The 13th China Guangzhou Custom Home Furnishing Exhibition came to an end, with the goal of "building a customized ecology and leading industrial upgrading", and comprehensively presented the new pattern, new trend and new kinetic energy of the custom home furnishing industry chain.
With the theme of "Seven Star Design Service, Winning the Whole Era", this exhibition brought a stunning appearance of high-quality exhibition halls, trendy craftsmanship and new product series. This exhibition is also the first public appearance of Lauka after the new strategic upgrade, with its differentiated image + innovative operation competitive advantage, by the national investors and the focus of mainstream media.
Real estate has gradually changed from an incremental market to a stock market, and home furnishing companies in the past relied on the incremental market to achieve rapid growth. At the same time, although the growth rate of new houses has slowed down, consumers' requirements for the quality of home life are still unabated, especially as the new generation of consumers gradually becomes the mainstream, people not only pay attention to price, function and quality when decorating, but also pursue personalization and customization, and the demand for "pleasing oneself" continues to increase.
In the current market environment, the industry involution is intensifying, how can home furnishing brands meet consumers more efficiently through product innovation, channel innovation, and service innovation?
Lauka believes that the essence of customization is design and service, based on this, at the beginning of this year, Lauka established a new strategic positioning of "leading design service", launched the seven-star design service standard and six standards as the core research and development of the whole product, through the reconstruction of the design process and product research and development, in order to better meet customer needs, and is committed to creating a good-looking and better home for every user.
At the exhibition site, Global Network Home Furnishing interviewed Jiang Chen, general manager of the entire customized marketing center of Lauka. Jiang Chen revealed that in order to win in the stock era, customized brands must make themselves the first choice of users. How to become the first choice of users? Lauka believes that having a unique differentiation and meeting the needs of users is the key. As early as 2023, Lauka has successfully built three differentiated customer acquisition systems: Douyin, decoration enterprise cooperation and bag service, to comprehensively solve the problem of traffic acquisition. At the same time, through the development of products that meet the personalized needs of consumers, the improvement of the design service capabilities of terminal dealers, the acceleration of digital transformation and the improvement of terminal service efficiency, the three strategic measures to consolidate the competitive advantage of Lauka and ensure steady progress in the highly competitive market.
Jiang Chen, general manager of the whole customized marketing center of Lauka
The following is a transcript of the interview:
[Global Network Home]: What are the unique competitive advantages of Lauka whole family customization?
[Jiang Chen]: Lauka is constantly adjusting and optimizing its core competitiveness at all stages of development to adapt to market changes. Whether it is to improve the service ability of dealers or strengthen the professionalism of Seven Star design services, Lauka always adheres to the core of user needs, efficiently meets user needs, reduces terminal operating costs, and creates a strong terminal competitive advantage.
The product is iteratively upgraded on the basis of the original, and integrated with the whole family, and integrated into the six standard product research and development concepts, the development of products with unified style, comfortable layout, health and environmental protection, safety and individual functions, with high-quality, professional design services, will jointly constitute the core competitiveness of custom home furnishing enterprises. For example, those consumers with specific lifestyles, such as fitness enthusiasts, live streaming enthusiasts, pet owners, etc., have their customization needs with obvious personalization characteristics. By gaining a deep understanding of the individualized lifestyles of specific populations, Lauka provides them with customized, suitable, all-in-one home solutions.
Focusing on consumers and creating a whole family customization with leading design services will become the core competitiveness that Lauka will strive to build and maintain in the next few years.
[Global Network Home]: In the face of fierce competition in the stock era, what upgrades has Lauka made to the channel strategy?
[Jiang Chen]: The channel strategy can be discussed from two dimensions. First of all, the principle adhered to by Lauka is: adhere to the franchise policy of one city and one business, and authorize all product lines. Our goal is to enable consumers to meet all their needs in one single dealership. Secondly, we focus on avoiding excessive internal competition and ensuring that dealers can grow in a healthy competitive environment.
