Wooden door market is now a "strange elephant": sales volume fell by 60%, price rose by 10%

In the clamor of “buying and selling is not good”, a strange phenomenon followed: the price of products not only did not fall, but continued to rise. The most representative of these is the wooden door industry, which has risen more than 10%. It seems that it is not fashionable to increase prices. However, this “price increase” trend does not have a clear feeling for consumers, because the rise is the cost, people see the imaginary market price, and the price tag on the price tag depends on the manufacturer. A mouth has the final say.

Regarding price hikes, the same tough decision has recently taken place in other wooden door brands, with an increase of about 10%.

According to the basic laws of the market, price increases are often due to product supply. The supply and demand balance has been broken down, the material is rare and valuable, and the price rise is within reasonable conditions. However, this round of price increase in wooden doors is a kind of “strange phenomenon”: Wooden door manufacturers are shouting that “business is not good”, not only does it lower prices but also increases prices.

Professionals of the door said that the “New Deal of Real Estate” was finally reflected in the wooden door industry in the second half of 2010, and the market demand was not strong. Compared with the same period of last year, the sales of wooden door companies in Beijing fell by 40%. At the same time, various costs are increasing, and labor costs raised year by year cannot be ignored. In recent years, as residents' incomes and prices have risen in an all-round manner, workers' demands for wages have become higher and higher. All skilled workers have a salary of around 4,000 yuan, and sometimes workers of certain special types earn higher wages. "We cannot aggravate the workers, but we must not let the winds absorb all the labor costs. We are forced to make up only our share of the products."

As raw materials rose too much, logistics costs increased, and sales prices were too low to offset the increase in costs, which could only be compensated by raising the ex-factory price. With regard to the rise in raw materials, the industry generally confirmed that it was true. With less raw materials, prices naturally soar, such as ash willow wood, which has now risen from several hundred yuan per cubic meter in the past to more than 1,500 yuan. Wooden doors made of ash will naturally rise in price.

The raw materials that are rising are not only wood, but also paints and hardware accessories that must be used to make wooden doors. In addition, the increase in factory procurement and transportation costs is also a direct cause of price increases. "Everybody knows that gasoline prices have risen. Then, it is definitely because of the increase in freight rates, which will lead to higher costs and more reasonable prices."

It is reported that since the second half of 2010, the overall sales situation of wooden doors companies is not optimistic. Many companies have fallen by as much as 60%. In some mainstream stores, even the top ten companies may not be able to make profits. In this case, companies have played up the price tag, which is really upset.

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