For domestic LED Lighting enterprises, the investment for research and development is too large and the cost too high. Now there are some LED Lights enterprises are cooperating with agricultural research institutes. But they mostly cooperate in technical issues of led high bay; rarely do they reach the stage of experiment and application.
The bottlenecks for domestic plants and led lamps technology are small manufacturer size, small quantity of specialized enterprises and lacking of core technology. According to statistics, by the time of June, 2012, there were almost 40 LED plants lighting enterprises in China that had reached certain size. The areas with the largest LED plants lighting demand are respectively the central part, east part and north part of China which are relatively developed in agriculture and flower industry. However, the main LED plants lighting market is in abroad. The domestic demand is relatively smaller and still in the initial stage. There are still not many LED plants lighting enterprises in provinces such as Shandong and Henan.
The competition in lighting market is getting more intense and the environment issues are more outstanding. In this background, plants lighting is now becoming a direction for LED development. Many LED Lights manufacturers are working on LED plants lighting business.
Generally speaking, most light sources used in traditional cultivation are incandescent lights, high pressure sodium lamps and fluorescent lamps. With many unnecessary wave lengths in spectrum, these lights don’t have much effect for the growth of plants. As the fourth generation of lighting source, led area light has a bright future.
According to information, the global production value of led lamps application in plants lighting has grown rapidly since 2013. As a new market, plants lighting has attracted many international giants.
Comparing with these in overseas market, the domestic enterprises are not active in developing plants lighting market. The issues of lacking integrated talents, high investment, lacking patents and low production rate are difficulties faced by all of the domestic enterprises. All of these factors have resulted in the lagging behind of international LED Lighting market and the low penetration rate in domestic market.
As the second largest city in Sichuan, Mianyang has a customer group with strong purchasing power. However due to the generally weak macro economy in recent years, the consumption power in Mianyang is also greatly influenced accordingly.
Now there are more than 200 professional LED light fixture distributors in Mianyang. More than half of them are feeling confused about the future and have nothing to do about the weak economy. More of them are thinking about how to exit the industry and only a few of them are finding new options.
The e-commerce platforms are basically promoting led lamps products of middle and low rank or competing on low prices. The recent case of Pingyi is the best example and lesson for other enterprises. Brands that follow the path of quality will never be under the impact of e-commerce. Customers of those brands are more willing to visit their physical store to experience the product and then purchase LED Lights. Facing fierce market competition, the enterprises shall meet the customer demand with extreme services and high cost performance.
Mianyang also attracts wholesalers and distributors of fast circulatingLED Lighting products.
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Comparing with e-commerce platform, a helpful, self-regulated and coordinated platform for communication is more in need for LED Lightsenterprises. There are already many associations existing at all levels for LED Lighting industry, but most of them are useless with no real functions or effects.
When the led high bay enterprises are under difficulties, can the association be informed immediately and activate bailout? Can the association provide material service for the production and sales of LED enterprises? There are associations in other industries that can lower material cost and arrange centralized procurement for enterprises, but this is rare to see in LED industry associations.
It’s not enough to simply rely on private communication among single entrepreneurs. There should be a platform for LED lights enterprises to communicate all together. Together they should research and make plans on how big the local lighting market is and how large the production capacity shall be.
LED lights enterprises shall have an accurate and clear understanding of the local lighting market and make scientific plans for LED high bay production and led lamps sales.
Recently a company released an announcement that shocked the LED industry. The announcement said the company had acquired a super large order of 8.7 billion yuan with 3 years period. However the announcement is ambiguous without mentioning the specific LED Lights products and the client of the order remains mysterious.
As a new listed company, the company has increased its gross profit rate from 3% in 2014 to 32% in 2015. It has completely beaten the A-share enterprises such as Lehman, Forest and Sunlight. Such a huge order with gross profit rate so high is just inconceivable.
Some LED Lighting enterprises are not running well and they didn’t earn much by selling led area light products. However they made a fortune by selling the company in the price several times higher than its value. Those enterprises are lucky enough to have caught the wave of merge and acquisition and are sold at a fairly good price; otherwise it’s hard to tell if they can survive later.
The abnormal market order has caused abnormal phenomenon in LED Lightsindustry. Some smart guys with ulterior motives will take advantage of the moment and grasp the so called “frontier” and “new tech hot spot”. They would try to seize substantial amount of fortune in the changing market environment and they’ve gotten all kinds of tricks.
One of their tricks is inventing all kinds of pretexts. There’s nothing wrong about double major business or diversity, the key is to be practical and to stick with the goal. However some are getting irresponsible by only playing with concept without actual technology. All they want is ideas and they think idea is money.
