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It's more accurate to say that local sanitary ware brands focus on building a chain rather than just selling products, and this is more of a cultural approach. The most straightforward way to put it is: make bold claims and position your brand at a price point that suits your target audience.
Due to the unique nature of the sanitary ware industry—customized products and high logistics costs—it has shaped a highly localized competitive landscape. While TOTO dominates in first-tier cities, its strong network makes it nearly impossible for other brands to expand into lower-tier cities. As a result, customers in these areas often don’t see TOTO as the best option. In fact, many are unsure which brand to choose, creating a huge opportunity for local brands to step in and fill the gap.
Understanding the specific needs and positioning of local sanitary ware is crucial. For example, when a Hubei-based brand named XX entered the market, it positioned itself as a local leader, set prices close to TOTO’s, and eventually became well-known across the region. This strategy proved successful, showing that local brands can thrive by focusing on their own strengths.
Brand identity plays a vital role, especially in China, where people place great importance on reputation and face. Customers in second- and third-tier cities tend to prioritize price but still value a strong brand image. In China, branding is seen as a symbol of strength and status. Even if a company doesn’t have a well-known name, it often tries to package itself like a brand to gain customer trust.
The visual elements that build a brand go beyond websites and brochures—they include showroom design, sample displays, and product accessories. These details are often the most challenging part of working with franchisees, as they require significant investment and standardization. This is where clear policies and strategies come into play. After all, the company isn’t obligated to invest its own money into franchisees’ stores, as that would be equivalent to direct operation. Instead, the goal is to encourage franchisees to invest in their own success while feeling supported.
To achieve this, the company must create a system that ensures franchisees feel motivated rather than exploited. This includes offering incentives, helping them increase product pricing through storytelling, and making the process of joining the brand seem simple and rewarding. Building a successful brand in this industry requires not only good products but also strong execution, marketing, and a deep understanding of local markets. And let’s be honest—this kind of growth doesn’t come cheap. It takes time, effort, and a lot of money, but when done right, it can lead to long-term success.