Air-conditioning industry enters new journey

In early 2009, the policy of home appliances to the countryside was promoted nationwide, and air conditioning became one of the policy subsidy products. In the context of the financial crisis, the policy of home appliances to the countryside was like a “timely rain”, which effectively stimulated rural market consumption, improved the living conditions of farmers, and made many home appliance companies find a new development space in the financial crisis. Insiders told the "Electrical" reporter that the policy of home appliances to the countryside has promoted the vigorous development of the air-conditioner market, and the air-conditioner sales have been greatly enhanced, further increasing the awareness of the rural consumers in brand awareness and consumption.

In the four years of implementation of the home appliances to the countryside policy, sales of air-conditioners in the tertiary and tertiary markets have grown rapidly, achieving both quantitative and qualitative changes. According to the latest data released by the Ministry of Commerce, total sales of home appliances to the countryside in 2012 reached 214.52 billion yuan, of which air-conditioning sales exceeded 30 billion yuan, which is one of the top four product categories for home appliances to the countryside. From the corporate point of view, Haier Group, Gree Group and Hisense Group ranked the top three sales, with sales of 25.05 billion yuan, 18.98 billion yuan, and 17.21 billion yuan respectively, which together accounted for 28.5% of the total sales of home appliances to the countryside. It is worth mentioning that, compared with Haier Group and Hisense Group relying on multi-category wins, it is not easy for Gree to achieve the second-best sales with air-conditioning alone.

Driven by the policy of home appliances to the countryside, the popularity of air-conditioners in the 3rd and 4th markets has increased significantly. According to the data, the air-conditioner ownership per 100 rural households in China has increased from 8 units before the implementation of the “Home Appliances to the Countryside” policy (2007) to 22 units in 2011.

The sales figures from the air-conditioning companies can more intuitively reflect the development of the enterprises in home appliances to the countryside. Gree responsible person said that according to the statistics of home appliances to the countryside information management system, from June 2009 to October 31, 2012, Gree home appliances to the countryside cumulative sales of 13.0622 million units, to achieve sales of 39.80 billion yuan.

Haier's official said that since the implementation of the Home Appliances to the Countryside Policy in 2009, Haier has maintained a stable and rising market share by adjusting the structure of air-conditioning products and upgrading energy-saving technologies. Jin Jie, general manager of domestic sales company of Ningbo Aoke Air Conditioning Co., Ltd., also stated that the sales volume of Oaks air conditioners in 2012 was three times that of the beginning of 2009.

Lu Lanlie, vice president of Galanz Group, revealed that since the beginning of 2009, the sales volume of Galanz air conditioners has increased by 30% every year; by the end of 2012, air conditioner sales in the 3rd and 4th grade markets had accounted for 70% of the total sales volume of Galanz air conditioners.

TCL Air Conditioning Marketing Department Marketing PR Tan Xu detailed the home appliances to the countryside policy to TCL air conditioning brought great changes. According to reports, the domestic sales of TCL air conditioners have grown from 220,000 in the 2009 freezing year to 1.25 million in the 2012 freezing year. Among them, the sales of household appliances to the countryside have grown from less than 10,000 units in the 2009 freezing year to 500,000 units in the 2012 freezing year. “With the promotion of home appliances to the countryside, the proportion of TCL’s air-conditioning appliances to the countryside has gradually increased. When the first bidding was held in early 2009, only 20 models of TCL’s home appliances to the countryside were awarded the bid; the last bid to be held in December 2011 , TCL home appliances to the countryside air conditioning winning bid model has reached 181. 2009 frozen year, TCL home appliances to the countryside air conditioning annual output is only 2,000 units, sales less than 1%; when the 2012 frozen year, the customer 60 More than % is 'downtown machine'.” “Electrical” reporter also learned that, in order to adapt to the rapid development in recent years, TCL air-conditioning reinstated the entire production line of the original TCL Air Conditioner (Wuhan) Co., Ltd., and opened up in the factory area in Zhongshan. New modern warehouse. After the warehouse was completed, the shipment volume of TCL Air Conditioning Zhongshan Plant increased from 1,000 to 20,000 units per day.

