Dong Yi Ri Sheng Yan Yiwen: Exclusive business model is more competitive

Yan Yiwen, Executive Deputy General Manager, Dongyi Risheng Franchise and Product Distribution Division

Mr. Yan: Hello, everyone, I am the executive deputy general manager of the franchise product distribution department of Dongyi Risheng Home Decoration Group . I am Yan Yiwen . I am very happy to have such an opportunity to communicate with the majority of Sina users during this time. Also on behalf of our group company, I would like to thank the netizens for their attention and support to Dongyi Risheng Home Decoration Group .

Reporter: Hello, Mr. Yan. We know that Dongyi Risheng was established in 1996. What kind of business philosophy and service tenet has our company been developing so far? Tell us about it.

Mr. Yan: Speaking of this topic, I am very happy to have this opportunity to communicate this level with you. In fact, the Group has always been committed to serving customers with sincerity as our business philosophy and purpose. “Peestful service to customers” sounds like many people are not very strange, but how can we serve customers with sincerity? This involves a lot of planning and strategies at the level of our strategic knowledge. The business philosophy of providing our customers with our services in a sincere manner has prompted us to upgrade from the traditional home improvement business model to the overall home improvement business model, and to achieve organic whole home decoration, which is the core.

Reporter: After 11 years of operation and accumulation, what kind of sales model and marketing strategy do we adopt?

Mr. Yan: Rather than saying the sales model, it is better to choose one of our business ideas. Any sales model and marketing model will serve your strategic positioning. From the strategic positioning, Dongyi Risheng has always been in the middle and high-end position. Providing differentiated decoration design services to our customers is our core business direction. The sales model is derived from our strategic positioning. It is different from many home improvement companies. Maybe Dongyi is treating customers with sincerity as an evaluation point in our core strategy. How do you say this? From differentiated design to standardized construction, to the selection of environmentally friendly materials, to the relatively standardized and controllable systems of process management, the strategic purpose of serving customers devoutly. Our marketing model is to serve our business philosophy: to serve our customers devoutly.

We also talked about it just now. With this as an entry point, we upgraded our three business models from traditional home improvement to design and construction to supply and service of materials, and later to upgrade to the overall home improvement model, ten styles. The landing products of the system are matched. This is the second upgrade. The third time is the introduction of the organic whole home decoration model. In fact, many people in organic whole home decoration are not too strange to organic. In fact, the concept of organic is not a simple concept. We split the organic whole home decoration mode into four modules. From the introduction of organic and environmentally friendly materials to organic design, organic design is centered on organic and healthy lifestyles, and then organic customer relationships, from customer experience to service supply, to organic product portfolio. Waiting, relying on the support of these four systems, the entire strategic model of organic overall home improvement is realized.

This will provide all home improvement customers with a more environmentally friendly, healthier, more harmonious and even more enjoyable overall home improvement service. From this point of view, the Group's operations, including our strategic promotion, all revolve around the organic overall home improvement model. In short, from the choice of materials, since the establishment of the company in 1996, we have established a global material research and development center, we will choose to surround the organic environmental system, which is based on providing customers with a safer home living environment. Integrating our basic construction materials, all basic construction materials must be environmentally tested and technically evaluated by our Beijing R&D Center. They are in compliance with environmental testing and assessment. All are in accordance with European national standards and are E1 standard introduction materials system. Then, after our research and development in Beijing, we will promote it to our branch offices and channels in the country. From the perspective of material selection, with the more independent and more oriented choices at the group level, a global recruitment and material recruitment center has been established.

After more than ten years, the materials are extended from the level of basic construction materials to the overall level of home improvement products. Later, in 2006, we started the first step of the organic overall home improvement strategy. From the overall model, we revolved around the different styles and differentiated needs of home decoration, and around the products of the top ten style systems. Guided by this business philosophy of devoutly serving the concept of customer service, we actually hope that through the different needs and the supply of personalized materials, and we have made a deep focus on the specific implementation of the style. Integration of industry models. To put it simply, from the top ten style systems, to the matching of the products in the top ten style systems, and even the standard of the craftsmanship, we seek a logic of the overall landing. On this basis, we established the first in Tongzhou. In a factory, all products are developed around the style system, so from the visual level, the customer feels the intuitive visual experience realized by this style. This is the first level from the perspective.

From the material foundation and process matching, everyone knows the difference in the style of home decoration, and the support of the process at the specific landing level of the construction is also different, so we have built around the core of the family concept from the beginning of the design. The design concept, in the end what is the most essential needs of customers, that is his lifestyle, more humane design. In short, we will be different according to the customer's home decoration structure and their own industry environment or their living environment, including his cultural background, even the different values ​​of life, value orientation, etc. Differently, taking this personalized demand into consideration, the real design of the value line in line with his entire living environment, as a standard to derivate his deep style matching. According to his style selection and his living habits, he completed his layout, and then in the later stage of our material craft introduction and process management, truly provide customers with a total of organic life.

