The current furniture market is “the clothing market in the 1990s”, and the channel’s standard is still to help the good products to complete the “touching”
re-experience and offline home field. Traditional players are adopting “digital” touch nets. Looking for new opportunities: IKEA spent 20 billion yuan to upgrade digitally, and firstly set up e-commerce in China; Qumei chose to cooperate with Jingdong to start its own hypermarket renovation plan; the actual home and Red Star Macalline two channels Hugging Ali before and after.
The above can be seen as the old players in the real industry in the context of channel changes, rapid consumer iteration, through the innovation of service methods to seek new growth. So what are the demands of the future generation of consumers for the channel? Obviously it is not just about staying in the way of consumption.
The newly-launched new furniture channel brand Cabana has its own understanding and awareness of “Future Generation Red Star Macalline”.
In May of this year, Cabana opened his first store in Taikoo, Sanlitun, Beijing. In this two-story space, in addition to showing the first batch of more than 50 international brands in different “modules” in the family space, Cabana has also held many games and homes in addition to the design sense and quality of these brands. Design related exhibitions and forums.
The current furniture market is “the clothing market in the 1990s”, and the channel’s standard is still to help good products to “reach”
Cabana’s two founders, Demos and Chel, compared the current furniture market to the “90s clothing market”:Supply, there are limited products on the market, consumers can The nature of contact is more restricted, and on the demand side, the demand for “good products” is also growing and growing. This is actually the market opportunity that we can see by designer furniture brands, such as Vatican, Voice, InYard, etc., but the satisfaction of individual brands on market demand is relatively limited.
So, the core value of the channel brand has not changed: to help consumers complete the purchase decision, but at this moment, the public’s requirements for the channel brand have beenThe “from scratch” to the “from good to the best”, the way and content of decision-making has changed.
But from the business model, Cabana is also more biased towards retail rather than the traditional home store’s “two landlord” profit model, “Red Star Macalline distributes traffic to tenants, and Cabana distributes traffic to products”.
Cabana co-founder Chel tells that with the fashion education in the apparel field, the aesthetic and consumer education in the entire market has been completed, and household consumer goods are easily linked directly to consumers in the fashion sector. “But the big environment has decided, and Cabana needs to provide more education.”
The term “education” here means that the value of a good furniture product needs to be recognized and recognized by the public. This is actually a compulsory course for Cabana as a new channel brand. So in Cabana’s entire strategy and planning, in addition to the “touch”, we can also see the “content” level of efforts based on Cabana Ongoing.
Offline: What’s different in the “furniture store” in the city’s core business district
Because of the remote location and single category (usually only furniture), traditional large-scale furniture stores are mostly faced with the dilemma of traffic attenuation and low efficiency. This can also be seen as the motivation for them to embrace the “new retail”.
“Sufficient high frequency contact” can be used to summarize Cabana’s offline strategy to serve young people’s furniture consumption.
First reflected in the choice of points, Cabana uses the city’s core business district as a location preference.
The characteristics of the core business circle are that the traffic density is large enough, and the composition of the crowd image overlaps with the target users of Cabana. For a new brand, if it can appear at a high frequency, it will also form a mind in the user’s mind. One of the ways to achieve brand communication.
At the product portfolio level, Cabana offers more than just furniture. Lamps, home accessories, and more are also within Cabana’s selection.
It is well known that furniture consumption is especially low frequency, so this kind of product is for CaFor bana, the most direct effect is to increase the user’s visit frequency. Chel tells that “gift” is a particularly high-frequency behavior. Therefore, Cabana also defines the category of “home gifts”, and will increase products in the range of 200 yuan to 2,000 yuan in the future.
For the low-frequency characteristics of furniture consumption, Cabana also wants to try to promote the concept of “the home is not a one-off upgrade”: when consumers are at different stages of life, with changes in income and personal preferences, for furniture products The appeals will also change, so the products that offer different price bands are also concrete manifestations. More importantly, because the team values the increase in the future home market represented by young people, this process is also the process by which consumers gradually build awareness of Cabana.