It is reported that Gree, Midea, and TCL and other companies have formulated a series of internal management rules for home appliances to the countryside.

In order to standardize the work of home appliances to the countryside and eliminate loopholes in the labeling of home appliances to the countryside, Gree has established the "Measures for the Operation and Management of Home Appliances to the Countryside," and monitors the work of home appliances to the countryside, and strictly manages the application, printing, and identification of identification cards. The production, distribution and circulation of identification cards and the re-issuance and sub-supply of identification cards' barcodes have strengthened the control over the quality of home appliances to the countryside and the management of after-sales services to ensure the smooth progress of home appliances to the countryside.

Responsible person of the United States stated that Midea Air-conditioning has specially compiled the “Home Appliances to the Countryside” business operation manual for home appliances to the countryside, covering the meanings of home appliances to the countryside, operation procedures, channel requirements, subsidy applications, and publicity and promotion. At the same time, the United States has implemented a licensing system for village-level outlets, conducted regular training and assessment of outlet sales personnel and technical service personnel, and ensured high-quality services, excellent technology, and reliable credit.

Deepen the channel to see results In the implementation period of home appliances to the countryside, major air-conditioning companies have always placed channel construction in the most important position. According to the “Electrical” reporter’s understanding, the layout of the 3rd and 4th market channels for Gree, Midea, and Haier are basically completed during the implementation of the home appliances to the countryside policy.

According to the person in charge of Gree, since the implementation of the home appliances to the countryside policy, Gree has attached great importance to the development and construction of market channels at the level of three to four, and gradually created a comprehensive and well-serviced channel network in the rural market to satisfy the peasants at the doorstep The demand for suitable home appliances can be bought through channel sinking and the overall layout and expansion of the rural market.

Midea Group invested more than 1 billion yuan in the four years of home appliances to the countryside for sales network construction and market focus. The person in charge of the United States said that in the promotion of home appliances to the countryside, the United States has added more than 10,000 rural sales outlets. "As of December 2012, the number of stores in the United States has exceeded 15,000, covering more than 80,000 dealer outlets, and the rural market sales network penetration rate exceeds 95%, forming a three-dimensional sales network at different levels and in different regions."

“In the home appliances going to the countryside, Galanz has conducted in-depth cooperation with landmark stores, specialty stores and chain stores in the 3rd and 4th markets.” According to Lu Lanlie, Galanz has established a brand new business model based on its actual conditions, namely, the existing distribution. On the basis of the store channel model, we have strategic alliances with the three or four-tier market landmark stores to display a full range of Galanz products including air conditioning, and focus on building local air-conditioning after-sales service industries to improve point-to-point installation and after-sales service capabilities. In terms of the agency model, Galanz also made breakthroughs and put forward the concept of “small regional agency”. “At the beginning of 2009, the number of Galanz stores was approximately 4,500. Through four years of development, the number of terminal sales outlets has doubled.”

Zhao Weizhong, deputy general manager of Marketing Business Department of Hisense Kelon Electric Co., Ltd., told the Electrical Appliances reporter: “Since the launch of the home appliances to the countryside, Hisense Kelon has added 6,000 stores in the 3rd and 4th level markets. As of the end of 2012, Hisense Kelon's franchise stores in the tertiary and tertiary markets already accounted for half of the total number of franchised stores. In early 2009, the number of franchised stores in the tertiary and quartile markets accounted for only 20% of the total.

Oakes's situation is somewhat similar. According to Jin Jie, in the beginning of 2009, Oaks had only 500 stores in the 3rd and 4th markets; as of the end of 2012, including self-operated shops based mainly on cooperation, Oaks had 10,000 sales terminals in the 3rd and 4th markets.

