Yueqing hardware tools industry to create an economic "upgraded version"

Abstract Since the development of China's hardware tools industry from the last century to today, its marketing characteristics have gone through four distinct stages, namely product marketing, standard marketing, service marketing and brand marketing. These four marketing strategies are both independent and compatible. The generation of each mode...
The development of China's hardware tools industry from the last century to today, its marketing characteristics have generally experienced four distinct stages, namely product marketing, standard marketing, service marketing, brand marketing.

These four marketing strategies are both independent and compatible. Each model has its own specific economic environment.

Product Marketing: Product marketing is the initial model of marketing, which is based on the production of enterprises. It is not from the perspective of consumers to design, research and develop, and manufacture products. The concept of following is what is produced and what is sold. This model is mainly generated during the period of planned economy and the initial period of market economy.

Standard marketing: The so-called standard marketing refers to the use of enterprises in the industry to participate in the role of national standards setters, the use of this resource as a credibility, stop spreading. Standard marketing is not a true marketing model, but a marketing tactic that only a handful of companies can use.

Service Marketing: The so-called service marketing refers to the service of consumers as the focus of marketing, on the basis of products to carry out a full range of services, to obtain the trust and dependence of consumers. After the hardware marketing industry in China experienced the product marketing era, the production capacity gradually became excessive, and the supply and demand situation of oversupply began to appear. Coupled with the impact of large foreign companies, the whole industry began to think about service marketing different from product marketing. As a hardware tool for industrial products, especially professional tools, the requirements for consultation, training, and maintenance in the sales process are relatively high. Therefore, the purchaser purchases not only the product, but also a product life. Cycle process services, so many companies began a service marketing model.

Brand marketing: The so-called brand marketing refers to the marketing strategy and process of creating brand value by using the brand demand of consumers, and finally forming the brand benefit. Through the use of various marketing strategies, the target customers are recognized by the brand and products and services. Know the process. China's hardware tools industry has officially entered the era of brand marketing, and almost all companies of scale have begun brand marketing. The essence of brand marketing is to seek the differentiated positioning of the brand, break the value marketing of the product, upgrade to the brand value marketing, and turn the added value of the brand into the customer's trust and profit growth point.

Only enterprises develop hardware tools into a strategy, rather than expedient measures to overcome the crisis, and change the organizational structure of the enterprise, invest resources to investigate, formulate new operating models, train talents, and organize forces to implement. In order to seize the opportunity and become a winner.

The production operation of the enterprise is normal, the economic operation of the industry is in a reasonable range, and the product structure adjustment has undergone positive changes. Although many difficulties and challenges are faced, the total output value of the industry has increased steadily, achieving a total annual output value of about 3.2 billion yuan, compared with 2013. Slightly rising. This is the news that a reporter recently obtained at the Second Session of the Fifth Hardware Conference of the Municipal Hardware Tools Industry Association.

Cai Fang, president of the Municipal Hardware Tools Industry Association, said that in the 14 years since the establishment of the association, there have been 129 member companies. Last year, eight representative production companies were recruited to join the association. This is the year in which the association has been established to develop the largest number of members. Over the years, the association's enterprises have adhered to the concept of keeping the main business, strengthening the industry, stabilizing growth and promoting development.

Stick to the main business and win the market

City Great Wall Tools Co., Ltd. has been specializing in the production of medium and high grade carbide saw blades, diamond saw blades and pneumatic nail guns. Over the years, the company has adhered to the research and development of these three product series. With years of production experience, strong technical force, advanced equipment and scientific management, the three product lines have won a larger market. At the same time, while ensuring the production of quality products, the responsible person of the company increases investment every year, pays attention to the cultivation and introduction of scientific and technical talents, accelerates technological innovation and product development, and improves the technological content of enterprises, thus enabling enterprises to win more market space.

Fangda Holdings Co., Ltd., formerly known as Zhejiang Fangda Tools Co., Ltd., was founded in March 1997. The company also specializes in the production and operation of more than 20 series of more than 500 specifications of carbide hammers, steel chisels, woodworking cutters, saw blades, air nail guns, hole openers, hard alloys, electric hammers, electric picks, etc. . Because of its main business, the company currently has more than 200 professional collaboration factories, with more than 100 sales departments and special distribution offices throughout the country. The products are exported to Europe, America, Middle East, Southeast Asia, Africa and other countries and regions.

Zhejiang Dewei Cemented Carbide Manufacturing Co., Ltd., located in Furong Industrial Zone, has always focused on the production of drill bit products. For more than two decades, the company has specialized in fine products. This year, the company won the title of “2014 Yueqing Foreign Economic Industry Advanced Enterprise”.

It is understood that many members of the industry have been sticking to their main business for decades. For decades, these companies have been groping their main business and constantly developing new products. In 2014, the fully automatic high-frequency induction drill welding machine independently researched and developed by the Great Wall Tools Co., Ltd. won the “First Prize of Industry Technology of 2014 in Yueqing City”. The automatic equipment replaces the manual automatic welding, fixing, welding, correction, and cutting a series of welding processes, which enhances the comprehensive strength of the enterprise and escorts the product quality and economic development of the enterprise.

