Sinking market + channel binding + coworker economy + resource integration
As an important part of the “stay” in the clothing, food, housing, and travel, how big is the size of the decoration market? According to the statistics of the billion euro think tank, the overall output value of the decoration industry in 2018 is 6 trillion, which is one of the few trillions of industries.
At the same time, the domestic decoration industry is in a highly differentiated state. Even Jin Hao, the industry leader with annual revenue of 25 billion, has a market capitalization of only 0.5% of the entire industry. High levels of differentiation create a high degree of competition while providing opportunities for new entrants. As a result, some fast-growing emerging companies have emerged recently in the renovation sector. The most representative of these is the Internet standardization decoration service-based love space, live fan, inDeco collar manufacturing and platform traffic Install nets, dirt rabbits, etc.
The recent contact with “Staying Birds” is also a good market for this market. It summarizes the key words of building a bird: channel binding, worker economy, sinking market, resource integration.
Speak first. In terms of the current business of building a bird itself, it is a very light mode, in addition to basic business functions such as APP operations, marketing, channel maintenance, and supplier management. There are almost no self-operated offline stores and direct workers. At the same time, renovation is a business that has to be “doing heavy”. In this regard, the strategy adopted by the Jianshe is deep cooperation with the service provider, through the five major empowerments, the workers lead the empowerment, the supply chain empowerment, the team empowerment , tool empowerment, brand empowerment, and deep binding of service providers, making “service providers” a real “building partner”. The online channel of building a bird + the network of hundreds of offline service providers nationwide has created a very three-dimensional “online and offline collaborative operation”.
CIO, Sun Ming, said that outside the “service provider network,” “worker network” is the biggest core value in the business model of living in the building. In the establishmentIn the initial stage, the core business of building a bird is mainly for building materials sales and renovation. It’s difficult to decorate, it’s hard to find a good worker. Through the construction of the bird platform, the owner can directly select the workers to customize the service. After the cooperation between the workers and the owners, they can recommend the local service providers to purchase the building materials. The workers and service providers can share the revenue of the building materials sales, and give the most benefits to the workers to form a closed loop of business.
On the other hand, the resource integration of the national building materials suppliers is the core competitiveness of the construction of the bird on the supply side, and it is also the basis for supporting the rapid growth of its front-end service provider network and the workers network. . Building materials sales, in the current domestic market, is in a layered subcontracting model. Therefore, often in the third- and fourth-tier cities, the price of building materials sold by agents will be much higher than the wholesale price of suppliers. Through the unified procurement and unified supply, the resident birds can get the price of the first-level agents. In this way, even if the profit premium is calculated, the price of the final building materials can be lower than that of the local third- and fourth-level agents. And relying on the influence of the Shifeng Group, which is backed by it, and the large-scale advantages brought by centralized procurement, the bargaining power of the resident birds and suppliers has been further increased. In turn, more affordable prices and higher profit sharing have further improved the reputation and speed of service providers and workers, forming a virtuous circle.
At the regional level, Sumitomo established the “Thousand County No.1 Plan”. Avoid the fiercely competitive first- and second-tier cities, mainly in the third- and fourth-tier cities and more than 1,000 counties across the country. In the way of encircling the city in rural areas, relying on the reputation of local workers in the most advantageous places, gradually penetrate the sinking market.
It was learned that the construction of the bird was officially launched in March 2017. In the early 2019, it obtained the 30 million A round of financing from Hung Hom Capital, and recently launched the B round of financing. So far, it has been with China Merchants Guohai, Weikai Assets, etc. The agency signed a total of 50 million investment letters of intent. According to Sun Ming, since the establishment of the bird, the average monthly water flow has increased by 30~50%, reaching 10 million in July 2019. At present, it has 70,000 registered workers, 45 service providers and cooperative suppliers. 150 homes.