Gas Generator,4 Cycle 16 Cylinders,4 Cycle 16 Cylinders Cummins Generators,4 Cycle 16 Cylinders Generators XCMG E-Commerce Inc. , https://www.xggenerators.com
LED sales have spurred this year, and the trend of companies with promotional products to cut prices has hit the market. It is an indisputable fact that traditional lighting companies must transform or get involved in LEDs.
On the other hand, the macro is nothing more than “searching for the top and bottomâ€, seeking strategic cooperation and support from suppliers, and developing distributors to spread the network and increase market share.
Then, under this new situation, how can traditional lighting evade the weight in the channel warfare, give play to its advantages and weaken its disadvantages?
Terminal blowout
In March and April of this year, reporters visited Hangzhou, Changzhou, Linyi, Nanjing, Wuhan, Hefei and other lighting exhibitions and distribution centers found that LED sales momentum has increased a lot compared with the same period last year, some LED agents are expected to double sales this year.
"Last year, our LED project can be more than 9 million yuan. This year, we signed a sales responsibility book of 16 million yuan with the factory. The plan is more than 20 million yuan." Hefei Tianlang Electric Business Department, the main brand of Leike LED Jiang Yuzhen, the person in charge, is currently working hard to recruit, and hopes to be more thorough in engineering and distribution channels.
"Last year, the project purchasers are still hesitant. This year, hotels, office lighting, etc. have taken the initiative to use LEDs, and the number of orders has also appeared in the front of the word." Wang Decheng, general manager of Wanster Lighting told Gao Gong LED reporter.
Dr. Zhang Xiaofei, CEO of Gaogong LED, also pointed out that in terms of channel layout, neither manufacturers nor merchants have much time to wait. Since last year, traditional enterprises, export enterprises, multinational corporations, state-owned enterprises and other types of enterprises have begun to build large-scale channels.
"Channel construction is only a good day." According to the statistics of the High-tech LED Industry Research Institute (GLII), the output value of LED applications in mainland China reached 159 billion yuan in 2012, a year-on-year increase of 37%. Among them, LED indoor lighting output value of 33.5 billion yuan, an increase of 80%.
Since 2012, with the gradual release of LED upstream production capacity, the situation of oversupply in the industrial chain has further intensified, and product prices have also dropped significantly. This also directly leads to the combined cost of some LED lighting products has been comparable to traditional lighting.
It is understood that the distribution price of the 9-watt 2U pure tri-color energy-saving lamps of the second-line brand is about 10 yuan, and the 3W LED bulb distribution price with the same light efficiency and quality is only 12 to 13 yuan.
“In 2013, the price of LED lighting products continued to decline. This was due to technological advances and material price reductions, as well as the influx of traditional application manufacturing groups and LED technology solutions.†Lin Jiliang, deputy general manager of the strong brand Mulinsen.
"LED surge, traditional lighting sales are greatly affected, I know that many energy-saving lamps and other light source companies in the series of fist products are selling at a loss, no way, because to raise workers, raise factories, raise equipment, etc., but also digest raw materials inventory, etc. An Anhui traditional lighting logistics company told the high-tech reporter that "traditional lighting companies use the original channels to promote LED is not a problem that can't be done, but a good question about how to do it." The logistics company added. .
Delayed transition
This year, Wang Decheng will pay more attention to the cooperation opportunities of professional LED brands, instead of “waiting†for the transformation of traditional lighting companies. “The market is changing rapidly. Although we are still based on traditional commercial photos, the penetration speed of LEDs is amazing. The response speed of traditional enterprise LED products is really slow, and the price/performance ratio does not have advantages.â€
Anhui Baxing Electric is currently the operating center of traditional brands such as Midea Lighting and Foshan Lighting. It is also the provincial agent of LED brands such as Mulinsen Lighting and Donghan Lighting. Its chairman Wang Shizhen said that the biggest advantage of traditional lighting transformation LED is the accumulation of brand awareness. .
"If it is the designated brand of the project purchaser, it is generally the dominant traditional brand, because the LED big name has not yet appeared. But if it is open bidding, it is generally a professional LED brand is easy to win, after all, the program professional, the product has a bright spot." Wang Shizhen said.
According to the interview of Gaogong LED reporter, the advantages of traditional transformation LED enterprises are as follows:
1. Brand qualifications. That is to say, brand awareness. After all, traditional veteran companies have been working hard in the channel for many years, and the sales outlets are relatively sound, and the number is often thousands. Some brands are designated partners in the minds of distributors and engineering companies.