Stick to the main business and win a bigger market. Today, most of the members of the City Hardware Tools Industry Association have gone abroad and are exported to many countries.

Strengthening the steady development of the industry

Founded in 1979, Zhejiang Fangcheng Tools Co., Ltd. has been adhering to the products of drill bits and power tool accessories for decades. It is currently one of the domestic manufacturers of series of construction drills and power tool accessories. In order to become a strong industry, the company invested in technical reform funds every year. In 1987, it obtained the national export product quality license. In 1990, he won the first prize of export-oriented enterprises in China's coastal areas. In 1999, it was recommended by the Science and Technology Quality Supervision and Evaluation Committee to recommend products to the EU market. In recent years, in order to enhance the strength of the company, 5 million yuan was invested in equipment renewal and machine substitution. The company's chairman Cai Fang listened to the introduction, like the welding workshop, the past 15 people, welding more than 40,000 drill bits a day, the workers are busy from morning to night. Today, the welding shop is replaced by a machine, and two people have completed the workload of the past 15 workers.

Because of strong industry, the company's products enjoy a high reputation in the domestic and foreign markets, the products are exported to Europe and the United States, the Middle East, Southeast Asia, Hong Kong and Taiwan.

Yueqing Hongde Metal Co., Ltd. has increased its investment in recent years and introduced advanced technology in equipment. Liang Jian, chairman of the company, introduced that by strengthening the industry and introducing advanced equipment, it not only saves manpower, but also improves efficiency. After the introduction of advanced equipment, in the process of producing drill bits, there are fewer processes. In the past, only one part of the material was broken. One ton of material took three or four hours. Now, when the machine is replaced, this process disappears directly.

Zhejiang Ruiheng Precision Tools Co., Ltd. was established in April 2000. For more than ten years, the company has focused on production, valued product quality, and increased investment in research and development. In 2004, the company passed the ISO9001 quality management system certification and ISO14001 environmental system certification. At the same time, Wenzhou City R & D Center was established in Wenzhou, and talents were engaged in research and development. The National Torch Program was implemented twice. From 2006 to 2013, it was recognized as a national high-tech enterprise for three consecutive times.

Lin Jiazhong, chairman of the company, believes that industrial transformation and upgrading must rely on scientific and technological progress. In order to make the company sustainable, the company has spared no expense to introduce automation equipment and technical talents. In recent years, it has invested a total of 50 million yuan and successfully developed precision cutting tools for printed circuits and precision tools for CNC machine tools.

Through technological innovation and technological transformation, the company's economic efficiency has been significantly improved. The number of workers employed by the company has decreased from 150 to 90, a decrease of 60, compared with a 40% drop, and the “machine substitution” has been realized. Gross industrial output and sales revenue increased by 100%, and profits and taxes increased by 60%. The labor productivity of all employees has increased from 200,000 to 660,000, more than double the growth. This year, the company plans to invest another 10 million yuan to expand the production line of precision CNC machine tools for the production of high-end machinery and equipment. It is expected that the production capacity will increase by 20 million without increasing labor and labor, and the profit and tax will be increased by 4 million.

According to industry analysts, after more than 20 years of development, hardware tools have become one of the most comprehensive industries in China's science and technology hardware market. In recent years, with the increasingly strong market demand at home and abroad, hardware tools are even more Entered the gold sales period. As the hardware tool industry association of our city, in order to grab more shares in the international market, we must seize opportunities and highlight individualized development, from the traditional tool industry to the fashion industry.

Relevant people believe that in the future development, the hardware and tools industry needs to explore new ways, such as building a rural market, it will be a clear choice of industry direction. Let the development of hardware tools in the township market with great potential is a big trend and a fertile ground for cultivating brands. At the same time, they raised the current problems, because the timing and challenges coexist.

For example, the industry leader is not strong. The leading enterprises in the hardware and tool industry are not obvious in the domestic and international market technology and overall competitiveness of the industry; the technological innovation capability is weak, and the hardware tool industry needs a national-level technology research and development center; the market structure is too single. The main business of hardware tools comes from foreign trade orders, and the dependence on exports is too high. Under the influence of the economic crisis caused by the international financial crisis, the export markets of these enterprises are shrinking, which poses a serious threat to the survival and development; brand building is relatively lagging behind. Most of the hardware tools rely on OEM production, lack of visibility and core competitiveness, lack of public platform services, and the central role played by industry associations remains difficult.

Therefore, for the hardware and tool enterprises in our city, if we want to become the mainstream brand of the industry and occupy a stable market share, we must do a good job in brand marketing system deployment in the next 5 years, and use 5 years to complete the brand strategy. It is an urgent task and an important issue to form brand awareness, reputation and loyalty among dealers and purchasers, enhance the core competitiveness of enterprises, and strive to increase the added value of corporate brands.

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