Reporter: The way that belongs to his life includes some exclusive areas for home improvement.

Mr. Yan: Yes, the individual needs, including some exclusive areas, such as some customers have a special favorite hobby, we through the specific design to achieve and reflect.

Reporter: Mr. Yan, I would like to ask you a lot of competitors in the home improvement industry. What is the sales situation in the first half of the year?

Mr. Yan: When it comes to sales, the most talked about is the general manager of our national equipment division. However, at the group level, our overall market performance in the first half of the year was still good, and the performance data from the system feedback was also very good. Although the whole environment, including all aspects, has been catering to the regulation of the real estate market since last year, the state's regulation of the macroeconomic level may have an impact on developers including downstream industries. However, because of the positioning of Dongyi Risheng, we are positioned as In the middle and high end, coupled with the rapid development of the home industry after more than ten years, the entire home industry has reached a stage of rapid adjustment. Therefore, from this level, the positioning of mid- to high-end customers is just in the current return of our home industry, even the home market, and even the consumer concept. The pursuit of this kind of consumption concept is just at this stage, for us. Risheng is still good. Of course, there are few new properties in the market, but at this time, we will consider the post-efficiency brought by our group after more than ten years of refined management. So the whole is good.

Reporter: Now that the real estate market is shrinking, it has affected the home improvement industry. Now, in the case of a downturn in the home improvement industry, is there any systematic development strategy plan in the second half of 2012?

Mr. Yan: From 2011, we started to promote the informationization at the customer level. With the development of the three-level customer process management system, we hope that through informationization, customers can feel the integrated home decoration around Dongyi, organic merchants. The landing of the relationship. Simply put, the three-level customer system is actually a service process management platform, but it is different from the previous home improvement company, the customer management platform is set as internal management, and when we really put it into the market, we realized the home improvement customer and The group companies work together in the process management, from the easy implementation of the customer supervision process to the operation and interaction coordination, collaborative processing, this informationization grafted in, customers can directly through the terminal's network system, such as our Sina, There is also a common unity, through a software link, to realize the right to question the management of home processes in the whole process. At the same time, the coordination is initiated to assist the group company in process management and monitoring the operation and management of each business department. In addition to the introduction of traditional third-party management, process management also opens the platform for communication and introduces the supervision of customers. Collaboration can be initiated and each service department is required to perform coordinated processing. This is an integration of customer communication and group management from the customer experience level. This is an initiative.

Another initiative, we hope to deepen the concept of organic environmental design, from last year we put forward the concept of "Miyake Life", the so-called "Miyake Life" is three lifestyles, we from the livable home to the residence of Leju Seclusion house.

The core point of the livable home is still around the enhanced home space storage function, in terms of customer perception. Now in Beijing, including many market prices are constantly improving and growing. Although the state has adjusted the real estate market, the overall trend of housing prices has increased by a large percentage. In this case, what we expect is to increase the storage function by design as much as possible when the customer's living space is limited, so this is determined from the customer perception level.

Regarding Leju, we emphasize more on the elite consumer customers, or more mature home improvement experience customers, to create exclusive hobbies and personalities, and strengthen his personalized needs, for example, we advocate in our hall. In the cabinet, the storage of shoes, the family of three has to reach 27 storage vacancies, while providing the ladies with exclusive space for her boots and shoes, just like the owner’s watch has a dedicated space, a simple example is probably around Do what this means.

Mr. Yan: Regarding seclusion, when people's life level develops to a certain level, he hopes to create a public space exchange into the scope of home life. We will promote the space in the home space to create a bar, even The time of the afternoon cocktail party, even the space for wine tasting, etc., completely guides the consumption in the public place or a living state into the home life. Therefore, we will further decompose the needs of our customers, and at the same time, we will be able to graft our professional design, professional process management, and even the inspiration of lifestyle. Therefore, some of our trends and strategies are Really around this, but in addition to relying on the traditional requirements of lean management, the four lean requirements for customers are the basic needs of customers around us to save time, money, effort and time, possibly from another On the level, from the incorporation of information technology to the more in-depth research and development of lifestyle, it is possible to provide customers with more perfect services. The big move is like this.

Reporter: Because our characteristic is the franchise chain franchise system, what development and change does this system have?

Mr. Yan: The franchise business of Dongyi Risheng Group started in 2001. From the first franchise partner, we have 60 now, there are more than 100 stores, plus our national product distribution companies. There are more than 100 partners in our franchise system. In the past ten years of development, we have experienced three changes. The first change may be around the traditional brand output and process management and the introduction of business ideas. The first stage is the traditional home improvement model. Later, with the continuous strengthening of the Group's integration capabilities, coupled with the eight styles, four fashions, the top ten stream of consciousness, and the standardization of our style, we have arrived. The second stage is the overall home improvement model, because this is the most fundamental essential requirement of market demand, in fact, it varies with customer demand. The third stage is our comprehensive upgrade of the strategic model of organic whole home improvement.