Sanitary ware 2014: Enterprise acquisition wave frequent brand integration trend

China's sanitary industry, after experiencing the rapid growth period from 2003 to 2006, entered 2007, 2012, with the price of raw materials, financial crisis and other market turmoil, the sanitary industry began to wave constantly, brand merger and acquisition, alliance frequency: American standard twice changed owners, finally was Inai into the bag; Eagle brand sanitary ware, Gisshido sanitary ware has been taken over by Le Jia; Kohler has acquired Zhuhai Jiade Kitchen and Bathroom, Zhongshan Jiafeng Sanitary Ware; Yingzhaofeng International, a wholly-owned subsidiary of Seagull Sanitary Ware, acquired Chengou Sanitary Ware, and Seagull Sanitary Ware acquired Sanying Sanitary Ware; Chongqing Textile Group wholly acquired Siwei Sanitary Ware; Fujian Luda and Hecheng, Zhongyu and Grohe have reached strategic cooperation.

Sanitary ware 2014: Enterprise acquisition wave frequent brand integration trend

In the author's opinion, with the development of bathroom industry, brand integration is an inevitable trend. Indeed, in 2013, the number of bathroom acquisitions intensified: American Standard and Grohe merged with Lixil; The acquisition of Alliance Plastic profit high. Of course, the frequent occurrence of these acquisitions also indicates that the transformation of the industry and the integration and utilization of resources are gradually being perfected.

Internal and external dilemma competition intensifies, sanitary ware optimization industrial structure

In recent years, with the decline of domestic consumption power, export volume overall decline, sanitary ware industry bore the brunt. A large number of domestic export based sanitary ware brands quickly move to the domestic market, and many of these brands have strong production scale and certain technical strength, domestic market competition is bound to intensify, "big fish eat small fish, small fish eat shrimp" has become inevitable, or acquisition and acquisition, or cooperate with each other, sanitary ware industry brand integration is bound to further intensify.

Compared with the acquisition mode of non-industry capital, in 2013, the acquisition of the industry is an important measure in the process of structural adjustment of sanitary ware industry. It is understood that at present, there are about ten thousand sanitary ware manufacturers in China. With the strengthening of the government's supervision of the sanitary ware industry, it will become the trend to eliminate small and weak enterprises by shutting down and transforming the way to optimize the industrial structure. Not only that, with the intensification of competition in the sanitary industry, local small and medium-sized sanitary enterprises will face the dual squeeze of national first-line sanitary brands and regional strong brands, and the survival pressure will be more and more great. Therefore, the industry said, merger and reorganization is to improve the concentration of sanitary ware industry as one of the important means and methods.

Brand integration is the trend, strong development depends on the alliance

Brand integration is a new brand management method in recent ten years. It means to carry out the following work in order to maintain and improve the long-term competitive advantage of the enterprise: put the brand management on the establishment of the enterprise "flag brand"; Identify the relationship between the corporate brand or "flag brand" and other brands so that brand family members can support each other; Make full use of the value and influence of the existing brand to expand the brand.

With the increase of sanitary industry adjustment, the merger and cooperation between sanitary enterprises will become a trend. In the future, the competition of sanitary ware industry will gradually evolve into oligopolistic competition, and the living space of small and medium-sized enterprises will be smaller and smaller. Therefore, we should promote the merger and integration of advantageous enterprises in the industry, build a group of brands with international market influence as soon as possible, and build a group of large-scale and powerful large enterprises with strong product development and technical support ability as soon as possible, so as to maintain certain advantages in the competition with foreign counterparts and continue to develop.


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