Libang to grab food from the mouths of powerful ethnic tu enterprises?

China Paint network
: furniture paint market a "wolf" came! On May 28, reporters learned from the 9th China International
Aquatic Wood Coatings
Development Seminar" held in Beijing that Libang China officially announced the establishment of a commercial
wood paint
business division, into the furniture
paint
market, which also marked an important step forward in the strategic layout of Libang's full coating system.
the development of Libang furniture paint has stagnated?
in 2014, Libang China acquired the well-known wood paint brand, Olong Paint, further strengthening the market position of home wood paint. However, the reporter learned that although Libang China has a strong position in the field of home wood paint, but in the field of industrial wood paint (furniture paint), but it is zero market.
According to the "China Paint Top 50 Enterprise Rankings", Libang China's 2014 sales revenue of 13.485 billion yuan, and the vast majority of the market share is contributed by
building coatings
accounted for more than 70%, especially
latex paint
in the Chinese market occupies a strong position. In contrast, home wood paint has a relatively small market share, while furniture paint is almost zero.
analysis above, why is Libang China stronger in the field of architectural coatings, while furniture wood paint and industrial paint development is slower, the market share is low? Among them, it is retroactive to Libang China's parent company and the original management system.
industry analysts say Singapore is a trade and finance-based economy, with the parent company of Libang China also affected, resulting in strong market operations and poor technology development capabilities. Latex paint market needs a strong operating capacity, and the technical requirements for products are not high, just to facilitate Libang to play its market management capacity strong advantages, but in industrial paint and other technical requirements and marketing capacity requirements are relatively low in the market, Libang can only rely on Japan
coatings company
The technical support of the, and in the absence of support from Japanese paint companies, the shortcomings of Libang's poor technical capabilities are exposed, which leads to Libang's slow development in the field of industrial paint, while Libang's introduction of new latex paint products, mostly due to marketing needs, rather than product improvements.
addition, although Libang at that time for the Chinese furniture paint market set up a "furniture paint project" department, but has been in the initial stage of operation. More importantly, due to Libang's lack of long-term business experience, resulting in brand image is positioned in latex paint, and affected the development of Libang in other paint markets, of which the furniture wood paint market share is less is a typical example.
why does Libang have to grab food from the mouths of powerful ethnic tuan enterprises?
statistics from the National Bureau of Statistics show that China's total paint production reached 16.48188 million tons in 2014, an adjusted increase of 7.87 percent year-on-year. Among them, in 2014, China's total
prom industrial coatings
total output reached 11.1253 million tons, accounting for 67.50% of the country's total paint production;
by segment, in 2014,
anti-corrosion coatings
production is about 4.7952 million tons (conventional anti-corrosion coatings and
heavy anti-corrosion coatings
), accounting for 29.0
9 percent of the country's total output
; 0.80%; China's
powder coating
production is about 1.3335 million tons, accounting for 8.09% of the country's total output, industrial wood paint (furniture paint) production is about 1.2473 million tons, the output value of about 25 billion yuan, accounting for 7.57 percent of the country's total output.
"2015 China's paint industry professional market segment competitiveness ranking." According to the rankings, China's top 20 furniture paint enterprises, in addition to AkzoNobel, China Resources coatings are foreign-funded enterprises, all other are national
coatings enterprises
.
statistics, China's national paint enterprises in the industrial wood paint (furniture paint) market share accounted for about 90% of the total amount of wood paint. At present, the national paint enterprises are
wood coatings
in the field of the absolute main force, the emergence of a large number of leading enterprises such as Jiabao, Zhanchen, Dabao Chemical, Bards, Changrunfa, Junzilan, Chibasong, Huilong, Hongchang Chemical and so on.
, then, why Libang in the national paint enterprises such a strong situation, but also to squeeze the furniture paint market?
" for the future of the Chinese market, I think architectural coatings will be more and more difficult to do, on the contrary, furniture wood paint market has maintained a high growth. "That's what Zhong Zhonglin, president of Libang China, said when he visited Chen Huiting, managing director of Huilong Coatings, in Heshan. It is not difficult to see that Libang China actively planning furniture paint has long-term considerations, that is, to speed up the furniture paint market in China layout, from the furniture paint market to grab a certain market share, further bigger and stronger.
And according to industry sources, Libang China in 2012 introduced with "China's paint industry professional manager first person" called Guo Wei, when Guo Wei did not immediately take office, but spent nearly 3 months in all parts of the country to do furniture wood paint market research, "this is actually for Libang layout furniture paint market to do pre-preparation." The industry insider said.
analysts pointed out that Libang China's entry into the furniture paint market, but also to expand market share, to achieve the established sales targets. It is understood that Libang China has long set a target of reaching 30 billion yuan by 2015. "In 2015, with the second half of the year still to go, it's getting harder and harder to reach the $30 billion target."
china wants a piece of the furniture paint market, which is a well-established fact, but how to rob, it remains to be seen. However, there are also media analysis that, in the face of domestic national paint enterprises in the furniture paint market strong, Libang China want to independently set up their own furniture paint factory, obviously unrealistic, will also consume a lot of capital, acquisition or joint venture plant, may become Libang China based on the furniture paint market the best choice.
Reporters note that Libang China in fact very early in the layout of China's furniture paint market, but also contact with a lot of domestic furniture paint enterprises, such as Gentleman's Lan, Huilong paint, these are Libang China's intention to buy enterprises, and with it in-depth negotiations, but ultimately did not negotiate. "There is a good chance that furniture paint companies will be acquired domestically in the future." People familiar with the matter told reporters.