Following the introduction of home appliances and automobiles to the countryside, at the beginning of 2010, the Central No. 1 document listed building materials to the countryside as a policy for stimulating farmers. On August 21, 2010, the nation’s first batch of pilot projects of wood building materials to the countryside was officially launched. China’s forest products industry Associations and the Ministry of Housing and Urban-Rural Development, Ministry of Industry and Information Technology, Development and Reform Commission, and Ministry of Commerce and other relevant departments have jointly organized 14 companies to form a pilot working group of wooden building materials to the countryside to subsidize rural consumers who purchased rural products for wood building materials. After nearly five months of trials, the first implementation phase will end on December 31. So at present, how is the implementation of the entire wooden building materials going to the countryside? Has the company encountered any problems in the entire process? Did the peasants truly enjoy the benefits of subsidies? What benefits do wooden construction materials bring to the entire industry and even social development? On December 21st, under the organization of the China Forest Products Industry Association, a delegation consisting of pilots from all levels of government departments and well-known domestic media jointly conducted in-depth pilot projects in the countryside and launched a week-long field survey.

The basic situation of this survey:

As a result of the previous investigation, the China Forestry Products Industry Association, the Ministry of Industry and Information Technology, the Ministry of Housing and Urban-Rural Development, the State Forestry Administration and other relevant departments have conducted research on the first phase of the pilot projects in the rural areas. Therefore, in this investigation, we focused on examining the Chongqing Star Suite Gate and Wuhan Sennuo. Weir flooring, Zhejiang beautiful island floor, dream Tianmu door, Fudeli floor, Dazhuang floor six companies pilot conditions. The investigation content includes the reporting materials (including the modes of the enterprises going to the countryside, product types, publicity, sales, etc.), the production of products going to the countryside, the physical distribution of the products in the countryside, and the use of the farmers.

After a week of research, we synthesized various data and interview information to form this report. It also hopes to attract the attention of people both inside and outside the industry and jointly promote the next step in the development of wooden building materials to the countryside:

Model: Enterprises under the Subsidy for Self-supporting Subsidy and Cost Reduction

Compared with the previous “home appliances to the countryside” and “cars to the countryside”, the biggest difference in the trial activities of the wooden building materials to the countryside is the subsidy method. The pilot project for the construction of wooden building materials in the countryside is not a financial subsidy for the government. Instead, the company sells the products to farmers at a price that is at least 15% of the current market price, which is a direct benefit to the farmers. Therefore, the company’s strength and channel implementation are It is a very strict test. Therefore, many consumers have been questioning whether this self-subsidy has actually been realized or whether it is just a gimmick of the company. We also have doubts about these subsidy, and we have carried out verification with the company.

In the interviews, we found that although self-distribution does have a certain impact on corporate profits, most of the companies participating in the first batch of pilots have already achieved the transfer of non-operating costs through their own methods. For example, the Star Suite door and the Sunowell floor, respectively developed its own production line, and patented lock technology, thus eliminating the need to purchase equipment and patents abroad to pay a large fee, thus achieving their subsidy to the countryside . For the middle and high-end beautiful islands and Meng Tian Mumen, they passed the "1+1" model of network supergirls, which greatly reduced the operating costs of both advertising and logistics distribution, and realized the sharing and integration of the resources of the sales network, thereby separating the invalid costs. Farmers.

Effectiveness: Sales have generally increased rural consumption potential

Whether or not the wooden building materials can be brought into rural areas to stimulate consumption in rural areas, how is the acceptance of wooden doors and floors by farmers? This point is also the focus of this visit. From the report data provided by the company, it can be seen that as of October, the three pilot regions of Sichuan, Chongqing, and Kaixian have achieved a total sales revenue of 38.23 million yuan, an increase of 34.4% over the same period of 2009 of 28.84 million yuan. From August to November, Dazhuang achieved a 67.4% increase in sales revenue in the domestic market compared with the same period in 2009, of which building materials for rural areas contributed 10% to the growth rate. According to data from September and October of Fudeli's floor, the two pilot provinces of Jiangsu and Zhejiang achieved a sales income of 1.762 million yuan for the floor products sold in the countryside, up by 24.3% over the same period. During the 8-10 months between Sennolville and Hubei, Shandong, and Sichuan, the sales revenue of the pilot areas reached 43.29 million yuan, an increase of 33.1% from 32.27 million yuan in the same period of 2009.

From our visits to local farmers, we also learned that because these flooring products are similar to ceramic tiles, they are superior to each other in terms of warmth and safety. Therefore, many farmers now choose to decorate. Floor. Because of the beauty and other reasons, the wooden door is also greatly replacing the original iron gate. In the process of purchasing products, the farmers often choose not the cheapest one among the products in the countryside, and some even choose the high-priced non-countryside products after they are attracted to the stores by the slogans of building materials in the countryside. . These all reflect that the current rural market spending power, and further tap the rural consumer market, will become the future direction of development of building materials companies.

