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Facing the "Golden September and Silver 10"
The "Golden September and Silver 10" period has finally arrived. In the first half of the year, the real estate market faced a downturn, which significantly impacted the building materials and home furnishings industry. As a result, the recovery of consumer confidence and a surge in sales have become the central themes of this intense marketing season. It's no exaggeration to say that the performance during "Golden September and Silver 10" will play a crucial role in determining the overall success of companies and the industry this year. The anticipation for this event has been building up for some time, with home furnishing brands eager to make their mark and shine.
**Competition is Heating Up**
As a downstream sector of the real estate industry, home stores and renovation companies were hit hard by the market slowdown in the first half of the year. All major sub-sectors experienced a form of "stagflation," where growth was stagnant despite rising costs. In response, many leading home furnishing companies launched frequent in-store promotions, diverse marketing campaigns, and even explored product and brand positioning changes as part of their self-rescue strategies. This proactive approach set the stage for what is now considered the most critical battle of 2014. With the upcoming "Golden September and Silver 10" season, the home industry is preparing for its most aggressive and impactful marketing push yet.
In 2014, the ordinary residential market remained uncertain. Both new and second-hand housing transactions saw a significant drop compared to the previous year. From the property market to the home furnishings sector, there's typically a lag in how industries respond to upstream changes. By May and June, the home market began to show signs of depreciation. According to the national Building Materials and Household Prosperity Index (BHI), the index declined year-on-year after entering June. However, data from July showed a slight recovery, with sales of building materials above designated size reaching 106.27 billion yuan, an increase of 3.74% from the previous month.
Given this challenging environment, the "Golden September and Silver 10" promotion season is more important than ever. It’s not just a key opportunity for major retailers to boost sales and meet annual targets, but also a strategic battleground where companies compete for market share amidst shrinking demand.
**Early Warm-Up Has Already Begun**
Traditionally, promotions rely on discounts and incentives to attract customers. While these methods still work, brands are now looking to create deeper emotional connections through immersive experiences. For example, the "Italian Week" event planned for September aims to bring consumers into the North Fourth Ring Store through brand visits, tastings, and interactive activities that highlight the brand’s story and values. Meanwhile, Jimei Home has introduced an experience center that blends physical and online shopping, offering a more engaging and personalized service.
Many companies have already started their preparations for the "Golden September and Silver 10" season, aiming for long-term brand impact rather than short-term gains. Red Star Macalline, for instance, launched a special event in early August, the “National First 100 City Holiday Banquet Special,†which generated strong consumer interest. Sales during the event were comparable to weekends, showing the effectiveness of such unconventional marketing tactics. With the opening of the Jiangsu Xinghua Shopping Mall, Red Star Macalline expanded to 99 cities, and with the Enshi Mall in Hubei soon to open, it will soon cross the 100-city milestone, marking a significant achievement in the home retail industry.
**Pursuit of Mode Update Under Normal Promotion**
Beyond expanding its city presence, Red Star Macalline is working to turn the "Night Banquet" into a signature promotional event, similar to the "Two Days" event in March. These initiatives aim to establish a national night market brand and reinforce the image of the lowest prices in the home industry. Industry experts note that while many home stores and decoration companies have experimented with the "night market" model, most have done so on a small scale. Red Star Macalline’s approach, however, represents a larger, more strategic move toward creating a nationwide brand.
In the current environment, where regular promotions struggle to capture attention, many companies are experimenting with smaller, innovative strategies. Whether it's the "Night Banquet" focusing on fresh marketing or the "Designer" concept emphasizing in-depth service, these approaches aim to better serve consumers and build stronger relationships.
**"Golden September and Silver 10" Carries a Sense of Concern**
Despite the ongoing challenges, the home industry is seeing a general trend of stability. Many industry leaders believe that this year’s "Golden September and Silver 10" may not be as strong as in previous years, with increased pressure on the market and higher expectations from consumers. However, this situation also presents opportunities for businesses to tap into untapped potential.
According to insiders, while promotions can help boost sales, blind price cuts often harm brand value and deepen market fragmentation. Instead, targeted services and personalized solutions may prove more effective. Some companies are focusing on high-end markets, such as the newly opened European-style luxury pavilion, aiming to capture a niche audience. Customized furniture is also gaining traction, as it offers greater flexibility and resilience against market fluctuations.
Moreover, the idea of "product is king" remains strong. Environmental protection, green living, and health-conscious products are becoming increasingly popular. In the high-end segment, products with superior quality and strict standards are winning over more consumers. This shift reflects a growing awareness among buyers who prioritize sustainability and well-being in their purchasing decisions.