This year there comes the trend of changing names among LED Lightingenterprises, and some led lamps enterprises are probably just inventing pretexts. Affected by the current investment concept in the business circle, the led high bay enterprises think only some eye-catching business plans are needed. As long as they can make their market value seems bigger and reach out further with their financing department, there will always be some blind investors. If things continue this way, the LED display enterprises will change their names to “visual technology company” and it will be no longer strange for them to hit on Internet broadcasting.
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With led high bay technologies getting more transparent, the value of technology has relatively reduced. The LED Lights industry has entered a low price and scale oriented age. In the led capsulation there is even a “one billion line” which means if the LED capsulation enterprise failed to make one billion yuan in 3 years, the enterprise will be on the line. Therefore, the capacity expansion in LED Lighting encapsulation enterprise is the most astonishing in LED industry.
Now the concept of making money in this society has changed. Entrepreneurs are now earning money from investors rather than from customers. They attract customers with low prices and cashback to earn market share, and thus they can persuade investors to invest with their large market valuation. This concept has also affected LED industry. Moreover, if LEDlamps enterprises have acquired a market share large enough, they are more likely to gain subsidies and rewards from local governments.
LED enterprises are experiencing both glory and helplessness. Although the demand has always surpassed supply, the revenue hasn’t really increased accordingly.
When the company first stepped into e-commerce, the performance was pretty normal. After professional training and learning, the company marched into e-commerce field again. In 2015 the company reached a sales volume of over a 100 million and made great success.
It was pretty inspiring but only in half year in 2016 the inspiring story was turned into an accident. It has also exposed the helpless status behind every glory story of LED Lighting company. “Although developed fast, the company really didn’t earn much revenue, and it was always in the red.”
The bankruptcy of this led high bay lighting company is definitely no exception. Almost all companies in the LED Lights industry are undergoing helpless status behind seemingly beautiful sales performance. Behind fast expanding there is only worries and confusion.
The strategy of this LED lighting company is to win the market with low prices and then expand. However, with operation cost of e-commerce as high as 40%, the company has accumulated too much lose and risks. Finally thelamps suppliers sued it for too many payments delayed which lead to its bankruptcy.
With the application of new LED Lighting technology on lighting products, there are more and more led chips and light fixture integrated products. In recent two years, LED ceiling light are in a fast developing trend. Owing to the deepening concept of “Internet +” and the implementation of smart city and smart home, smart lighting products will be a new development trend in the future.
When NVC first started, it has used LED to saving more electricity on lighting. The convenience and comfort degree of LED Lights products are improved and LED flood lights applicable in indoor lighting are consecutively introduced.
NVC also devoted in integrated improvement of comprehensive improvement of quality, upgrading and replacement of products, increased comfort degree of lighting, product function, and smart operation. The comprehensive quality of products is further improved, and products are constantly upgraded.
From the cooperation between NVC and Tmall we can tell that NVC is gradually transforming from the competition of low component cost to the directions of brand, network and service. The high end brand image will be built and strengthened to improve international competitive advantage.
Landscape LED Lighting market is a market which focuses on decorating lighting in public places such as streets and squares. Under the support of national policies to put energy saving and environmental friendly industries as priorities, the landscape led lighting market will continue to the major push of light-emitting diode (LED) development.
Home decorating lights are no longer for lighting, but to satisfy the need of certain lifestyle. Customers are more focused on the living atmosphere created by decorating lights and they will consider whether the shape and material of decorating lights match the home decoration. The shape, style and color of light fixture are getting more and more exquisite.
Fashionable, stylish, energy-saving and environmentally friendly decorative lights have become the popular trend for current home decoration. The domestic market is having a growing demand for stylish led lighting, and the color and design are more diversified.
The functions for led high bay are more specified. led high bay lightingfor different circumstances are appearing, such as sunglow light, writing light, daylight lamp , dinner lamp and floor lamp.
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Electrical LED Lighting appliances are necessities for national economic development and human lives. Multiple factors have supported the domestic market development of electrical led lighting appliances.
In the aspect of city functional lighting, transportation infrastructures such as airport, railway, harbor and subway all need led high bay lighting . Moreover, the LED flood light application in city squares, green land, road and architecture has developed from big cities to small and medium sized cities. The potential of demand in city lighting project is huge.
In the aspect of industrial lighting and commercial lighting, factories are more focused on the effect of enterprise production efficiency improvement. The commercial enterprises have invested more on lighting to attract more customers. The lighting in offices, schools and hospitals are obviously improved.
