Which prefecture paint industry market has the most potential to tap

Paint companies have experienced a cruel war in the past year. The frequent introduction of real estate control policies in 2010 has brought a huge chain reaction to its downstream industries. The building materials industry, including coatings, has spent an extraordinary year in industrial adjustment and increased competition.

At the beginning of the 2011 New Year, the rate of increase in house prices was relatively large. The city's purchase restriction orders were gradually rolled out in many first-tier cities across the country. It can be imagined that the building materials market in first-tier cities will face more fierce competition. Under this condition, the prefecture-level market, which was not previously valued by paint manufacturers, has become a new battlefield for the competition of coatings and other building materials products. Even some companies have already shouted out "rooted in the local market."

However, the complexity of the prefecture-level market environment, the weakening of the concept of the brand, and the difficulty in controlling the cost of operating expenses have made it difficult to change the “difficult bones” to “tempting cheese”. Which cities are potential markets for companies competing for competition? What kind of paint brand can be unimpeded in the local market? How can manufacturers balance the interests between provincial agents, distributors, and their own companies to achieve a win-win situation? The author will interpret for you one by one.

Target Market Needs Three Necessary Conditions

“In general, the selected regional market objectives should meet the following conditions: 1. The local market has a large capacity and potential. That is to say, the local population has a large population, strong purchasing power, and a high degree of demand for wooden door products; 2. Comparison of location advantages. Obviously, that is, the economic infrastructure is complete and the market is well-developed; 3. The competitive situation is clear, the products are competitive, and the competitive environment is good,” an industry source revealed.

Looking at the various prefecture-level cities across the country, the development of each city is extremely uneven, but overall, the development of the Yangtze River Delta region is relatively fast. For example, in Zhejiang Province, whether it is a traditional industrial and commercial center in northeastern Zhejiang, or in the Wentai area that has created a reform and opening-up model, rapid development has been achieved. Even the less-developed Chuzhou and Lishui areas are crowding into the top 40 cities in China’s richest cities. Ranks. Therefore, many companies choose the Yangtze River Delta as the target market, especially the original wooden doors, solid wood doors and other brand companies.

Measure two standards for the target market

When selecting a regional target market, companies should pay attention to two points: 1. Market share maximization, that is, the selected region can make the input and output of enterprises proportional, and strive to achieve the largest market under the premise of subjective and objective conditions. Shares produce better economic and social benefits; 2. Marketing resources are equalized, that is, companies should fully consider their actual conditions, including their own product characteristics, capital reserves, personnel quality, etc. And for this; and the number of target areas should not be too much, the geographical span should not be too large, the scope should not be too wide.