It is understood that, since the 2012 refrigerated year, TCL Air-Conditioning has continued to increase its investment in resources in the 3rd and 4th markets, actively explore the township market, and increase the channel share; through the joint TCL TV and white electricity, the promotion of the store system construction has been strengthened. In the rural market, resources are complementary, and TCL franchised stores are opened in qualified townships and communities. After more than a year of investment and development, TCL's air-conditioning channel sales outlets (not including chained home appliance channels) have grown from 5,500 at the end of 2011 to nearly 10,000.

It is worth mentioning that air-conditioning after-sales service work in the 3rd and 4th markets is also progressing. According to reports, the United States launched a speeding up service in rural areas. At the same time, the U.S. headquarters call center has recruited a group of after-sales service personnel who are proficient in local dialects to try to eliminate language barriers that may be encountered when communicating with users and to provide users with family-friendly services.

Promoting industrial upgrading With the implementation of the policy of home appliances to the countryside, the overall sales volume of air-conditioners in the tertiary and tertiary markets has gradually increased, and the consumption level and consumption structure are also changing. “Compared with the traditional concept that only the low-end and low-energy-efficient products in the 3rd and 4th markets are different, energy-efficient and environmentally-friendly high-efficiency air-conditioning has gradually become the mainstream of consumption in the 3rd and 4th markets. It is worth noting that the market’s acceptance of new products is even Higher than some first- and second-tier cities, the one-step consumer concept has played an important role in the realization of consumption.” Lu Yonglie said that relative to the expansion of market size, changes in the product structure of the tertiary and tertiary markets and the increase in consumption levels will increase domestic demand. The role of air conditioning technology is even more important.

In order to meet the needs of the consumers in the 3rd and 4th markets, Gree, Midea, Haier, Oaks, Hisense Kelon and Panasonic have actively developed products suitable for rural use in light of their actual conditions. While the state adjusted the air-conditioning energy efficiency standards, the mainstream air-conditioning companies also adjusted their product strategies for the first time and promoted product upgrades in the third and fourth-tier markets.

Gree’s responsible person frankly stated that in the product development process, Gree tailored products that meet the market's needs to the characteristics of the rural market. In terms of functional design, wide voltage, fireproof, rodent-proof, crashworthy and pressure-proof designs are adopted to improve the reliability of the product, and ultra-distance air supply design is used to increase the comfort of the product; in the product design, full consideration is given to consumption in rural areas. The aesthetic concept of the artist adopts motifs and colors based on the theme of “festival” and “harvest”. At the same time, before the products were delivered, Gree also carried out strict tests such as dropping and beating to ensure that the “downtown” air conditioners could adapt to the complicated road transportation conditions in the countryside. "Gree's investment in R&D of home appliances to the countryside is irrelevant. At present, Gree home appliances to the countryside has cumulatively applied for more than 100 patents."

According to the person in charge of Haier, in the process of home appliances to the countryside, Haier introduced a variety of products that meet the needs of consumers based on the climate characteristics, usage habits, air quality, and even voltage of different regions. As the energy efficiency rating of fixed speed air conditioners increases, Haier has stopped the production of energy efficiency grade 4 and 5 products for the first time, and has switched to a product with energy efficiency level 3 or higher, and has applied differential functions such as wide voltage design and ultra-long distance air supply. In terms of products, users in the 3rd and 4th markets are guaranteed to purchase energy-saving and comfortable air conditioners. The person in charge said: "By boosting home appliances to the countryside, Haier Air-conditioner has relied on innovation to drive its development strategy and achieved a successful transformation of its industrial model. In 2012, Haier Air-conditioner laid the foundation for the annual production capacity of 6 million air-conditioning production bases in Zhengzhou. To further improve the Haier air-conditioning production capacity."

