The building materials industry is an important material industry in China. Building materials products include three categories: building materials and products, non-metallic minerals and products, and inorganic non-metallic new materials. They are widely used in construction, military industry, environmental protection, high-tech industries and people's lives.
At present, China is already the world's largest producer and consumer of building materials. The output of major building materials products such as cement, flat glass, building sanitary ceramics, stone and wall materials has ranked first in the world for many years. At the same time, the quality of building materials products continues to improve, energy and raw material consumption decreases year by year, various new building materials continue to emerge, and building materials products continue to be upgraded.
1.Building materials industry chain
The upstream and downstream of the building materials industry chain are mainly produced by basic raw materials and building materials (including coatings, ceramic tiles, wood, cement, glass, ceramics, stone, plywood, flooring, steel, concrete, curtain walls, sound insulation materials, flame retardant materials, insulation materials, etc. ), downstream application fields of building materials products (including urbanization construction, infrastructure construction, real estate investment, industrial construction, electronic information, automobile manufacturing and other industrial fields). The main products of the building materials industry are cement, glass, and ceramics. These three sub-sectors contribute more than 50% of the total sales revenue and profits of the building materials industry. Land transfer revenue is an important source of government revenue.
2. Business model of building materials industry
The main products of building materials industry are cement, glass and ceramics. The total contribution of these three sub-industries to sales revenue and profit of building materials industry remains above 50%.
Model 1: B2B
Business model: B2B industry website with the main business model of providing product supply and procurement information services
Representative enterprise: China Furniture Network
Such websites should establish a product database with complete classification, multiple product varieties, complete product parameters and detailed product introduction. In particular, they should pay attention to the quality of product information, comprehensively improve the procurement experience, and attract more buyers and suppliers to publish information and browse and search for information on the website. It mainly charges membership fees, advertising fees, bidding ranking fees, network marketing basic service fees, etc. to small and medium-sized supplier enterprises. Representative websites include: China Chemical Network (listed in 2006), Global Hardware Network, China Textile Network, Global Textile Network, China Equipment Network, China Building Materials Network, Weiku Electronic Market Network, etc.
Model 2: B2C
Business model: B2C model that sells directly to end consumers
Representative companies: Juran Home, Linshi Wood Industry, etc.
The payment method of B2C e-commerce is a combination of cash on delivery and online payment, and most companies choose to outsource logistics to save operating costs. With the change of user consumption habits and the promotion of the demonstration effect of excellent companies, the number of online shopping users continues to grow. In addition, some large-scale examinations such as civil service examinations have also begun to implement the B2C model. Its basic needs include user management needs, customer needs and seller needs.
Model 3: O2O
Business model: O2O model that integrates online and offline
Representative companies: Leyi Home Furnishing, Meilele
Before the emergence of group buying, general online shopping was to pay online and then distribute goods through logistics. Suddenly, group buying changed this "traditional" online shopping model. The group buying model has become "online payment, offline consumption". This is the origin of the so-called "from online to offline". We call it O2O for short. The current O2O model concept is broader, integrating online and offline.
Model 4: Free home decoration
Business model: Buy furniture and get home decoration for free
Representative enterprise: Leyi Home Furnishing
Leyi Home Furnishing adopts an innovative channel model. Relying on its one-stop O2O home decoration building materials procurement service platform, it connects the upstream and downstream of the home decoration building materials industry chain and launched a "free home decoration" activity during the trial operation period: as long as the customer purchases materials (main materials and auxiliary materials) for more than 40,000 yuan, the user can prepay the deposit online, make an appointment, and select the design and construction team. The remaining design and construction will be fully taken care of by Leyi, eliminating some hidden expenses brought to the owner by gray industry practices.
3. Leading domestic and foreign companies in the building materials industry
- China
(1) China National Building Materials: Established in 1984, it has four major business platforms: industrial manufacturing, scientific research, complete equipment, and logistics and trade; Sinoma Group was established in 1983 and has three main businesses: non-metallic materials manufacturing, non-metallic materials technology equipment and engineering, and non-metallic mining. Through business restructuring, the two groups can achieve a strong combination and effectively improve their comprehensive competitiveness.
(2) Conch Cement: Conch Group Co., Ltd. exclusively initiated the establishment of Anhui Conch Cement Co., Ltd. with its Ningguo Cement Plant and Baimashan Cement Plant and related assets of cement production and operation. The company is mainly engaged in the production and sales of cement and commercial clinker. The company's production and sales volume has ranked first in the country for 11 consecutive years and is the largest cement and clinker supplier in Asia.
3) BBMG Group: The company is jointly held by Beijing State-owned Capital Operation Management Co., Ltd., HKSCC NOMINEES LIMITED, China Building Materials Investment Co., Ltd., etc. Including: technology development, technical services; organization of cultural and artistic exchange activities (excluding commercial performances); machinery and equipment leasing; real estate development and operation; property management; sales of self-produced products; manufacturing of building materials, furniture, and building hardware; wood processing, etc.
- Overseas
(1) LafargeHolcim: Lafarge Group, one of the world's Fortune 500 companies, has a history of more than 170 years and is a world leader in cement, gypsum board, aggregates and concrete. As a world leader in building materials, its four divisions are at the forefront of the industry: cement and roofing systems rank first in the world, concrete and aggregates rank second in the world, and gypsum building materials rank third in the world.
(2) Heidelberg Cement: Heidelberg Cement is one of the world's leading manufacturers and distributors of cement, concrete and aggregate building materials. Heidelberg Cement's international business is decentralized and operationally responsible for six strategic regions. Heidelberg Cement's core business includes the production and sale of cement and aggregates. These are the two main raw materials for concrete. Downstream products such as ready-mixed concrete, concrete products and concrete components and other related products and services complete the company's product portfolio.
(3) CEMEX: CEMEX is a global building materials company that provides high-quality products and reliable services to a wide range of customers throughout the Americas, Europe, Africa, the Middle East and Asia. CEMEX produces, distributes and sells cement, ready-mixed concrete, building aggregates and other related building materials products from an operating network in more than 50 countries and maintains trade relations with more than 100 countries.
4. Future Outlook of the Building Materials Industry
With the development of urban modernization and the improvement of people's living standards, reducing the energy consumption of buildings, improving energy efficiency, improving the comfort of living environment, and promoting the development of building energy conservation have been increasingly valued by the government and all sectors of society. Energy-saving building materials are an important material basis for building energy conservation. The rational use of various energy-saving building materials in buildings can, on the one hand, improve the thermal insulation effect of buildings and reduce the energy loss of heating and air conditioning; on the other hand, it can greatly improve the living and working environment of building users. Therefore, vigorously developing and utilizing various high-quality energy-saving building materials not only has important social significance, but also is an urgent requirement for saving energy and protecting the ecological environment.
Looking forward to the building materials market, it can be summarized into three aspects: First, the macro background and consumption level will be better than before, among which infrastructure mainly plays the role of "bottoming out", and the downward speed of housing construction has slowed down but it is difficult to bring incremental growth; second, the supply side is under great pressure, and most varieties cannot get rid of overcapacity, and regional competition will further intensify; third, it is expected that the overall level of building materials prices will be difficult to rise year-on-year, and profits will shrink, but the collection situation has improved, and the industry will pay more attention to high-quality development.