Outlook: raw materials increase pressure on 2011 companies said they will not give up the countryside

It is not only the focus of the company's attention, but also the concerns of rural consumers, because we can obtain government subsidies. We also interviewed Shi Feng, secretary general of the China Forest Product Industry Association, on this issue. He said that the company’s serious and solid approach to building materials to the countryside has also made the association feel pressure. In 2011, the focus of the central document may be water conservancy construction. If the building materials are not reflected in the documents, the central government has no way to quickly realize the subsidy for building materials to the countryside. So what way to push this work forward? Worth thinking.

In response to this, most companies have stated that participating in the construction of the building materials to the countryside is a response to the central call, but the biggest reason lies in the needs of companies and the industry itself. Xue Zhong, manager of the Dazhuang Group Planning Department, said that with the intensification of urbanization, building materials to the countryside has become a major trend. Liu Xiaojun, chairman of the Star Set Doors, said that enterprises must be bigger and stronger, building materials to the countryside must be seized, seize the opportunity, be able to run large, small profits, to create the benefits of this enterprise. According to Zeng Zhiwen, the general manager of Meidao Flooring, although the current rise in raw materials has given pressure to enterprises, they will not stop the pace of building materials to the countryside, because this is also a strategic layout for enterprises to cultivate a market and nurture a brand.

Current problems:

However, since the current subsidy is independent of the enterprise, the whole work of the countryside is also based on the spontaneous nature of the enterprise. Therefore, for the specific forms of subsidy, the enterprise does not have a more unified model. The unfavorable trend of the entire economic background has indeed given certain pressure on the enterprises. Many companies pointed out that under the current circumstances, building materials to the countryside can only be limited to the production bases of enterprises. If it develops to the whole country, the enterprises' affordability is limited.

In addition, in promoting this piece, although the company will also give local dealers a certain amount of money to allow him to play outdoor advertising, including broadcasting, including some of the company's own publicity, but from the results of the survey, many farmers still look through the store The publicity slogans outside the store knew that building materials went to the countryside, so the current publicity efforts were still a bit small.

Finally, because of this visit to the countryside, we also visited the farmer's home along with the company's rural vehicles, and from the distribution shops in the town to the farmer's homes in the village, the road is still rather rugged and time-consuming. Just to send dozens of flat floors in the past, fuel costs, logistics costs are still very high. In fact, these will cause some obstacles to the construction of the building materials to the countryside. Therefore, we also look forward to being able to attract the attention of relevant departments and provide subsidies for enterprises from the national policy level in order to help enterprises achieve better benefits for agriculture.

Of course, during the entire inspection process in the countryside, we also found that the pilot companies were not uniform in the work of building materials to the countryside. How to proceed to the next stage, but also need to be better adjusted to ensure the entire building materials to the countryside The team's high standards and high cohesion.

Can be used for reference:

It should be said that although the degree of economic development varies between inland rural and coastal rural areas, the number of rural areas visited by us this time is higher, and the degree of urbanization is higher. Farmers have higher acceptance of new things from the outside world and the entire building materials go to the countryside. The atmosphere is better. By going to the countryside, the increase in the sales volume of the enterprises has indeed stimulated their enthusiasm for participation. The development of the nationwide production base and the development of the rural areas have opened up a good start for the next step in building materials to the countryside. And we also found that some of the companies had done a better job in the whole process and summed up hope that they could give some reference to the later.

For example, Dazhuang's naming of products to the countryside is based on a solar term. The peasants feel very warm, especially the one on Tanabata, which is a very sensational feeling. When we ask, this one is also the best seller. Some fancy names may mean that farmers do not understand what the name really means. Instead, they lack the interest. This is worth learning from.

Second, in the promotion of products to the countryside, companies can seize the consumer psychology of some consumers. For example, you gave him 10 products to go to the countryside, the highest gap is 90, the lowest 70, only 20 yuan, but farmers often choose the highest price among all the products in the countryside, companies can also think about How to use this.

In addition, the current work of enterprises to help local farmers plant economic fast-growing forests and plant bamboos is also consistent with the principle of building farmers to the countryside and benefiting farmers. It is worth promoting and learning.

The "1+1" model of Mengtian and Meijimao joining the countryside not only provided farmers with services such as the supply, installation, and after-sale service of wooden doors and floor materials, but also greatly reduced the operating costs of both sides in advertising, logistics and distribution. The sharing and integration of resources for sales networks is also worth learning.