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Hardware locks the industrialization of the highly competitive need to reduce costs to establish a brand

Domestic locks industry with annual sales of more than 40 billion yuan, the production capacity to over 2 billion, with exports of over 10 billion yuan the locks markets will continue high growth rate of more than 20 percent a year. With the global economic integration trend of Chinas lock industry began the road of international branding industry. said the occasion of the mold and Metal & Plastic Industry Suppliers Association Secretary-General Luo Baihui Recently, copper, zinc and other metal prices of raw materials to downstream fluctuations in the business for the return of funds reduce the pressure on the stock, to conduct security sales. Most locks product sales increase. In addition, the expansion of domestic demand, the introduction of measures to ease some of the pressure caused by the financial crisis, domestic rally is powerful to fill export shrinkage. Market performance are: the domestic side, the increase in autumn and winter home decorating products door lock, handle lock, anti-theft locks and hinges, the door such as smoking trend, a larger volume; chain lock, motorcycle padlock and disc lock The product is also popular consumer favorite, substantial sales. The export side, foreign to the inquiry, returned to single wait-and-see atmosphere.

The traditional style sales stable and broad prospects. According to the survey, the increase in demand for people on the traditional locks, ball lock, handle lock, mortise lock, the recent sales potential to go stable, multi-domestic-based. Most merchants also according to the different needs of urban and rural household door locks level sub-file production and sales is very promising.

A variety of factors make the locks industry is highly competitive

About 88% of the market lock products from Zhejiang province, Yiwu local accounts for about 28%, the proportion of factory direct up to 70.5%, mainly the production of middle and low lock products, the scarcity of high-end products. As the lock industry is labor-intensive industries, low entry barriers, the degree of specialization is not high, the increasingly intense competition.

A general lack of brand awareness

Lock firm size is small, few leading enterprises, can not drive lock industry development, China lock is a low-end market, their own lack of brand awareness, not too much emphasis on brand building, some companies just The workshop, financial, human and other factors restricting its development, the lack of brand awareness.

Increase in raw material costs

Recent increase in steel costs, driven by the increase in the cost of many downstream industries, the lock market is no exception, the increase in raw material costs, development is restricted in some enterprises, some enterprises may face closure, some companies will increase the price of the product increase the cost of digestion, so that corporate profit margins smaller, increase in the competitiveness of enterprises, and these can seriously affect the corporate brand building. Lock market is slow to develop.

How a firm foothold in the fierce competition

High-end lock products lock industry a new round of technological competition has commenced, the high technological content and high-end product in the future development trend is obvious. In recent years, with rapid development and national defense, public security, and financial systems for residential, automotive, high-grade office buildings and hotels and other pillar industries with high preventive lock products demand increasingly high-end locks became popular. More prominent because of the high technical content of high-end locks humane, personalized features, so the product is relatively high profits. Plus locks new generation of products faster, high-end locks will gradually become the mainstream of the locks. According to industry estimates, the market prospects of high-end locks will be very substantial.

Establish a corporate brand

In the development process, the price of brand and corporate products has a very close relationship between product prices always affect the companys sales revenue and profit.

Determine the product price in addition to the performance of the product outside of the technical content, use, often there is an intangible thing, and that is the corporate brand. Selection of a certain brand of products in the trade field, the business, as long as the products are excellent quality, as long as this quality reputation in the minds of consumers, the brand will have a value, even if the price relative to other similar products is much higher, consumers still buy it, and its high price as a noble symbol of identity.

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