The concept of the "whole home" is gaining momentum as a new wave in the home industry, following the rise of the "big home." But where exactly will this trend take shape?
A recent image highlights the growing interest in this direction. The Ou Pai Household Group has announced plans to raise 2.33 billion yuan to expand its home business, signaling a shift toward integrated solutions. European School, once known for cabinets, has also entered the big home strategy, aiming to create a unified brand experience across multiple home categories.
This movement stems from related diversification around core competencies, but many companies have expanded beyond that, entering the overall home field. The idea is to build a single brand that represents various cross-industry products, creating a comprehensive home branding strategy.
Yao Liangsong, chairman of the European Group, envisions ending with the European brand as the ultimate whole home solution. However, the question remains: can a single brand truly support such an ambitious vision?
China’s home furnishing industry is at a critical transformation phase. Companies are shifting from product operators to integrated solution providers, offering consumers first-class design, high-quality products, and humanized services. This shift marks the emergence of brands as full-service home providers.
Before European School, brands like Nature and Boloni were pioneers in the whole home approach. Nature, for example, built five product lines through related diversification, while Boloni expanded into bathroom and custom door markets. Yet, their strategies still focused on specific areas rather than full integration.
European School, however, is pushing further by not only providing one-stop solutions but also unifying all resources under its own standards and brand. From cabinets to sanitary ware, wooden doors, and even flooring and tiles, the brand aims to offer everything under one umbrella.
But can a single brand really carry the weight of the entire home market? Some industry insiders remain skeptical. While extending to related categories like wardrobes and wooden doors makes sense, expanding into areas like flooring and tiles may be more challenging. These products don’t align as closely with the brand’s core strengths, raising concerns about consumer acceptance.
OEM partnerships are another point of debate. While they allow for scale, they may not bring the same level of competitive advantage. For instance, Italian tiles are respected for their design concepts, not just production quality. Unless a brand can lead in design innovation, it may struggle to compete.
Yao Liangsong emphasizes the importance of large-scale non-standard customization, which allows for personalized solutions. However, some argue that the overall home requires more than just modular production—it needs a holistic design approach that integrates both macro and micro elements.
Boloni's return to the home improvement sector serves as a cautionary tale. By focusing on its core strengths, it found success in certain regions, but the broader market was less receptive to a single brand approach.
Ultimately, the debate between branding and platformization reflects a deeper question: should home brands expand horizontally or vertically? Horizontal expansion means diversifying around core strengths, while vertical expansion focuses on deepening value chain integration.
Both paths have their merits. A horizontal approach could lead to a fully branded whole home, while a vertical one might result in a more integrated, platform-based model. As the industry evolves, the choice between these two strategies will continue to shape the future of home design and service.
In the end, whether through branding or platformization, the goal remains the same: to deliver a seamless, high-quality home experience that meets the diverse needs of consumers.
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