Analysis: When the price increase of the wood industry "surge"

The price hike of building materials products is an inevitable trend in terms of the overall situation, but for consumers, it is the issues they really care about. It is not a very sensible practice for a wooden door company to raise the price of its products. How to balance the relationship between market value and price is always a problem that companies need to pay attention to.

Many wooden door companies have started to increase their factory prices in order to maintain their survival. The market price of wooden doors has also risen correspondingly. Behind this is the pain of price rises that are unbearable to consumers. The following Xiao Bian analyzes the “price” of current wooden door industry for you.

The price of wooden doors has continued to rise. Recently, Xiao Bian deliberately visited some large building materials markets on the rumors of prices of building materials such as wooden doors. It is understood that with the rise in price last year, prices have been related to home improvement building materials such as wooden doors, floors, bathrooms, tiles, paints, cabinets, and wardrobes. In the interview, most wooden door dealers stated that they would raise the selling price of the products to a certain extent. Hopu industry dealers disclosed to Xiao Bian that: “As the store rents rise, if the product does not increase in price, profits It is quite low, we have started to increase prices this year, or about 10%.” Chengdu, a building materials market manager revealed that many small and medium-sized wooden doors brand each time the rate of increase is not large, are in the 5%-10% or so; but part Well-known brands of wood doors rose more. For example, for a large-sized brand, a “classic beech” series of wooden doors, the price is increased by 15%.

Industry insiders said: “After two years of rising prices, the price of wooden doors in China ushered in a relatively stable period, but after the major festivals such as “May 1st,” new wave prices are brewing. The price increase in July is inevitable."

The main reason for rising prices is the increase in costs. According to the multi-market visits, the main reason for the continued increase in the price of building materials such as wooden doors is the increase in raw materials and labor costs. Industry insiders stated that since the start of last year, companies have been burdened with rising costs, but they have not been anxious to adjust prices due to the bad market. After one year's self-digestion, enterprises have become very difficult not only to make profits, but even to run their normal operations. Upgrading prices is indeed a frustrating move.

According to a person in charge of the wooden door of a certain brand, the price of raw materials has soared in recent years, and the prices of raw materials such as logs and alloys have continuously increased. The increase in the price of imported wood can be described as crazy. In the first half of this year, the price of the Vietnamese pear at the beginning of the year was about 2 million yuan/ton, and now it has risen to 3.6 million yuan to 4 million yuan/ton, an increase of up to 100%.

According to reports, in addition to the increase in raw material prices, the cost of corporate designers and workers is also rising, and labor costs have also become an important reason for prices of building materials such as wooden doors. With the continuous rise in international crude oil prices, the rise in domestic oil prices has also caused The ever-increasing transport costs, together with the expansion of the scale of some companies, have also increased the costs of the business operations and personnel management.

Enterprises need to balance the relationship between market value and prices. Costs increase and the market shrinks. The wooden door industry has become a consensus in the context of rising operating pressures. Consumers have complained about the constant price increase of wooden door materials, and companies and distributors have no alternative but to increase prices. At this stage, the wooden door companies must not only try to resolve the pressure brought about by rising costs, but also try to eliminate consumer resistance to the heat of price increases, many businesses have expressed a dilemma.

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