The downward trend of the home economic prosperity index is obviously picking up

 

After the October building materials home improvement index (abbreviated as BHI) jumped to the highest point in the year, BHI in November came to a "big diving". A few days ago, the Department of Circulation Industry Development of the Ministry of Commerce and the China Building Materials Circulation Association jointly released the November BHI index of 114.31, a decrease of 8.91 points from the previous month. Although the downward trend of the home improvement index is obvious, the industry generally believes that this year's building materials and home furnishing industry is a "warm winter" compared with last year.

 

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The main reason for the decrease is the low season

 

After entering November, the weather became colder, which was not conducive to paint and other constructions, and the home market entered the traditional off-season. "Seasonal factors are the main reason for the sharp decline in the home business climate index." Mr. Gu, the head of a decoration company, said that after November, their home customers are about one-third of the normal period, such as a normal period. There are twenty or thirty customers visiting each month, and only seven or eight customers in November. In terms of the number of starts, there were 80 or 90 companies a month, and now there are 40 or 50 companies.

 

Another reason for the decline in the BHI index is due to the impact of the real estate market. As a downstream industry of the real estate market, the building materials and home furnishing market always fluctuates due to fluctuations in the housing market. Data from the National Bureau of Statistics show that in November, the real estate development prosperity index (referred to as the "national housing prosperity index") was 96.38, down 0.5 points from the previous month. "In addition to seasonal influences, recently, under the background of increasingly overweight real estate regulation in various places, the property market has also begun to gradually decline, and the building materials and home furnishing market has been affected by it. The decline in BHI is reasonable." Qin, executive vice president of China Building Materials Circulation Association Account theory.

 

Year-on-year rise releases warming signal

 

However, although the BHI fell by 8.91 points in November, the index still reached 114.31, which is a middle-high run, especially compared with November last year, an increase of 4.17 points. In this regard, Qin Zhanxue and many people in the household industry in Nanjing have analyzed that this is a positive signal from the industry's recovery.

 

"From this year's home economy index table, the November index is only next to October, September and August, which is higher than the index value of the peak decoration season in May." Nanjing Decoration Materials Trade Association Secretary-General Qu Zhi introduced that since the second half of this year, the building materials and home furnishing market has been improving, and the market is picking up. Many home building materials brands completed their annual sales tasks early.

 

"Even after completing the sales task, there are still many promotional activities in the home building materials market in November, and the popularity of each event is still very high." This is an important factor that makes professionals think that this year is a warm winter. For example, the Decoration Readers Festival hosted by the Jinling Evening News in November attracted thousands of people to purchase; the multi-year decoration collection activities held by several decoration companies such as Jinhua, each event can attract hundreds of families to participate, and so on.

 

The store's annual sales target is still almost

 

The China Building Materials Circulation Association also announced the sales for the first 11 months of the above-mentioned building materials home furnishing stores across the country. The cumulative sales from January to November were 1,140.7 billion yuan, down 0.47% year-on-year.

 

It can also be seen from this data that this year's home sales market has not yet completed some of its sales tasks and has not been completed. At the end of the year, it has also become the last opportunity for some home stores to sprint. During this time, many stores are opening warehouses, and some Inventory is promoted in the form of "limited edition", and the discount will occasionally be less than 50% off. "So this time can be regarded as a big copy at the end of the year, and there are many specials, and most of them are mainly small pieces of furniture and soft clothes." A store staff member said, "At the end of this year, there will be a small climax of sales of these products.

 

In addition, the participation of the Internet has become a highlight of the home market promotion at the end of this year, and it has also become a driving force to attract decorators to purchase in the off-season decoration. Home stores and decoration companies such as Red Star and Yuexing will interact with consumers through various online media such as Weibo and WeChat. In the decoration company, face-to-face decoration is even directly renamed as "No. 1 Home Furnishing", transforming into a home improvement O2O model. (Editor: Peter)

 

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