LED lighting market continues to cold cleaning brand era is coming

In 2014, it was hailed as the “outbreak year” of LED lighting. At the end of 2013, many lighting companies were full of confidence and ready to fully bomb the market in 2014. At the beginning of 2014, the cross-border capital entered in batches, LED lighting showed an investment boom. The national and local governments actively promoted energy conservation and emission reduction, and vigorously advocated the use of LED lighting products. All kinds of favorable phenomena made the lighting industry completely ignited by the shareholder wind of LED, and the limelight was nowhere. As the "Prince of the Prince" in the lighting industry, LED has officially become the "Emperor".


Unexpectedly, when the lighting industry was ready to meet the market explosion, the market heard mourning. The overall domestic economic situation has weakened, the growth of the upstream real estate industry has slowed down and engineering projects have decreased, domestic monetary tightening, and loans are difficult... All kinds of unfavorable factors have swept the LED lighting industry in the “expansion period”, the lighting market is deserted, and the peak season is not prosperous. The off-season is very light, the company panicked, and the dealers are difficult. The market is sluggish, but the competition is fierce. Tens of thousands of lighting companies have spent several times more manpower, material resources and energy to grab the lighting market cake than in previous years, killing the market in a red sea, returning to calculate the cost, and not making money at all. It may even be a loss, and some enterprises have lost their battles because of their inability to lose money. In the second half of 2014, the collapse of lighting companies has been frequent. The entire lighting industry is in the dark before dawn, how can we get past?


In the 2014 China Lighting Engineering Channel Visiting Group, the survey found that only a small number of dealers can achieve sales higher than 2013, which is almost the same as last year's sales. The sales share of LED lighting products has risen sharply. However, it cannot reverse the situation in which the entire market continues to be deserted, and the market will be more difficult to do next year, and a large-scale reshuffle is coming. It is still so difficult for dealers to have many brand selection opportunities, and the days of lighting companies may be even worse. The “winter” of the lighting industry is cold and long, how should lighting companies protect against the cold?


Cooperation is greater than competition, and Mr. survives


As a big LED lighting country, China's LED industry has maintained a momentum of sustained and rapid development. Although there are good ideas, in the actual development process, the development of LED lighting faces many problems. Faced with the feast of LED, many companies are rushing to the top, and there is no relevant knowledge about LED products. They just think that they will be able to shine. Most of the abundant production capacity in the domestic market is low-priced and fast-selling products. Although it can meet the market demand, but lack of core technology as a supporting product, and ultimately become a victim of price competition, life cycle, product competitiveness, brand reputation are greatly reduced.


As far as China's LED lighting companies are concerned, most of them are small workshops. They have no core technology, can't achieve long-term development, face a fierce competitive environment, small enterprises are self-defeating, and large enterprises rely on scale advantages to convert into price advantages. Extensive competition is not conducive to the progress of the industry. However, the entry barrier of the lighting industry is low, the overall cultural level is not high, and the quality standards are ineffective, making competition greater than cooperation. Price competition is like a butterfly effect. It generally sweeps the entire lighting industry. Most companies are designing products based on price. They are rushing to grab the market and making the entire lighting industry have no money to make.


Lighting companies must calmly think about the original positioning, see if they have enough strength to open channels to build networks, whether they have the strength to participate in the bidding of large projects, whether there is any strength to spend high prices, please professional traders, marketing team And the consulting company, the follow-up style of the wind is a kind of consumption for itself. In today's market conditions, the development of the husband can only develop, how to survive is the urgent need. Some enterprises calculate their expenses every day. In the case of daily losses and monthly losses, they believe that they will not break out in silence, and they will perish in silence. They want to make a fortune, and actually only let themselves withdraw from the stage earlier. We can see that many enterprises that run the road are enterprises that have once held high and high-profile, and whether the back-end of the enterprise can support the front-loading troops and whether the funds can be operated in a healthy manner are all issues that lighting companies must consider.


However, fortunately, the lighting industry has gradually returned to rationality in the “cold market”, focusing more on strengthening management, controlling costs, and being profit-oriented. When competition is greater than cooperation, there is no profit, and lighting companies have embarked on a road of cooperation with the group. Cross-border will be the focus of the future development of the lighting industry. Under the situation of academic cross-acceleration, industrial frontier extension and emerging business emergence, openness, integration and innovation are the characteristics and driving force of industrial development in the era of science and technology cross-border. And nowadays the popular O2O model, smart home, will promote the continued development of LEDs towards intelligent, sophisticated and cross-border applications. The O2O model and the entry of smart home capital also bring more resources and possibilities to the lighting market, bringing new business models and brand promotion opportunities to all SMEs, bringing mastery to SMEs with certain technical strength. Channel resources in turn lead to opportunities for quality technical cooperation.


Out of development misunderstanding, play a focusing effect


The lighting market does not lack products, but lacks distinctive products. A lighting company does not need to do everything, only focus, to focus. We can find through the exhibition that some lighting companies are not large, but the products are more complete than some large enterprises. It’s like a farmer, planting 10 trees, but there is only one bucket of water in his hand. It’s a big drought, a bucket of water is pouring ten trees, the water is wasted, and the tree is not saved, but if only one tree is poured This tree will grow into a towering tree, and you can enjoy its fruit. What products are done, in the end, nothing will be done well, and it is not conducive to dealers and consumers' perception and positioning of the brand. The brand features are vague and ultimately submerged in a red sea.


Channel positioning should also play a focused effect. It is very important for the team of the company to be good at how to avoid weaknesses. Many companies want to "walk on multiple legs." Today, the traditional channels are very prosperous. I want to open a network and look at the project tomorrow. I want to do the project, I look at the e-commerce hotspots the day after tomorrow, and I want to set up an e-commerce team. This kind of wide-spreading net is more fishing. Even if I lose the sorrow, I have to deal with the mulberry mentality, but the money is gone, but the money is spent. It is a channel that is not doing well. Lighting companies should choose the areas that they are suitable for and good at. When there is great risk in today's survival, don't play the "heroic" spirit of "not too big and not too small", only to create profitable sales. Only influential, only after all possible, can you truly become a hero in the lighting industry.


The brand will ultimately determine the industry status of the lighting company and its distributors. This sentence does not mean that the company has to expand in a big way, but to do what it can. Many companies want to seize the gimmick before the LED lighting industry is unclear, launching a series of brand promotion campaigns such as advertising bombing, product promotion, and conference marketing nationwide. Being a first-line brand is of course the best. If you don't, you don't have to be self-interested. Start with the local market, start with the market segment, and live, there will always be opportunities.


In short, strategic losses are not something that every lighting company can play. The products are not all that can be done by all enterprises. It is unrealistic to have multiple channel models, and the brand is not achieved overnight. Since you must be profitable from business, any non-profit-oriented company is a rogue and an irresponsible act against its employees and society. In order to maintain a stable winter, the lighting industry must first clarify the internal, from management, production, personnel, products and other aspects, improve staff efficiency and enhance corporate morale; second, we must plan the development direction, and clearly position again. Adjust the product structure; the third is to persist, only in this way, can reduce the loss in the "cracking period", when the ultimate battle is coming, it will be lightly loaded and hit hard.

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