In 2025, a chill permeated the home decoration and building materials industry. When friends met, the most common question was, “Are you still holding on?” Customer traffic had plummeted, costs were rising daily, and stores were as deserted as train stations during the Lunar New Year. Some bosses quietly “ran away,” listed company shareholders rushed to cash out, and long-time employees began scrambling to find new jobs… Was this industry truly doomed? But a few days ago, a veteran in the building materials industry with over twenty years of experience said something insightful in his New Year’s Eve speech on Laba Festival: “Enduring is an attitude; seeking change within endurance is the way to survival.” He exposed all the secrets that no one in the industry had dared to pierce in recent years. Part 1: Don’t Grit Your Braces, Survive! Many people think that “enduring” means stubbornly holding on, clinging to stores, stockpiling inventory, and chasing payments. That’s not the case. True endurance means protecting what’s essential: quality, sincerity towards customers, and respect for your business. Stores can be small, teams can be elite, but reputation cannot collapse. The industry won’t disappear; people will always need to renovate and upgrade. What will disappear are those superficial, quick-profit-driven, and sloppy practices. So, don’t panic, stay calm, and you’ll see a glimmer of light ahead. Part 2: Understanding Trends is More Important Than Hard Work! Ten years ago, it was about who could grab the most new properties; by 2025, that path is basically dead. Nationwide, home deliveries have fallen by more than 30%, and unfinished homes account for less than 10%. Those still only focusing on new homes are like waiting for sunrise at dusk. So where is the way out? —In the realm of “old house renovation.” The data doesn’t lie: the market size for old house renovation was 1.2 trillion yuan in 2023, 1.5 trillion yuan in 2024, and is projected to reach 3.34 trillion yuan in 2025—tripling in three years! The demand has changed, shifting from the “steel and cement” of new buildings to the “human touch” of renovating homes. Those who adapt early secure their place on the next wave of opportunity.
Part Three: Focus on “Long-Term Business,” Stop Thinking About Quick Money
Old house renovation is different from selling materials; it’s a business of people and communities. One renovation might lead to making a friend; providing good service to one family might attract even your next-door neighbors.
This business relies on professionalism, reputation, and the trust built up over time. More importantly, it’s too difficult to go it alone these days. Competitors aren’t just about competition; they can also support each other, find suppliers together, negotiate orders together, and provide services together. It’s through collective effort that a prairie fire can be set off.
Part Four: 2026, A New Way of Living
“2025 was tough, so in 2026, let’s change our way of living.” Here are three proven transformation formulas:
Formula One: Product Mindset → Solution Mindset. In the past: I sold tiles, flooring, and paint. Now: I provide “one-stop” solutions for your kitchen renovation, bathroom remodeling, and whole-house renovation. Core: Customers aren’t buying materials, but a “brand new home.” Package your products into services that solve their specific pain points.
Formula Two: Traffic Mindset → Community Relationship Mindset.
In the past: Waiting in front of new developments, making phone calls, and spending heavily on advertising to buy traffic. Now: Establishing a foothold in existing communities, providing excellent service to a long-term client, and influencing the entire building and community through their word-of-mouth. Core: Urban redevelopment business stems from trust. A satisfactory renovation is a “living business card” circulating among neighbors. The business has shifted from “casting a wide net” to “digging a deep well.” Formula Three: Sales Mindset → Long-Term Operation Mindset. In the past: One-off transactions; contact decreased after signing the contract and receiving payment. Now: One renovation establishes a long-term maintenance relationship. Regular follow-ups, providing inspections and maintenance services, even becoming the client’s “renovation concierge.” Core: Turning clients into assets, not disposable resources. The stable returns and referrals from long-term service are far more reliable than rushing for a new order. Part Five: Entering the “Four-Step Roadmap” of Urban Redevelopment Now that you know the formula, how do you walk the path step by step? Here is a replicable path: Step 1: Relocate your store to older communities. Don’t rely solely on building material markets. Establish “community service stores” or “renovation experience corners” around mature, large communities with buildings 10-20 years old. Make services visible and accessible. Step 2: Capacity Building – Cultivate a team of “urban renewal experts.” Urban renewal is more complex than basic renovation, involving demolition, preservation, and neighborhood coordination. Your designers and foremen must transform from “new home designers” into “urban renewal experts” proficient in space optimization and partial renovation. Step 3: Model Reshaping – Launch clear “urban renewal product packages.” Standardize fragmented services, such as launching “72-hour bathroom renovation package,” “all-inclusive kitchen renovation package,” and “wall renovation package.” Make it easy for customers to understand and lower the decision-making threshold. Step 4: Ecosystem Co-construction – From “going it alone” to “working together for mutual support.” The era of one person handling everything is over. We are proactively forming “revitalization alliances” with outstanding local foremen, designers, interior designers, and even home appliance and furniture brands. By integrating resources, we provide customers with a truly seamless experience, using collective strength to combat the market downturn. This industry hasn’t collapsed; it’s just changed its way of life. Those who survive are no longer the fastest runners, but those who see things most clearly, understand the deepest, and are most willing to befriend their customers. 2025 was a tough year; 2026 is the time to adopt a new formula and path, a new way of life. Spring is never something you wait for; it’s something those who quietly changed direction during winter dig out for themselves.