In terms of spatial form, Cabana, which chooses to open a store in the core business district, is more like a Showroom than a “store”. With the offline space, the team wants to convey the characteristics of different brands rather than a single item. The selection and combination of the items is done by Cabana’s designer sales staff. At the same time, online The solution system is also in the planning of Cabana, which means that with this product, Cabana is able to give the right solution when the user arrives at the store.
As mentioned earlier, Cabana Ongoing is the team’s attempt at the “content” level outside of the product, so high-density exhibitions and forums are also the difference in this Sanlitun furniture store. For example, here just ended the “PLAY-PARTY-WORK Centennial Bauhaus Interactive Exhibition” with the theme “Party never ends – bauhaus forever!”
Cabana Ongoing’s series of exhibitions and forums meet the needs of consumers for a deep understanding of the home market and brand, as well as serving these overseas brands to help them gain broader and deeper public awareness in the country (a direct The embodiment is that 60% of the products in the current transaction are futures without spot display. For Cabana himself, the content itself is also a process of branding.
Cabana Furniture Store and Herman Miller’s “Ergonomics of HEALTH ERGONOMICS Seats” Forum
Online: Enter the integrated e-commerce platform + self-built traffic pool
Since the speed of expansion and the radiation crowd, the simple offline format is limited, so the line is also in the planning of Cabana. It is divided into two parts to complete.
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Enter the integrated e-commerce platform such as Tmall to start the flagship store
For Cabana, the most important thing to get into the integrated e-commerce platform is to get exposure and traffic for the brand. After the emergence of Internet furniture brands such as “Linshi Wood Industry”, the user’s online purchase of furniture has been formed, and the after-sales service such as logistics installation is perfect, while the home decoration, gifts and other categories in the Cabana selection are more suitable for online sales. .
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Publish your own app
The shortcomings in the integrated e-commerce platform are that the “order-to-order purchase” that is more likely to occur in the offline scenario will decline, so the Cabana online strategy will focus on its own app, from traffic acquisition, retention to transaction. Conversion, membership services, etc. will be implemented on this product.
For example, the online solution system mentioned above is one of the functions of the App. With the App, the team hopes to achieve “online system selection, offline store experience”, and on the one hand, it provides solutions. Tools, on the other hand, want to improve conversion rate and order rate in a long-decision, low-frequency track.
High customer list ≠ “Small and beautiful” narrow market
Currently, the customer price of Cabana is 40,000 yuan. When the market talks about the focus of China’s trillions of home market, it is still “looking for the Chinese version of IKEA”. Based on the current price level of the customer, it is difficult to stop People ask a question: What does Cabana do seems to be a narrow market business?
For this, Demos explained that for an emerging channel, only through brand awareness and user reputation in the market, there is a greater possibility and space to use the established brand. The influence “sinks” to the mass market. That is what we usually call “high and low.”
There is Cabana’s brand-level efforts to be exposed in the core business district and to hold regular Cabana Ongoing forums. The unit price is only a more dominant performance.
Another point to emphasize is that the channel brand’s characteristics are based on the people who radiate from their location to provide them with products. Cabana’s first store is located in the Sanlitun business district, and the first batch of consumers must It is a group of people who are relatively mature in the purchasing awareness and consumption power of the home. Therefore, with the broad diversity of Cabana stores covering the two dimensions in a single city and covering the city, Cabana’s customer unit price level There will also be corresponding floats, which is also the flexibility of the channel.
After the brief introduction to the Cabana founding team:
Cabana co-founder Chel has a senior experience in the media field, has worked as a brand consultant and brand agent before creating Cabana; another co-founder, Demos, successfully introduced the New York dessert brand Chikalicious to China and operated At present, there are 5 stores in China.