee system, with a unified brand, unified procurement, unified standards, and unified image as the business strategy, and strive to reduce the intermediate circulation, and the mode of operation to reduce marketing costs has attracted attention in the industry. “The multi-dimensional positioning of the rural household appliances market at the township level is in line with the direction of the channel market transformation.” According to Wang Huanjiang, Duo Fangda through the integration of distribution outlets in the rural household appliance market, with a view to achieving intermediate circulation and achieving the goal from the factory to the store The goal is to establish the terminal retail platform and seek cooperation with e-commerce and banking companies.

Peng Ye, vice president of Zhongkang, pointed out that the traditional sales model is from the manufacturer to the provincial agency, municipal agency, county agency, and then to the terminal store. It often goes through four or five links and the circulation cost is about 20%. The direction of higher and multi-dimensional chain efforts is worthy of recognition. The savings in circulation costs will benefit upstream and downstream consumers.

“The impact of urbanization on the home appliance industry will be reflected in the first, the expansion of body mass; the second is the improvement of the income level of the new citizens; and the third is the improvement of brand awareness.” Professionals said. Some analysts believe that the rural household appliance market does not mean low prices and low quality. In recent years, the trend of “two highs” in the rural household appliance market has been evident, namely, the concentration of brands has increased and the share of high-end and high-end brands has risen. With the further advancement of urbanization, this trend will become more apparent.

“Based on the three major impacts that urbanization brings to the home appliance industry, the home appliance channel market, especially the rural home appliance channel market, will also undergo profound changes along with it.” Professionals judge that the direction of change is chaining.

Since the implementation of the home appliances to the countryside policy in 2008, the initial popularity of home appliances has been achieved, and nearly 200,000 home appliance distribution stores have also been cultivated. After the era of home appliances to the countryside, the retail outlets are at the bottom of the supply chain. Faced with the e-commerce giants, the vertical squeeze of chain retail giants, and the increasingly high consumer market requirements, they are bound to move toward the chain. Through chaining, group purchases are achieved, thereby improving the product's competitive advantage. Analysts accordingly judge that in the next 3 to 5 years, the rural household appliance channel market will undergo drastic changes, and the distribution stores will be sharply reduced to around 100,000, and the single store sales scale and service capacity will be fundamentally improved, and the chain will In the process of rapid change, it shows its advantages.

“The practice of multi-party chain integration and distribution of stores, improving franchise operation capabilities and service quality has a positive effect on enriching the connotation of urbanization.” Professionals said that this model can provide a more win-win situation for the industrial chain and provide a better market for the consumer market. High quality products and services. Jin Yudan, a partner of Saifune Asia Fund's RMB Fund, pointed out that “a steady and rapid development of multi-party is the need of the home appliance industry, and it is also a need of the capital industry.” Industry insiders pointed out that: the continuous development of new urbanization construction Next, Dafangda, etc. can become the leader in the reform of the channel market, but also need to take time to observe carefully.

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If you are new to the concept of using an electric kettle, you might be overwhelmed by the variety of electric kettles that are displayed on the store shelves and have difficulty deciding which one would be the best to suit your individual needs or desires.  This introduction will give you some basic information about some of the features that are available on various types of electric kettles so that you can make a more informed decision when choosing one for use in your home.




Spend few minutes to boil : After 5 minutes, hot water will finish for you to drink.


3 protection functions : The on/off button is on the handle, making it easy to turn the kettle off when you pick it up.  A concealed heating unit reduces the amount of buildup in the kettle.

It will be a problem when you forget to close the button.Once the water boils the kettle shuts itself off.Do not have to worry about damaging it by letting it run dry. When water runs dry,It will cut the electric by itself.


Multiple Cups: Water can be loaded to 1.8Liter.


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Make a cup of tea.

Boil eggs.

Cook noodles.

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