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In recent years, LED has developed rapidly. Many enterprises and capitalists have flocked into this industry. Some new companies have joined, old brands continue to work hard, and there are also small enterprises in the cottage. The LED market is chaotic and fiercely competitive. In 2014, for LED lighting, it can be said that it is a key year for both opportunities and challenges. It is both a golden period of development and a period of survival of the fittest. Some people in the industry believe that the fierce market competition has led to the LED industry entering the reshuffle period. The LED lighting market is gradually becoming saturated. The overcapacity, vicious competition and poor quality of the industry have caused many companies to lose money and even close down; but there is also a view. It is said that the industry shuffle brought by the LED market competition will not be particularly concentrated in the past two years, but the death of the heroic and the quiet disappearance will accompany the large-scale centralized reshuffle, and the acceptance and general application of the LED in the whole market will be applied. .
It is understood that Foshan currently has 1,200 traditional lighting and lighting companies, most of which are involved in LED lighting. Foshan's LED industry 80 is concentrated in Nanhai and Chancheng, with an annual output value of more than 20 billion yuan. Most of the lighting companies in Foshan have many years of experience, a good foundation, and a thorough understanding of lighting technology and optics. Then, as a gathering place of the traditional lighting and lighting industry, the Foshan area faces the fierce competition in the market. If you want to survive the survival barrier and avoid the danger of being shuffled, you need to break through and make your own What about heaven and earth?
Foshan LED lighting companies have some outstanding problems:
First, enterprises are scattered, supporting mainly, lacking independent brands;
Second, the LED industry chain is not perfect, the industrial cluster effect has not yet formed, and the dependence on the outside is high;
Third, the company's research and development foundation is relatively weak, lacking high-quality technical personnel.
The first step: to identify the market positioning, to make a special product, the author learned from the survey data, among the many companies in Foshan, 60 companies have a turnover of less than 100 million, and the lighting industry generally has a turnover of over 100 million. As a preliminary criterion for testing the scale of enterprises, it means that there are still quite a few enterprises in Foshan still in a state of survival.
It has been pointed out that if SMEs want to survive in the LED lighting market, they must be close to the market and be positioned. Don't just see the development prospects of LED lighting, but ignore the LED lighting market is really rushing, and you may die at the bottom of the sea without paying attention. The pricing strategy is actually product positioning. Before entering the LED market, enterprises must understand the characteristics of the LED market and the laws of the industry, conduct accurate market positioning, find a way to differentiate in line with the development of the company, produce products with their own characteristics and advantages, and provide high-quality all-in-one pre-sales. After-sales service to meet market demand.
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Xue Qing, director of the brand management department of Foshan Electrical and Lighting Co., Ltd. believes that the wide application of LED in the field of lighting has subverted the thinking of the traditional lighting era. The survival of the enterprise must be a company that understands and transcends itself. To this end, every company is looking for a way to survive. In a highly homogenous competitive market, product characteristics determine whether companies can find links to user needs. In other words, products are the common carrier of corporate development values ​​and user demand values, and enterprises can only develop under the conditions that users meet. Therefore, products with unique features will easily impress consumers and end users.
Others believe that in this highly competitive LED era, the lifeblood of enterprise development is closely related to the positioning of corporate decision makers. The Chinese hope to make the company grow bigger in a short, flat and fast way. And we see that many of the world's outstanding brands are focused on the field, relying on time to slowly cast. For SMEs, the hearts of lighting entrepreneurs must first calm down, and choosing the right field to do the best is the bright road. After all, if companies want to take care of the brand's finely crafted porcelain work, it will take time to forge the sharp diamonds of the company. All in all, relying on the right domain positioning and innovation based on market demand will enable the company to have enough living space.
The second step: to enhance the competitiveness of products, to avoid the price war, the competition in the LED lighting market is fierce, resulting in uneven products on the market. After many low-end products were put on the market, the advantages of LEDs were not fully demonstrated, causing people to question the LED lighting products. In addition, many manufacturers use ultra-low prices to promote sales. In fact, they are cutting corners, reducing the quality of products, disrupting the normal price system, and seriously affecting the healthy competition in the market.
Huang Dongyun, general manager of sales of Foshan Shandong Semiconductor Lighting Technology Co., Ltd. believes that the LED lighting industry will enter the reshuffle period with fierce market competition, focusing on customer demand, paying attention to product quality, providing quality service and establishing brand. At the same time, constantly Optimizing products and improving the core competitiveness of enterprises are the necessary conditions for enterprises to survive in the fierce market competition. It is most dangerous for companies that use price wars as a means of competition or to reduce production costs in order to maximize profits. Huang Dongyun said that even in the inevitable current situation of price wars, in order to achieve good development and improve the competitiveness of products, grasping customers with product quality and service is also the top policy for many small and medium-sized enterprises that cannot compete with leading enterprises.
Wang Jiarong, general manager of Guangdong Zhaohui Optoelectronics Technology Co., Ltd. believes that there will be price wars in any industry and any enterprise at any stage of development. When the price war is carried out to a certain extent, the company will maintain a part of the price war in the product portfolio to maintain a certain market share. In addition, the price war will certainly sacrifice the function of a certain part, such as the function of the lamp, including material, process, light effect, power supply life and so on. The reason why industry giants have become the mainstream of price wars is that they will find out that products that can now seize market share to participate in price wars during the price war. In addition, products that participate in price wars can not make money or even abandon in order to achieve market impact. gross profit. But this will only be limited to a certain type of product, not a full-price war. People should look at price wars in two. On the one hand, the price war never fades; on the other hand, the so-called price war is only a strategic price war, which is the original intention of the giants to participate in the price war.
In the price war, SMEs simply cannot compete with big companies. Because the large companies have strong capital strength and cost advantages, the product portfolio is strong. Forming its own characteristics and advantages is the way to survive SMEs. On the one hand, small and medium-sized enterprises should avoid the real situation, and should not be hard. We must find out the combination point of the big enterprise product portfolio, find out the entry points and blank spots of the market, develop our own characteristic products, and then focus on the featured products, continuously improve the existing featured products, strengthen the product quality, and put the products through various business methods. Sell ​​out and strive to survive the battle of price wars.