Why Furniture Dealer Give Up Big Brand? - Furniture Circle

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In the past two years, various problems of big furniture brands ,no matter custom made furniture brand or home furniture brand have been arising frequently. Many dealers have voluntarily given up the agency of first-line brands, turned to second-line brands of small and medium-sized enterprises, and even left the furniture industry! In the past, dealers yearned for big brands. Who didn't want to represent a big brand? Big brands are easy to enter the market channel, have large sales volume and high popularity, and can quickly establish sales channels.

In addition, acting for big brands can improve their management ability. With the help of manufacturers, they can quickly standardize their own market, management, marketing and other standards, make their own market more standardized and controllable, and make money easier.

In recent years, especially under the corona virus ,the economic situation is not good. The sales task of manufacturers has not decreased with the changes of the market, but increased year by year. It is no wonder that the task and market are separated from the industry. Acting for big brands has gradually become a headache for dealers. In order to live, more and more dealers give up big brands.

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Why Furniture Dealer Give Up Big Brand?

Our Admin
2022-02-21
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With the rapid development of the furniture industry and the increasing competition between famous furniture brands, the business pressure of the majority of dealers is even greater, especially the dealers of first-line furniture brands! 

The selling price is too low, the activity frequency is too few or too large, the product changes quickly, the advance payment is difficult to flow back, and the delivery is delayed... While the operating cost of dealers is higher year by year, whether it is rent, labor or management cost. 

In the past two years, various problems of big furniture brands ,no matter custom made furniture brand or home furniture brand  have been arising frequently. Many dealers have voluntarily given up the agency of first-line brands, turned to second-line brands of small and medium-sized enterprises, and even left the furniture industry! In the past, dealers yearned for big brands. Who didn't want to represent a big brand? Big brands are easy to enter the market channel, have large sales volume and high popularity, and can quickly establish sales channels. 

In addition, acting for big brands can improve their management ability. With the help of manufacturers, they can quickly standardize their own market, management, marketing and other standards, make their own market more standardized and controllable, and make money easier.

In recent years, especially under the corona virus ,the economic situation is not good. The sales task of manufacturers has not decreased with the changes of the market, but increased year by year. It is no wonder that the task and market are separated from the industry. Acting for big brands has gradually become a headache for dealers. In order to live, more and more dealers give up big brands. 

This year, with repeated epidemics, real estate turbulence and the decline of the industry environment, the development of the household industry is generally difficult. I believe there should be few dealers who feel that their business is OK. When it comes to bad business, everyone almost shook their heads and sighed with one voice. 

This is the reality before us. The news about overwhelming economic crisis spreads through the Internet is crazy in the dealer circle,which echoes with the emotion of dealers and describe the real situation. 

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We advise the majority of brand manufacturers to cherish their dealer friends. Without them, your brand is still a small brand. Thousands of dealers hold up your brand and help you capture the market and lay a solid foundation. 

The dealers are too busy to take care of their familiesthere children, and there wives, day and night.Just because of the hard work of dealers, the big brands have the foundation of big brands and build the popularity of the brands and expand the market share of the brands. 

Now, why are big brands not popular? 

In the past, big brands were very popular. Why ? Because big brands can bring great benefits to agents. The benefits brought by big brands may not be direct profits, but they will certainly bring indirect profits. Because big brands often become "sale booster", the combination  can bring more sales of products from small brands. 

At that time, all Chinese enterprises, both manufacturers and merchants, were growth- dependent enterprises. As long as the sales volume increases, the profit can increase. All problems of enterprises will be covered up by sales growth. 

But this era have been over. In 2016, most industries in China reached the highest sales volume in history. 2017 and 2018 are the peak period of the home furnishing industry. Facing the decline in sales, the normal work of the manufacturer is to "rescue sales". 

Next, please listen to the voice of dealers: 

1.  The advantage of large brands lies in the high-quality and best-selling products, while the disadvantage lies in the advanced standard internal management system, which is also, at the same time ,damage themselves.The standard system is too rigid and not so flexible can not satisfy the customers’ changing requirement.Big brands make sales plan based on the sales data ,which is not so accurate. 

2. The manufacturers have repeatedly reduced costs. Some products originally have a little profit, but the manufacturers will raise price for the dealers when they see that you can sell well. As for the dealers, the competition is so difficult now that they can't raise price for their customers. 

3. To upstream, the dealers need pay advance payment,to downstream, the dealers face lack of cash + credit + goods return + dead account + advance expenses + marketing cost. If one dealer encounter a dishonest manufacturer, it may be a wise choice to quit. 

4. When the dealer is maliciously used by the manufacturer, and once the dealer becomes a tool for the manufacturer to extract profits, what he loses is not the customer, but the people, then the enterprise will not have a future! 

5. It's all the trouble caused by pressing goods. Pressing goods is a simple and rude practice eager for quick success and instant benefit. Big brands should build outlets, open channels, distribute profits reasonably and distribute accurately. 

Here I would like to say to the senior management of the manufacturer: "actively adjust the sales strategy and develop more products and methods that can make money for your partners and employees. Now is the key stage of China's economic transformation and the stage of industry reshuffle. Don't let your partners leave you!

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