What is the prospect of the decoration industry? What is the decoration company doing now?

After nearly 30 years of rapid development, the architectural decoration industry in China has gradually matured. From design standards, project scale to capital investment, application of new technologies and materials, etc. , has made unprecedented development.

According to the Report on Market Research and Investment Forecast and Analysis of Building Decoration Industry in China issued by Prospective Industry Research Institute, the output value of building decoration industry increased from 0.43 trillion in 2000 to 20 1 trillion in 2000, with a growth rate of 388.9%, and the compound annual growth rate was about 17.2%, which was higher than the national GDP growth rate165433 in the same period. Among them, the output value of public building decoration (including the decoration of finished houses in the whole building) increased from 0.2 trillion in 2000 to 1. 1 trillion in 2000; In the same period, the output value of residential decoration (single-family independent decoration) increased from 0.23 trillion yuan to 0.95 trillion yuan.

According to the "Twelfth Five-Year Plan" of China's building decoration industry, the total output value of public building decoration (including the whole building decoration) will reach 2.6 trillion yuan during the "Twelfth Five-Year Plan" period, an increase of about 136%, with an average annual growth of18.9%; The goal of residential decoration is 1.2 trillion yuan, with a growth rate of about 26.3% and an average annual growth rate of about 4.9%.

The demand of architectural decoration industry in China comes from two parts. On the one hand, it is the renewal demand caused by the reconstruction and expansion of existing buildings, the change of the nature of building use or the natural aging of initial decoration, and the initial decoration demand of newly developed buildings. With the growth of commercial housing and residential stock and the maturity of the second-hand housing market, the demand for overall and partial renovation services for existing buildings continues to expand; Will gradually become the main provider of demand share in the decoration industry.

On the other hand, consumers' understanding of living quality is deeper and more comprehensive, and the improvement of decoration secondary consumption ability promotes the improvement of decoration standards. Therefore, no matter the breadth and depth of the industry development, it will support the demand growth of the architectural decoration industry in terms of quantity and price, and the CAGR (compound annual growth rate) growth rate of demand in the next three years is expected to remain in the range of 12 ~ 15%.

The research group of architectural decoration industry of Prospective Industry Research Institute said that the strong demand in the industry does not mean that the gross profit margin of the industry is considerable. In the architectural decoration industry, the regional characteristics are obvious, and the development factors such as entrepreneur consciousness, ability to take orders, high-end design and construction human resources, and comprehensive project management ability restrict most small and medium-sized architectural decoration companies, making it difficult for them to expand rapidly and carry out national market layout. The low concentration of architectural decoration industry leads to the pattern of low-end price competition for most companies, and the average gross profit margin of the industry is declining year by year.

Generally speaking, with the continuous improvement of urbanization level in China and people's tolerance, the demand for decoration industry is very strong, which was very good in the past.

I hope my answer can help you.