2. Skillful. The marketing policies of traditional lighting companies have been matured after years of tempering, close to the market demand, and the image of monopoly is also deeply rooted in the hearts of the people.
3. Quality assurance. The traditional veteran enterprises have guaranteed the quality of their products, the marketing team is relatively large, and the after-sales service is relatively perfect.
However, many dealers do not have much confidence in the transformation of LEDs in traditional lighting companies. "The price is not in the market, the product strategy is too slow" is the word that dealers are most ill.
"We are now acting on Yaming's energy-saving lamps. Its LED products also want to be represented, but the price is too expensive, and we can only choose other brands." Zhou Huahua, general manager of Wuhan Hualiang Lighting, said helplessly.
This year, he also launched the LED indoor light source series products, but the first choice is the manufacturers in Zhongshan. "The price is relatively high, and the circulation and distribution are profitable, so everyone can accept it."
Vendor game
"At present, the Hefei market has not seen any traditional lighting brand to be very strong." After thinking for a while, Jiang Yuzhen, head of Hefei Tianlang Electric Business Department, said.
Channel wins. It is said that this is the era when the channel is king, but it is easier said than done.
The best in the domestic lighting industry channel is undoubtedly NVC lighting and Op lighting, but entering the LED era, both found that the traditional channel concept is slowly no longer applicable, the manufacturers' control of the channel is slowly beginning to weaken, many The power channel dealers even started to sell dog meat.
A second-level agent of the original NVC lighting, which is mainly engaged in LED products, told reporters: Many big-name brands have relationships in the local market, and there are engineering orders in their hands, so they are in industrial clusters such as Guzhen. The base set up an assembly warehouse, which can take orders with the brand awareness and reputation of the agent, but replace it with the processed products and put on the LOGO sales.
"Under the circumstances, the big brands are basically OEMs to complete the product line integration. Anyway, the installation, after-sales, public relations, and collection are all done by local merchants. In the NVC store, the purchase price of the company's LED brackets is 200 yuan, and the sale price is 200 yuan. To sell around 230 yuan, only earn 10% -20%, but the assembly price is only 100 yuan, the selling price is more than 200 yuan. The profit doubled. "By selling the products of the big brand, so chasing the high amount The profit margin has caused the branded goods of the brand enterprises to flood the market and the fish are mixed.
An industry insider analyzed that, unlike the operation center, the loyalty of the second and third-tier distributors to NVC and Opp is not high. Many brands operating in stores in the county and city are not limited to NVC, Opp, and even many LED lighting brands in Zhongshan and Foshan.
A dealer in Shenzhen said frankly, "NVC's LED products are too expensive, they can't afford to sell at all, and they have to rely on other brands to support their performance."
"In fact, after four or five years of rapid development, the LED industry is transitioning from a pure price war to a value war. The marketing system, product quality, after-sales system, and brand image have gradually dominated. In the final analysis, the degree of trust between manufacturers determines its How far can the channel construction go?" Guo Xiu, secretary general of the Semiconductor Lighting Professional Committee of the Guangdong Lighting Association, said.
According to the interviews of senior engineers, there are many game points for LED products sold by traditional lighting companies. The disadvantages of the latter are mainly reflected in four aspects:
1. In the LED field, traditional lighting companies have reacted slowly to market changes, and the speed, variety and style of new products have not kept up with the terminal sales rhythm.
2. Traditional enterprise transformation LED still needs time to work in R&D design, talent accumulation and marketing system. Most of the manufacturing side relies on OEM/ODM supply, and the price and style advantages are not obvious.
3. The old bank is still the main source of its sales, the main source of profits, so the emphasis is not enough;
4. There is no investment in the upstream and middle of the industrial chain, resulting in weaker quality, delivery, and price than pure LED companies.
Wang Shizhen, chairman of Anhui Pepsi Electric, pointed out that in the period of industrial and terminal transition, the channels of traditional lighting enterprises are also facing a big test.
For example, the loyalty of agents and distributors has been shaken, or the LED brand has directly cut into the distribution system of the city, and the channels have been flattened in advance; there are many LED products for door-to-door sales. Whether traditional enterprises can control LED products is still unknown; traditional enterprise marketing concept More on the basis of past experience, lack of marketable tactics.
In short, relying on the price war to fight the market is only a preliminary measure, and ultimately it is necessary to return to the long-term brand and quality products. 
[Source: LED Engineering's "LED lighting channel" 2013, No. 5 (total of 41) reporter / Zhou Jianhua]