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Dongpeng Ceramics, The Power of Transformation

2013/05/28

Though ceramic industry is under sluggish situation, Dongpeng ceramics is full of news of success. Firstly, its sales volume of ceramic floor tile in 2012 ranged No.1 in China according to the National Bureau of Statistics. Dongpeng maintained double-digit growth in such a soft demand market, which is a strong impetus for the industry. Secondly, Dongpeng became the first Chinese enterprise invited to the 2013 CERSAIE. This chance will become an important opportunity for Dongpeng’s further brand development and further transformation.

Transformation and Rebirth
As a industry with 5,000 years of history, ceramic nourishes many cities around the world, including Tamachi in Japan, Meissen in Germany, Modena in Italy, Wedgwood in UK and Valencia in Spain, etc. These cities rise toward internationalization along with the flourish and prosper of ceramic industry.
Ceramic is an important driving force for Foshan’s economy and modernization. It is an indispensable part for Foshan’s industrial structure. It is estimated that total economic aggregate of Foshan’s 360 ceramic enterprises accounts for 7% of its total industrial output value.
However, after 30 years’ reform and opening up development, some Foshan ceramic enterprises still have backward production technology and maintain extensive development mode. They are with high energy consumption, high pollution, high investment and other development issues. They are bound to be transformed in the process of urbanization.
Since 2007, the Foshan municipal government has introduced a number of policies and measures to transform and upgrade decorative ceramic tile industry. A few years later, only a half of these Foshan ceramic enterprises left. Dongpeng is one of the enterprises that transformed and rebirth in this process.
Now Foshan ceramic industry is in rapid transformation and upgrade, and Dongpeng is leading the trend of the industry.

glazed porcelain tile

Innovation and Breakthrough
Faced with intense competition, companies has to strengthen their own innovation and R&D abilities in order to gain a foothold in the market. Dongpeng has gained more than 230 national patents, which filled a number of blanks in the industry. It wins recognition of all sectors of society with innovation in fields like culture, technology, design, product category, information construction and service, etc. These innovations has eased Dongpeng’s pressure of energy, raw materials and human resources.
For example, Dongpeng has build an information system which enables all its agencies to place orders, check stocks and delivery information on it. This system greatly improve its sales mode and save a lot of costs. Dongpeng set up over 100 new exclusive shops last year, which contributed a lot in Dongpeng’s total sales volume.

Summit of The Industry
If there is a summit of the industry in the near future, ceramic enterprises should be extra cautious, because the industry is rudderless at present and this situation is bound to be broken with large-scale capital operation and consolidation of the industry. That is to say, every enterprise has the opportunity to stage a comeback.
Brand building, technology improving, capital operation and business mode innovation will be challenges for ceramic enterprises. Each enterprises should always remain sober and take rapid action according to the fast-changing market.

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