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How LEDs have made breakthroughs in price and channels has become the most realistic problem for lighting companies. In recent visits, the reporter found that the second and third-tier markets such as rural areas have become new territories for LED companies to develop on the channel. How to make LEDs into high-quality and low-cost products to enter the second and third-tier markets smoothly is perhaps an urgent problem for LED companies.
Channel breakthrough: LED wants to illuminate the rural market Since last year, with the downturn in the European and American markets, the domestic market has gradually become one of the main battlefields for many brand companies to fight. LED lighting, which has always been characterized by high price and high grade, has been greatly reduced in price with the application of its scale and industrialization, which has made it possible to open up the vast rural market. It is understood that many LED companies have brought rural The market is seen as one of the main directions of the future.
The attractive prospects of the rural market have also been recognized by Liu Zhu, marketing director of Zhongshan Lanbo Sini Lighting Co., Ltd. Some surveys show that at present, incandescent lamps are commonly used in rural households in China, and their power consumption is eight times that of LED lighting and twice that of fluorescent lamps. With the increasing energy crisis, energy-saving and power-saving has become a global consensus. In addition, LED lighting does not contain metal mercury, is not easily broken, and waste can be recycled. It has become the new green lighting product of choice in the world.
Almost all businesses, including LED companies, believe that China's LED agricultural lighting market will see revenue in two years. From now on, the vast rural areas will become the largest market for LED lighting. Liu Zhu said that in the case of foreign markets being cold and the domestic real estate market is sluggish, the LED lamp market in the first, second and third tier cities has suffered a lot.
Some buyers also indicated that at the end of 2011, China gradually phased out incandescent lamps and accelerated the promotion of energy-saving lamps. The vast rural areas will also become the largest market for LED lighting.
Problem: The product is cheap and the price is tested. The competitiveness of the family's ceiling lamp is about 230 yuan/ç›. Manager Zhang said that their goal is to be the leader of China's LED ceiling lamps. Because the main market is the rural market, they have tried their best in terms of price. Attacking the rural market must be affordable. Manager Zhang said that compared with similar products, the company's products will be cheaper to 70-80 yuan / baht, only in this way in the rural market is more competitive.
With the rapid development of the rural economy and the improvement of people's living standards, farmers' demands for the quality of living lighting are also increasing. But relatively speaking, the consumption power in rural areas is still insufficient. If the price of LED is too high, even energy conservation is difficult to promote. Therefore, how to maintain the advantage in price is the key to LED companies participating in the competition in the rural market.
Manager Zhang said that in 2011, the home lighting industry was struggling and smashing. The biggest bottleneck was undoubtedly the channel. The quality resources of the first and second-tier markets were firmly grasped by the first-line brands. The investment costs of the third- and fourth-tier markets were too large. Many enterprises did not have the investment. Conditions, while the main consumer market for home lighting is the third- and fourth-tier market, home furnishing brands want to increase sales share only to help dealers to develop township sales channels. To achieve high quality and low price, on the one hand, it is to reduce manufacturing costs, on the other hand, to optimize channels to reduce operating costs. Only by controlling costs can we make greater profits.