In the flooring industry, the first-tier and second-tier markets are now saturated, leading to a period of intense competition and market restructuring. As a result, many flooring companies, especially small and medium-sized ones, are turning their attention to the third- and fourth-tier markets as a new growth path. Successfully navigating this shift requires strong strategic planning and adaptability. Companies that can seize this opportunity will be better positioned to thrive in the evolving landscape.
At the same time, building a strong service brand is essential for long-term success. Even in tough times, companies must maintain profitability, which depends heavily on both sales performance and customer service. In China, there are countless flooring manufacturers, but only those that focus on improving their service quality will stand out. Simply focusing on production without investing in customer experience will lead to difficulties in the future.
The flooring industry is highly competitive, with key challenges centered around “three-point production and seven-point installation.†Since flooring is a long-term, high-frequency product, pre-sales design and after-sales installation services must be reliable and timely. Consumers today are increasingly aware of the importance of these services, making them a crucial differentiator in the market.
Currently, the concept of full-floor solutions is gaining traction, but most consumers are still in the early stages of adoption. They lack deep knowledge about the entire flooring process and require more guidance and support. Companies that can quickly introduce comprehensive "floor living services" will not only capture consumer interest but also build a strong brand image in the minds of customers.
Improving terminal channel construction is another critical area. The home industry has faced multiple pressures in recent years, yet some companies have continued to expand, opening new stores and increasing their retail presence. However, rising operational costs and homogenized strategies have made it difficult for many flooring businesses to sustain growth.
To address this, flooring companies need to take proactive steps in managing their terminal channels. This includes forming partnerships with store alliances, negotiating better rental terms, enhancing store aesthetics, and boosting marketing efforts to attract more customers. These actions can help create a stronger presence in local markets.
Today, the flooring industry is at a turning point, with new sales models and distribution channels emerging. Many companies are choosing to open independent image stores near large home improvement centers or collaborating with other brands in prime locations. These strategies allow them to reach a broader audience and build brand recognition.
While well-known national brands have already established themselves in first-tier cities, the market there is highly competitive and saturated. With real estate regulations shifting, the third- and fourth-tier markets are experiencing rapid growth. Many flooring companies are now looking to these areas as untapped opportunities. Although the county-level market is still developing, it offers significant potential for growth, especially for companies that entered early and built a strong local presence.
Despite the dominance of some national brands, the market is still fragmented, and no single player has achieved an absolute advantage. Local companies in district and county markets have a unique edge due to their deep understanding of regional needs and customer preferences. It’s possible that, in the near future, a local company could emerge as a major player in the Chinese flooring industry, challenging the status quo and reshaping the market landscape.
Ningbo Safewell Plumbing Co., Ltd. , https://www.safewellbrass.com