The outlook for the home textile market is still optimistic in the second half of 2012

Under the influence of the four driving forces, domestic “brand” bedding products will have a large market growth space in the next few years. At present, domestic household textile consumption accounts for only 20% of the total textiles. In the future, with the increase of disposable income of domestic residents and the gradual change of consumption habits, comfortable and healthy bedding will be the first choice of residents. Therefore, the bedding market has broad market prospects in China.

In addition, the driving force for promoting the growth of domestic bedding products in the next few years is mainly as follows: the growth of middle- and high-income people drives consumption upgrade, coordinated development of regional economy, improvement of housing conditions for residents and wedding consumption. At present, the domestic “brand bedding consumption” is mainly concentrated in the urban market, and maintains a relatively fast growth rate. The consumption of the third and fourth-tier cities will rapidly expand in the future, and the brand bedding market will further increase.

In the bedding market, household bedding in the rural market is mainly low-to-medium products, meeting the rigid needs of rural residents. The consumption of bedding products for medium and high-end products is mainly in urban households, including well-known foreign brands. Although the consumption of urban bedding is slightly lower than that of rural areas, the market for middle and high-end bedding products is mainly concentrated in towns and cities.

The continuous expansion of the branded bedding consumer market has led to the growth rate of domestic urban bedding consumption in recent years both above 20%. In addition, consumption in 13 provinces and cities in China accounts for 74% of national consumption, of which the first four provinces with larger market share are economically developed provinces. In the next few years, with the growth of consumption power in third- and fourth-tier cities, the further growth of the bedding market will be promoted. At present, the domestic low-end bedding production enterprises are highly competitive, while the middle and high-end "brand" bedding production enterprises are relatively competitive. According to statistics, there are more than 3,000 bedding enterprises in the country, and they are still growing every year.

Due to the broad prospects of the home textile market, a large number of private capital has also entered the home textile industry, resulting in a serious oversupply in the domestic bedding industry. However, the competition is mainly concentrated in low-end products, which is due to the overcapacity and homogenization of low-grade bedding. The medium and high-end products have the advantages of brand, quality, marketing and service, and the brands and channels constitute a large time and capital barrier, and the competitive environment is relatively loose.

The domestic low-end bedding products are seriously oversupplied, the production enterprises are highly competitive, and the competition in the middle and high-end home textile products market is relatively loose. The mid-term investment in the home textile industry continues to be optimistic about the "brand bedding" listed companies (Luo Lai, Fu Anna, Meng Jie). Although home textiles were affected by household consumption in the first quarter, the growth rate slowed down, but we are still optimistic about the market conditions of the home textile industry in the second half of the year.