Overcapacity of paints is severely changing in the Chinese market

Business News Agency November 22th When foreign companies enter the Chinese paint market, the problem of overcapacity in China's paint industry is becoming more and more prominent. In 2009, China became the world's largest paint production and consumption country, while the market demand expanded, local paint brands The market share is still low. Some experts predict that at present more than 8,000 paint companies in China will only have more than 1,000 left after reshuffling. For most small and medium-sized paint companies, if they do not adopt a certain strategy in time, it will be sooner or later. It is worth mentioning that the series of marketing strategies adopted by Lingjun's Zhuangdian paint coating brand has attracted the attention of peer companies since its launch. The move of Zhuang Dianqi paint has driven the change of the paint market pattern to some extent.

The strategy of "encircling the cities from the countryside" responds to market competition. Currently, the pattern of the first and second-tier markets in the paint industry has been determined. Most brands such as Dulux, Nippon, and China Resources have occupied the market with many advantages. For other paint companies, it is almost impossible to compete against these big brands in urban areas in the short term. Although many companies have also wisely turned their attention to the blank market in rural areas, they have not had the guts and courage to take a wait-and-see attitude, and there are still very few paint companies that have really entered the countryside. Coupled with the central government's “building materials to the countryside,” the coating companies were somewhat pessimistic. In contrast, after the analysis of the entire coating industry, Zhuang Dianqi, which had risen in 2007, took a decisive “environmental embrace of cities. "The strategy. Zhuang Dianqi enters the countryside as an expression of his active offense. “Rural encircling the city” is considered to be a sharp weapon for the market to break through. As Zhuang Dian painters said in an interview, “Zhuang Dian paint must develop in the paint market for a long time, and it must keep pace with the times and grasp the current development trend of the industry. Now, rural markets as a paint industry The market with development potential is an indispensable strategic direction for Zhuangdian."

Enter the rural high-profile to open up new marketing channels As a paint brand with “Double Ten Rings” certification, “China Paint Top Ten Brand” and “China Well-known Trade Mark”, Zhuang Dian paint adheres to the concept of “winning by quality”. How does Zhuang Dian lacquer, which features high-end paint products, face the special rural market? The rural paint market has so far been basically blank, there is no object that can imitate learning, and the consumption capacity of rural consumer groups is relatively low. What kind of strategy should be adopted when entering the rural market, which is the primary problem that Zhuang Dianqi first needs to solve.

In response to this, the paint companies decisively adopted the “low profile” strategy of entering the rural market. Zhuang Dianqi chose to appear in the rural paint market with the image of “high quality and low price” to cater to the needs of rural consumers. This is very different from the strategy in the first and second tier cities. The only thing that remains unchanged is that Zhuang Dianqi's concept of “winning by quality” is still insisting, while at the same time lowering prices and concessions to the special group of farmers. At the same time, Zhuang Dianqi launched a “high-profile” product promotion strategy and launched a vigorous product promotion in rural areas to quickly open up the rural paint market. Since then, the pattern of the Chinese paint market will have a certain degree of change, and Zhuang Dianqi is the driving force behind this change.