The Future Development Trend of Chinese Furniture

April 28,2022

Furniture is indispensable in our lives, so the furniture industry has been developing forward, and the styles, materials, functions, etc. are constantly improving. So what does the future development trend of the furniture industry look like? Let's explore it together.

The future development trend of the furniture industry

furniture

With the recovery of the global economy and the continuous improvement of people's living standards, more and more people have begun to pay attention to furniture. Throughout the past 10 years, China's furniture industry has experienced a period of rapid development. During this period, the development of the furniture industry was mainly based on the expansion of quantity, and a complete industrial system with relatively complete categories was initially established, and at the same time, a complete industrial system in line with international standards was established.

In the next 5 to 10 years, under the background of the transfer of the international furniture industry, the Chinese furniture industry will enter the second period of rapid development. Modern technological progress promotes the increasingly large-scale furniture production, and the drastic changes in cost and price will quickly break the original competition pattern; the introduction of automatic production lines will inevitably increase investment in fixed assets, and will inevitably reduce labor costs and production efficiency; large-scale production and standardization production becomes possible. In the new stage of industrial development, the competition and upgrading of the furniture industry will become inevitable.

In the future, China's furniture industry will develop in three directions: refinement, scale and branding.

1) Refinement:

The furniture industry is a traditional manufacturing industry with low technical requirements. So far, private "carpenters" still play a leading role in furniture manufacturing in economically backward areas. Many furniture enterprises originated from this workshop-style furniture manufacturing industry, and then gradually expanded their scale and added machinery and equipment. It is precisely because of this method that some furniture companies are very extensive in management. Extensive management methods lead to weak pertinence, operability and execution, the company's organizational structure and functional positioning cannot be reasonably clear, there are many management levels, and the management efficiency is very low.

2) Scale:

Looking at China's furniture industry, we find that regional agglomeration is becoming more and more obvious. At the same time, we also find that China's furniture industry is still dominated by small and medium-sized enterprises. The industry concentration is very low. At present, no company has a market share of more than 1%. There are only a handful of large furniture companies in China. This is a double-edged sword. Furniture enterprises with industry advantages take advantage of this good development opportunity to set sail and ride the waves. However, small businesses that are poorly managed and under-competitive will face obsolescence.

3) Branding:

The concept of consumer furniture consumption is changing from quantitative consumption to qualitative consumption, and the brand era of furniture consumption is coming. People's requirements for furniture are not only functional needs, but also decorative and aesthetic needs, and even more personalized needs. With the development of the domestic economy, people's lives have undergone fundamental changes, and people's needs for furniture will inevitably develop in the direction of health, environmental protection, and branding.