FURNITURE PICKS UP AS LOWER INTEREST RATES PUSH HOME SALES
The furniture category improved 29 percent with the resurgence of home buying that accelerated late in the year, following a series of interest rates cuts and a reduction of the down payment for home purchasing.
Furniture brands did not depend entirely on government actions, however. Many brands attempted to stimulate sales by creating more occasions for people to visit physical stores or shop online, sometimes for an individual item but also for a larger purchase to refresh or remodel an entire room. Some brands rotated seasonal or holiday themes during the year.
Like last year, Suofeiya was the only furniture brand in the BrandZ Top 100 Most Valuable Chinese Brands 2016, at number 75. Known for the design and manufacture of kitchen cabinets, Suofeiya drove sales growth by expanding its offering to include products for most rooms of the house. It also raised funds for investing in digital smart home projects.
The industry remained fragmented. Competition increased, even in smaller cities, as furniture retailers expanded to meet the needs of consumers increasingly able to a ord and furnish better housing. Brands marketed with brochures, online videos, and billboards.