Wood Industry Knowledge: The Mystery of Furniture Pricing

1, furniture prices and discounts

1. Composition of furniture sales price

A, raw materials and production costs (that is, the cost of manufacturing furniture)

B. Transportation costs (most of the furniture is sold through dealers, and transportation costs are basically borne by dealers)

C. Store rent (this rent accounts for a very high proportion of furniture prices, and some furniture cities even exceed production costs)

D, the cost of sales (that is, the cost of clerk and management, in general, the salary of the clerk is very low, to get high wages all depends on the sales commission, the general brand better furniture commission in five thousand, almost the brand in the hundred One of the points, while some unbranded small furniture, achievements in one to three)

E, advertising costs (for most furniture manufacturers, advertising costs are very low, many well-known furniture brands almost no advertising, this has a close relationship with the way furniture is sold)

F, profit (what products must have profits, this can not escape, even if the reed network is now free, in the future will always have to make money, huh, huh, I hope that you can some business activities in the future Competence understanding)

2. How does the furniture set the selling price?

By posting, we know the price component of the furniture, then we can use this to analyze how the furniture is set.

The core components of furniture prices are: production costs, store rents and profits.

Production cost, store rent, and sales volume determine the size of the profit

Let’s start with the store rent of furniture.

The store rent of furniture is calculated according to *** yuan / month / square. Shanghai Yuexing, Jisheng Weibang and other large furniture cities, because of the good location, luxurious decoration, successful marketing, so the rent is relatively high. Some door positions reached 450 yuan / month / square meter, generally 200 yuan / month / square meter

According to the regular area of ​​a furniture store of 150 square meters, the monthly store rent is 200*150=3W.

Sales volume of furniture business: general 150 square meters of furniture business, its furniture sales volume between 10W ~ 20W

We can calculate this: for a better sales volume of 20W, 20W-3W (rent) -600*2 (2 store staff) -2000 (commission) -1000 (transportation cost) -1000 (hydropower) = 16.2W

If the purchase price is 10W (50% off), a merchant sells 20W furniture, and its profit is around 6W.

If the sales volume is only 10W, then it is almost unprofitable.


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