Lauka actively embraces a diversified channel model to capture traffic in an all-round way. At present, it mainly strengthens brand influence and market penetration through three core channels: its own bag service, Douyin's intra-city social media channels, and cooperation channels with decoration companies. And through the strong empowerment of the headquarters, it can effectively solve the problem of customer acquisition in stores.
In the future, Lauka will continue to focus on the design of service differentiation strategy and innovative dual-engine channel structure, so as to thoroughly understand the fundamentals of long-term steady growth. At the same time, we actively encourage and empower our dealers, strengthen strategic cooperation with installation enterprises, expand diversified strategic cooperation models, achieve further growth with higher benefits, and create an internal driving force for Lauka to continue to grow bigger and stronger.
[Global Network Home]: Is Lauka an enterprise in the category of new quality productivity?
[Jiang Chen]: As an enterprise that has been deeply engaged in the field of customization for 20 years, Lauka does not claim to be a new quality productivity enterprise, but an enterprise that always puts consumer needs first, constantly changes and innovates according to market trends and consumer preferences, and adjusts products and business models. In our view, keeping up with the changing needs of consumers and providing corresponding value is the foundation of any business's sustainable development.
Over the past two decades, from providing only wardrobes to adding cabinets, wine cabinets, bookcases, sofas and upholstered furniture to meet the needs of integrated solutions, Lauka has expanded from single product sales to integrated design solutions, and has been the first to realize the integration of cabinet wall and door accessories, and Lauka's product line has continued to expand to meet the all-round needs of consumers.
Today's consumer needs are more diverse, and we are committed to meeting these personalized lifestyles through product innovation. With meticulous attention to consumers and continuous iteration of products, Lauka is not just following trends, but is committed to staying ahead of them and providing services and products that exceed expectations. Therefore, although the label of new quality productivity may not be suitable for us, Lauka is indeed an enterprise that always focuses on consumer needs, constantly refreshes itself, and constantly promotes product and service innovation.
[Global Network Home]: How do you view the current situation and future development trend of the whole customization industry?
[Jiang Chen]: The whole customization industry, despite the changes in the market and demographic structure, still has long-term development prospects. With the increase in per capita income, consumption upgrading has become a long-term trend, and more consumers are willing to pay for high-quality home furnishing products, which is a positive signal for the custom furniture industry.
In the past two years, despite the overall pressure on the market, the market share and penetration rate of customized home furnishings have continued to grow, showing the inherent vitality of the industry. Consumers' acceptance of the whole home customization is increasing year by year, and the scope of customization is also expanding, from the initial wardrobe, cabinet to more product categories such as wooden doors and sofas, and the double improvement of customer unit price and penetration rate has brought new growth points to the industry.
As the industry enters a more complex second half of competition, custom home furnishing companies need to build their own differentiated competitiveness. From products, services, sales models, R&D capabilities to the efficiency of the operation management system, we provide consumers with integrated design services with unique value. In the future, the custom home furnishing industry will pay more attention to the comprehensive strength and differentiated competitiveness of each enterprise, which is the underlying logic of enterprise development and the key factor that determines whether enterprises can stand out in the market.
What are the strategic goals and strategic plans of Lauka in the next 3 to 5 years?
[Jiang Chen]: In 2024, Lauka will usher in its 20th anniversary, and it will also usher in an important moment for the company's strategic transformation. We confidently announce that we have comprehensively solved the challenge of acquiring traffic, and have established three unique customer acquisition systems: Douyin, decoration company cooperation and bag service. At the same time, we have also successfully completed the transformation of capacity delivery and intelligent manufacturing to ensure product quality and high standard delivery.
In the future, Lauka will focus on building differentiated design service capabilities. We strongly believe that it is essential to provide unique value to the end consumer. We plan to become the enterprise that provides the best design services in the industry, which requires us to continue to work hard in three aspects: first, to improve the design service capabilities of terminal dealers with seven-star design service standards, secondly, to develop products that meet the personalized needs of consumers with six standards, and finally, to carry out information transformation, use design software and information platform to improve the efficiency of terminal services, quickly match consumer needs, and meet customer needs.