Also in the product R & D achieved TCL air conditioning. Tan Xu told the "Electrical" reporter that from 2007 to 2012, TCL Air Conditioning had carried out more than 50 major projects and more than 300 small items of research and development, applied for more than 80 patents, and chaired and participated in the formulation of 43 domestic and international standards. “According to the consumption characteristics of the rural market and the characteristics of building construction and climate and usage habits, TCL Air Conditioning has cumulatively developed 295 products that meet the needs of the rural market and has met the differential needs of farmers.”

According to Lu Yulie’s prediction, after March 2013, the price of energy-efficient 3-level air conditioners will decline and be gradually eliminated by the market. "In the future, Galanz will vigorously promote energy efficiency class 2 air-conditioning in the 3rd and 4th markets."

Into the new journey since the implementation of the home appliances to the countryside policy in 2009, the explosive growth of the three-fourth market has completed the transfer from color TVs, solar water heaters, washing machines to refrigerators and air conditioners. In large home appliances, air conditioners have the lowest number of possessions in the three or four-tier market, which means that the future air-conditioners have the greatest growth potential. Lu Jiebo, deputy secretary-general of the China Electronic Chamber of Commerce, believes that after the home appliances to the countryside policy is over, the competition in the rural market will become a comprehensive battle of comprehensive strength. A business person admits that in the era of home appliances to the countryside, air-conditioning companies "have to be rural people have the world." After embarking on the journey in 2013 and experiencing the "frozen" winter weather, the road ahead for air-conditioning companies has become even simpler - to leave the old policy, adapt to the new environment, and continue to focus on product development and channel sinking.

"As the urbanization process accelerates, the consumer demand of rural consumers increasingly converges with urban consumers. Rural consumers value the heating performance of air-conditioning more, and Haier will promote the market in the three or four markets in the future. 3 minutes fast heat forced air conditioning.” Haier official pointed out that after the cancellation of subsidies for home appliances to the countryside, the retail price of air-conditioning is bound to increase, rural users will pay more attention to the added value of the product, which will provide the development of Haier in addition to formaldehyde and other air-conditioning products opportunity. "It is worth mentioning that the demand for inverter air conditioners from rural consumers is constantly rising. The promotion of inverter air conditioners, especially energy-saving inverter air conditioners, in the tertiary and tertiary markets will further promote the popularization of inverter air conditioners."

According to the relevant person in charge of the United States, Midea Air-Conditioning will launch new products tailored for the air-conditioning market, and focus on quality stability. "The United States will be committed to promoting the fourth and fourth-tier markets in the direction of 'all-DC inverter air conditioner' upgrade."

"TCL Air Conditioning attaches great importance to the development of the rural market. In the TCL Group's sales channels, the rural market accounted for more than 60%. In 2013, TCL air-conditioning sales in the rural market will exceed 800,000 units." Tan Xu said that for In the rural market, TCL will develop more energy-saving and durable air conditioners that meet the needs of rural consumers. “Big brands, durability, energy saving, and festive appearance are still important criteria for rural consumers to choose air conditioning. TCL titanium air conditioning has been widely praised by rural consumers.”

The construction of channels and service networks will continue to be the focus of the air-conditioner enterprises in the era of home appliances going to the countryside. According to the person in charge of the United States, Midea Air Conditioning will pay more attention to the construction of sales channels and service networks in the 3rd and 4th markets, will continue to promote the integration of channels for different products, continue to improve the quality of sales outlets, provide better quality services to farmers, and build a sound marketing network. Cao Xiaoying, head of the marketing and promotion department of Guangzhou Panasonic Air Conditioning Co., Ltd., also stated that through the activities of home appliances to the countryside, Panasonic gradually recognized the importance of the 3rd and 4th markets and will fully explore the terminal market. According to Zhao Weizhong, Hisense Kelon will increase the quantity and quality of the terminals in the 3rd and 4th markets while digesting the early inventory. “Hisense Kelon is very optimistic about the development of air-conditioners in the 3rd and 4th markets, and the development speed of this market will be higher than The first and second markets are faster."