Zhenhai Fasteners Demonstrate Brand Charm

After decades of development, Ningbo Zhenhai District has gradually formed a regional development pattern of fasteners with the focus on Jiulonghu Town and radiating from Zhangpu and camels. According to incomplete statistics, as of the end of 2009, there were more than 100 fastener manufacturers and supporting enterprises in the region, more than 50 enterprises above designated size, and realized sales value of about 2.4 billion yuan, and the total output accounted for about 1/4 of that in Ningbo. 1/32. In general, the fastener industry in Zhenhai District has formed certain advantages in popularity, product category, and standardization construction.

"No-brand companies lack market initiative," said Zhang Xiankang, chairman of Ningbo Ningli Fasteners Co., Ltd. At the end of 2008, the company got the first Chinese well-known trademark in the fastener industry of Zhenhai District. Along with the triple jump of the product brand, the company's sales performance also increased from 50 million yuan before the brand creation to more than 500 million yuan.

However, it is regrettable that in the Zhenhai District, fastener companies such as Ningli with strong brand awareness are rare. According to relevant department statistics, among the more than 100 fastener enterprises in the region, those who have won the honors of China's well-known trademarks and Zhejiang famous brand products have only one company in Nanjing, and Jinding fasteners, which are the sales leaders of the fastener industry in the entire region, have only been awarded. Zhejiang famous brand title. Taking sales in 2009 as an example, the output value of fastener brand products in the entire region only accounts for 28% of the entire industry.

It can be said that most of the fastener enterprises in Zhenhai District are still at the low end of the industrial chain of workshop-type processing and OEM production, and they have low industrial levels, extensive development methods, and weak brand awareness.

The creation of the company

“Chuangbu brand does not matter, OEM production still live.” In the interview, the reporter noted that for many small and medium-sized fastener enterprises in the region, the lack of long-term development plans for companies should be the biggest constraint to their brand strategy.

It is understood that before the outbreak of the financial crisis, the entire fastener industry can be described as a prosperous, "previously has been relying on foreign OEM processing, when the market is good, the orders can not cope with more." In the interview, a business owner said, At that time, although their profit margins were not high, they had a large amount and the overall benefits were also very impressive. “At that time, only the production of orders was a sign.

Affected by the financial crisis, coupled with successive anti-dumping actions in Europe and the United States, orders for fastener companies in Zhenhai District fell sharply, and fasteners in Zhenhai District, which had only been OEM-branded and had no independent brand for a long time, were further squeezed in the domestic market. At this time, all companies realized the importance of the brand. According to incomplete statistics from the Zhenhai Industry and Commerce Branch, since the outbreak of the financial crisis, more than 20 companies in the region have declared or are applying for well-known trademarks in Ningbo, and 12 companies have either The intention to declare a famous trademark in Zhejiang Province, the intention of the enterprise to apply for a well-known trademark in the city and a famous trademark in the province is stronger than ever.

In addition, the lack of relevant association organizations and development planning at the government level is also a major cause of the situation of the fastener industry in Zhenhai District that is “little squabbles and separate administrations”. It is understood that up to now, more than 100 fastener companies in Zhenhai District have not established related organizations of similar industry associations. This not only results in a lack of mutual communication platform among enterprises in the region, but also is not conducive to unification in response to external pressure. The caliber, speaking in one voice can sometimes lead to internal vicious competition. In this case, let alone build a regional unified fastener brand.

At the same time, due to the lack of unified planning guidance at the government level, the fastener companies in the region are in a state of spontaneous development, and the overall industry development target orientation is not clear.

“Now many fastener companies in Zhenhai District are aware of the problem of the brand, but compared with the domestic similar blocky industry, it has already fallen far.” An industry insider judged the fastener industry in Zhenhai District.

After the strike, catch up

The regional brand to some extent represents the image and reputation of a region. It is not only the creator of regional wealth, but also more conducive to the optimization and promotion of industrial clusters in a given region. Based on the above considerations, Zhenhai District recently held the “Seminar on Creating Famous Brands for Fasteners in Zhenhai District” to discuss and discuss the establishment of the “Kowloon Lake Fasteners” regional brand name. This also marks the Zhenhai District The creation of the fastener industry brand has been put on the agenda. What is more substantial is that as a five-year plan to promote the creation and development of the fastener industry in Zhenhai District, the “Development and Planning of Transformation and Upgrading of the Fastener Industry in Zhenhai District of Ningbo City” has already been announced.

The plan stated that in the next five years, Zhenhai District will focus on technological innovation and brand building to cultivate and develop a number of internationally competitive fastener brands and large-scale enterprises, promote industrial transformation and upgrading, and enhance Zhenhai District. The domestic and foreign market status of the fastener industry will quadruple its output value by 2015 to reach 10 billion yuan. It will strive to build Zhenhai District into a brand fastener base in Ningbo, a demonstration area of ​​fastener industry in Zhejiang Province, and China. Firmware manufacturing base and international large-scale manufacturing enterprises designated procurement base.

When talking about this goal, many fastener business owners, especially small and medium-sized business owners, believe that in the current situation where companies are almost always going their own way, establish a regional trade association organization to strengthen the communication and coordination between companies to avoid mutual It is very urgent and necessary to dismantle Taiwan and vicious competition. There are also business owners who believe that it is important to increase the cultivation of dominant brands and actively support potential brands. “In the case of regional brands, our small factories are OEM-supported for big factories, and the development potential is immeasurable.”