When you mention Wang Laoji, what do you think of? Mention Mengniu, what do you think of? When you mention Libai, what do you think of? When you mention Xiaomi, what do you think of? When you mention BMW, what do you think of? This is the charm of the single product.
In the lighting industry, although the integration of LED elements brings new challenges and challenges to product development, channel development, and marketing models, it does not obliterate the profits and opportunities that individual products bring to enterprises, especially at this stage, especially It is for small and medium-sized lighting companies.
Still in the stage of product competition, LED lighting is coming to the forefront. In the midst of chaos, the comments on the future trend of lighting companies and the industry are endless.
Some people say that the future of the LED lighting era belongs to lighting listed companies because they have funds, resources, technology and talent.
Some people say that the development of LED lighting enterprises must fully integrate the industrial chain and integrate upstream, midstream and downstream resources to obtain development space.
Some people say: LED lighting companies must start the development of all categories, otherwise it is difficult to support the construction of terminal brand image stores, it is difficult to build a strong brand.
So what is the truth? What is the status quo?
The fact is: At present, in the LED lighting industry, there is no real brand. The status quo is: in the domestic lighting industry, more than 95 lighting companies belong to small and medium enterprises.
At this stage, for a large number of small and medium-sized lighting enterprises with limited resources, capital and qualifications, the competition is far from the stage of fighting channels, branding and capital. Most of them do not have the ability to fully integrate the industry chain, and even have a headache for food and clothing. In other words, the development of LED lighting is still in the stage of product competition.
The ultimate goal of the product competition phase is the product. In the face of product layout planning, is it to choose a rich product line, to create a full category, or to concentrate on superior resources and pursue a single product as the king? Many companies initially choose or the first choice is the latter.
Focusing on single items is easier to cut into such choices. The main reason is that the company has limited resources, limited strength or limited capabilities. Yao Huaiju, chairman of Zhuhai Haoping Flat Lighting Co., Ltd., which focuses on LED panel lighting, said in an interview: In terms of products, small and medium-sized enterprises should be specialized, large and large enterprises can be diversified; enterprises below 500 million should be professional Different, more than 1 billion yuan can be diversified.
Of course, the 500 million yuan or 1 billion yuan here is just an estimate. However, Mr. Yao’s words tell us that for small and medium-sized lighting companies, it is easier to obtain more development space by cutting into the market or cutting into the industry.
So, what advantages can small and medium-sized lighting companies achieve in order to cut into the market?
First, the cost advantage; the resources and inputs required for a single product are far removed from the resources and inputs required for the development of multi-category. It can be said that the single product cuts are conducive to the company's own scale of procurement and play a productive advantage, in order to successfully reduce costs and obtain sustainable liquidity for the company. This is a deadly temptation for small and medium-sized lighting companies.
Second, focus on the advantages; the human, material, financial, and energy of the enterprise are extremely limited, and the product development, channel construction, promotion and publicity of the enterprise also need to be targeted. As Deng Zichang, chairman of Shenzhen Changfang Semiconductor Lighting, said: A single breakthrough is definitely more powerful and more secure than a comprehensive breakout. Therefore, single product cuts are easier to focus, and more effective.
Third, the speed advantage; it is true that the direction is more important than speed, but in the new era of LED lighting, the importance of speed can not be ignored. Under the premise that the product price-performance ratio can be guaranteed, and the construction of the channel outlets can be achieved, the company can achieve rapid expansion and large-scale sales, and promote the development of the enterprise.
Fourth, the advantage of sharp knives; tens of thousands of LED lighting companies, the LED lighting market is fiercely competitive, and traditional lighting brands have long been ingrained in the local market. Enterprises that pursue single products are not only expected to rely on high cost performance to impact the market, but also easy to enter the peer channel, and the sneak and parasitic ability in the channel is very strong.
At the same time, however, companies that are keen on the single product champion face some potential concerns and risks in the development process. For example, if the product type of a single product is single and the resources are too concentrated, once the macro policy is adjusted or the market environment is sluggish, the risk coefficient will rise sharply and even threaten the survival of the enterprise.
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