“How do we innovate?”
Before that, I think we must understand the relevant issues.
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First, why should we innovate?
1) Profit
Profitability and survival are undoubtedly the first keen point for the manufacturing . In particular, after more than 30 years of rapid development of the "profiteering" era, many companies are difficult to adapt in the current predicament, and want to return to the golden age of easy profitability.
Innovation is a certain and a trend, but innovation is not a “magic”. It is extremely irrational to develop a company with the attitude of “innovation” with the flow of the flow, and it is difficult to achieve the high profit expectations.
2) Development
Taking China as an example ，China's furniture industry has developed rapidly in the extensive mode to today. With the changes in the economy and society, it has entered the reform period. In order to seek further development, enterprises and industries must innovate, including ideas, products, services and models.
Enterprises with development as the goal of innovation must be prepared for a protracted war. Change is a painful and difficult process. The initial investment is only the sublimation of quantitative change to qualitative change, but the result will be extremely bright.
Conclusion: I believe that for the furniture people who are engaged in the furniture business, it is not for profit and development, but the actual strategy, implementation and effects are different.
In the modern economic environment, the so-called "profiteering" comes more from product added value or brand premium, just like luxury goods. At present, traditional furniture manufacturing industry is difficult to achieve "profiteering" mode through products or services.
Second, how to grasp the innovation point?
1) Positioning
Should panel furniture must be transformed into solid wood? Does solid wood furniture have to be innovative? Does traditional furniture have to embrace the Internet? Should emerging furniture companies be cross-border customized? Should traditional dealer channels have to experience store parallelism? E-commerce, smart home... New concepts may not be .It is good to innovate!
Positioning becomes critical and determines the direction and effectiveness of innovation.
1 What is the direction of the company?
2 What are the advantages of the company?
3 Where is the core competitiveness of the company?
4 What is the consumer's evaluation and acceptance of the product or service?
5 Analysis of market segments in the 5 environments?
6 Brand market or regional impact analysis?
7 How much should the company accept and respond to new things?
2) Research and development
With clear products, services or corporate positioning, it is necessary to have targeted products or services, or even develop corporate policies.
1 If the direction of the company is to maintain or increase profitability, the research and development direction must focus on increasing output and reducing costs. Therefore, process innovation, capacity upgrade, product series optimization, channel optimization, etc. can all be used as the direction of enterprise transformation, but this kind of change must be consistent with the characteristics of the company.
2 If the enterprise is positioned for long-term development, the research and development direction must be carried out around strategic adjustments, including enterprise product systems, service systems, operational systems, and brand strategies. In actual operation, enterprises can obtain the best enterprise development strategy through internal optimization and other methods, and actively pursue new growth.
3) Execution
Enterprises have developed effective strategies and strategies that must be implemented resolutely. Of course, please look for the direction during the implementation, do not go into the wrong zone.
1 E-commerce is only a representation, companies should pay attention to channel strategies and optimization programs.
2 Please be cautious in the transformation of product lines. The accumulation of products and brands takes time. In a fully competitive market, products cannot bring immediate results that the company expects.
3 If the promotion of Lizhen is gradually abandoned by the market, whether it is marketing or products, it should grasp the hearts of consumers, and the price war has no future.
4 Brand promotion is not a simple advertising campaign, but the company deeply explores the corporate culture and value, thereby enhancing the brand value and generating a higher brand premium, in order to maximize the benefits in interaction with the market.
5 Furniture innovation is not the same as design innovation, not plagiarism, imitation, the fundamental of furniture innovation should be to provide consumers with the service they like.
Third, how should we innovate?
Through the exploration and development of furniture people in recent years, as well as the experience of foreign furniture industry, the industry has basically formed a general consensus on furniture innovation - innovation is a continuous evolution, not a complete subversion.
1) Knowing ourselves and knowing each other is not the same, innovation is the same, eyes can not always look fresh, more time need to look back to themselves, and only innovation that inherits its own advantages is more vital innovation.
2) Knowing that you know yourself and your company must be innovative. In addition to understanding your own advantages, you need to understand consumers and understand the market trend. Market recognition is the yardstick and end point of innovation.
3) Innovation should not hurt its fundamentals. Regardless of the type of furniture enterprise, innovation must rely on the core strengths of the enterprise, and it cannot be changed or shaken at will. Otherwise, the “innovation” will only destroy the people.
4) Cross-border needs to be cautious. Emerging furniture enterprises are more likely to accept and integrate new trends. Change new models often take the initiative; while traditional furniture companies seek to take the initiative to cross-border, they must lay a solid foundation on their own strengths. Don't get lost in the whirlpool of the "new concept."
This is a very bad era. Excessive production capacity requires a round of industry reshuffle. This is also an excellent era, and the survivors left will surely gain a more abundant market share. Innovation may be the necessary weapon to win this victory, but innovation is also a matter of moving. If enterprises want to innovate, they must do their own innovation from the inside to out, not the “innovation” with the flow. Otherwise the history of the furniture of the future may have your story, but it will not leave a name.