With the constant upgrading of consumption structure, people are paying more attention to choosing decorative led lamp s. And since the real estate industry is developing, indoor lighting will continue to grow up.
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The strategic cooperation agreement of “virtual reality technology innovation and application” is going to integrate LED short distance display technology and VR technology. A platform with the core combined with cultural and scientific technology will be invested and operated in joint effort.
According to the introduction, the new generation of LED flood lightstadium display can achieve multiple display of virtual advertisement so that audiences watching different channels can all see the different advertisements on the stadium display. This will be a new development of VR technology in sports display.
By integrating high tech LED Lighting and double major business on sports, the development of main business has maintained in a stable speed. The wholly-owned subsidiaries have consolidated the supervision and increased the performance; at the same time, with continuous effort on sports resources development and marketing, the sales revenue in sports resources has increased significantly. The led high bay company is working on double major business of “LED Lights industry plus the Internet of Automobiles”. Last year, the company invested in the Internet of Automobile Technological Company and established an industrial fund.
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After the industrial reshuffle in 2015, LED industry is starting to recover in the first half of this year. Statistics from Wind shows that almost half of the listed company in led industry has achieved more profit than last year in the first half performance forecast report. At least 5led high bay enterprises have doubled their performance. Many listed companies are marching new emerging markets such as virtual reality, culture and sports to transform to a diversified company.
After the reshuffle of LED Lighting industry in last year, the concentration ratio has increased. With products prices getting more stable, the environment for corporate earnings has also improved.
In 2015 the penetration rate of global LED Lights has remained the increasing trend and has reached 27%. With domestic LED lamp s manufacturers keeping exploring in new emerging market such as Southeast Asia and India, they will continue to benefit in the future. Moreover, there might be new market opportunities in outdoor led screen and automobile market. What’s worth of notice is the layout of LED listed company in new fields such as VR.
Searching is for finding led high bay products and ranking is made through price competition, this is how it is for surviving and making profit in Alibaba system.
But it’s different in Tencent. The online retailers are ranked according to their LED Lights brands and each one of them can own a brand area for themselves to find their potential customers.
If what Jack Ma built was a forest system of competition, then what Pony Ma built was a brand oriented ecosystem where everyone can have own brand area. In Tencent market customers can find the company through scanning Wechat, know the company and communicate with it. Thus the customers can become long term clients of the company. While in Alibaba, none of the fans in the on the online retailing store is yours. They all eventually belong to Alibaba.
The competition goes on. But once we have the customers with us, we can all calm down and focusing on making better led lamp products. We shall win the competition with innovation and quality rather than prices. It is against the economic rule to compete when there is no revenue for a product.
Last but not least, we hope every lamp retailer can have their own mobile retail position.
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The ecosystem in Alibaba is it’s free to open a store, and when there are many LED Lights sellers they will be charged. We can’t blame the platform for making profit, but the profit point in this platform is too cruel. Because the reality is if you don’t strive for a sell, customers cannot see your led high bay lighting products at all, so you can either fight for it or you sell with cheap prices.
For physical stores it’s easier for customers to identify the quality in led lamp s stores. But on Taobao it’s not the case, you can only see photos. Others sell LED flood light for only ten yuan and delivery free, and if you sell it at 50 or so, who will buy it? Does the customer actually know led chips? Do they know the material of lamp shade? It’s useless to say too much, unless you are big brands like OPPLE. The customers would say your products are the same, why is yours more expensive, I would just go to other stores.
So everybody just sell at low prices. And the sales strategies everybody use? Choosing LED Lighting key words, hiring professional photographers, making up sales volume and opening Direct Train service. When the sales volume and comments reach a certain level, the sellers will apply for other group selling activities. But, have they really earned money? Only hustle and bustle.
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Philips mainly broadcast its led area light brand news and products promotion. While Forest and other LED Lighting companies focus on brand news.
From the above we can tell that Wechat is one type of We Media. The sensitivity for news shall be cultivated to better grasp hot current events. This can be an important method to accelerate the media communication speed and improve the effect of led high bay lightingenterprises. Meanwhile, the effect of the Wechat public account for LED Lights enterprises is not decided by the article numbers. The effect of an public account is not decided by more numbers of articles, but the quality of articles published.
Besides, at this age when We Media is rapidly developing, this age has greatly affected the promotion and public relation of enterprises. Since We Media is joined by all people, easy to operate and fast in communication, it has put promotion and public relation work in a new environment. In this fragmented mobile internet age, it’s crucial for enterprises to manage and operate their self-media.http://www.elitesemicon.com/newsone.asp?t1=1032