Urbanization can drive the market for the home appliance industry

The home appliance industry has different responses to the impact of urbanization. How much does the rural population urbanization demand for the home appliance industry?

Urbanization can drive the market for the home appliance industry

In the past few months, urbanization has been repeatedly mentioned as a national keyword. Business people have regarded urbanization as one of the important factors when predicting future market factors. However, in the end, what kind of process will be promoted by urbanization, what can be created by urbanization, and what kind of real impact on the market will be made.

Last year, the Central Economic Work Conference pointed out that urbanization is the greatest potential for China to expand domestic demand. New urbanization is a huge systematic project involving a number of reforms, including household registration system, land system, housing policy, fiscal and taxation system, local investment and financing system, and administrative divisions.

How much economic driving can be driven by urbanization

Zhang Wei, president of the private equity investment agency Anzhen Shenda China, believes that the evolution of urbanization gives the opportunity for the birth of various industries to generate more than 5 million consumers each year. This is a large consumer group. In the process of urbanization, it must be Finding ways to make them have the ability to consume, increase their income, and exert their potential for consumption is the challenge of urbanization.

"We are optimistic about the investment that is closely integrated with food, clothing, housing and transportation. In any country's urbanization, these basic needs are to be met. We are optimistic about the technical fields related to consumption hotspots, including the Internet, to solve the problems faced in urbanization." Zhang Wei believes that basic demand will be the biggest market opportunity for urbanization.

However, the securities institutions have a more conservative attitude towards the economic impact of urbanization. Yang Zhigang, an analyst at Guodu Securities, told the China Kitchen Network reporter that “the stock market has already made a big top, indicating that urbanization has no imaginary effect on the economy. The impact of unfavorable factors such as the expected failure of real estate regulation and relaxation, the stock market fell 2400 points, the stock market is difficult to exceed 2400 points in the next two years, the bear market continues."

What kind of market does urbanization bring to the home appliance industry?

Industry observer Liang Zhenpeng also said in an interview that the urbanization process will promote the growth of China's home appliance industry, but the effect will not be obvious. Because the promotion policies of home appliances to the countryside in previous years have largely overdrawn the consumption power of the rural market.

Enterprises believe that urbanization will be a continuous market opportunity. Beautiful kitchen (kitchen decoration renderings) Sun Mingyang, general manager of the domestic marketing company of the Electrical Appliances Department, said that since the 18th National Congress, he has been talking about a core word "urbanization". In 2012, China's urbanization rate was 52.57%, which will be upgraded this year. More than 70%, China will add a middle-income group of up to 600 million people. The urbanization of the rural population will bring about changes in the four aspects of food, clothing, housing and transportation. The most important thing is the change in housing. Kitchen appliances will be the urgent needs of these people.

On the impact of urbanization on the home appliance industry, Wang Jianguo, general manager of the US refrigerator business unit, was very optimistic when interviewed by the China Kitchen Network reporter on the 10th. In his view, the peasants entered the county and then the city. In terms of income, living environment, and consumption capacity, there has been a great increase in the demand for durable consumer goods such as home appliances. This is particularly evident in the county towns based on the deep understanding of the market.

"The urbanization has been very obvious in recent years. The consumption it brings is mainly based on secondary purchases. The requirements for product performance, function, appearance, energy conservation, etc. are higher and more obvious. Enterprises still have to work hard on product innovation." Wang Jianguo Said, but the demand for urbanization is one after another, he also predicted that in several types of home appliances, urbanization is the most obvious demand for color TV, followed by the demand for refrigerators, washing machines, air conditioners, small appliances and kitchen appliances. It will also be driven by the urbanization process.

Liang Zhenpeng also believes that in the market opportunities brought by urbanization, home appliance enterprises must closely follow the four major development trends in the future: first, high efficiency and energy saving; second, environmental protection; third, intelligent; fourth, embedded integration Turn.