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Custom Made VS Standard Furniture,Who Will Win? - Furniture Circle

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With the continuous upgrading of the consumer market, the customization of cabinets,wardrobe and other household products has already started a boom in the industry. There are many enterprises which do custom made furniture not only in single category, but also a continuous layout of the whole house customization, so as to maximize the customization space. However, there are still many home furnishing businesses that insist on standardization and finished products. Who will dominate the home industry in the next ten years?

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Custom Made VS Standard Furniture,Who Will Win?

Our Admin
2017-12-03
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  With the continuous upgrading of the consumer market, the customization of cabinets,wardrobe and other household products has already started a boom in the industry. There are many enterprises which do custom made furniture not only in single category, but also a continuous layout of the whole house customization, so as to maximize the customization space. However, there are still many home furnishing businesses that insist on standardization and finished products. Who will dominate the home industry in the next ten years?

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An overview of the industry view of customization and standardization

  The school of Standardization: "even today, high-end customization is also declining. When price, production period and quality cannot be guaranteed, standardization is the only way to solve the problems that home decoration is facing. It is difficult for consumers to feel highly efficient, transparent home decoration

  The school of customization: "standardization is reversing the history. The whole world is turning from industrialization to respecting for human nature, respecting for individuality, and the standardized home decoration that is sacrificing users' individual needs" is ultimately the enterprises’ own wishful thinking. With the upgrade of consumption, the customers are bound to have more advanced pursuit and are willing to pay for the individual. "

  Centrist: in the next ten years, the customized home decoration and the standardized home decoration will exist for a long time, and will gradually develop with integration. Without standardization, customization is not long-term; without the customization of industrial production, the standardization of components is meaningless. Standardized home furniture manufacturers needs to seize the mainstream group today, that is, the middle and low end group; and custom-made home furniture decoration is the trend and future of the future high-end home industry.

  Rigid Demand VS Demard for Improvement, consumer groups to decide the future of home

  In fact, customized home and standardized home are aiming at different customer groups. From then on, standardized household can effectively improve the cost performance because it is easy to industrialize and scale up, and is suitable for the first time home demand group, and profits from the volume. And custom-made home furniture is aiming at high-end customers with high price, high profit rate. Who can represent the next ten years mainly rely on the mainstream customers in the future.

  What is the mainstream customers in the future? We can do some speculation from two recent news.

  According to a recent survey by HSBC, 70% of China's young people have housing and 91% of the young people plan to buy a house in the next 5 years. That tops the whole world. In the next 10 years, the demand for the improvement from these young people will be considerable.

  Another news is about urbanization rate. According to the statistics of the National Bureau of statistics, in 2016, the urbanization rate of China's household registration population was 41.2%, and the urbanization rate of permanent residents increased by 1.25%, which is still at a low level. The reason is that China's demographic dividend has gradually disappeared, and the household registration reform has not been fully carried out. According to the previous plan, China's urbanization rate in 2020 will reach 60%, and in 2030, it will reach 70%. During this process, it is the most important process of the citizenization of migrant workers in the household registration reform. This process will release a large number of housing rigid demand.

  Generally speaking, whether the future home industry will be dominated by customization or standardized has close relationship with consumer group and relative policy.Regardless of standardization or customization, the overall development trend of the home industry is unquestionable.

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