Three major trends in the future development of China's lighting industry

After more than 30 years of development, the lighting industry has come to the forefront. This is of course related to the industry's low-profile industry attributes, but the more important reason is that most lighting companies have weak brand awareness, and they focus on competition at the product and price levels, rather than competition at the brand and culture levels. Of course, there are also some companies that want to be well-known brands in the industry, but they can’t be taught by law.

 

Li Zhen believes that in order to understand how brands operate, the level of “skills”, domestic companies must grasp the development trend of the industry – “Tao”. The future competition is to grasp the trend rather than seize the opportunity of competition. The well-known brands in the industry such as Op, NVC, Sanxiong and Aurora have not foreseen in advance and successfully grasped the development trend of the industry.

 

In order to make a difference in the brand and the market, future lighting companies need to pay attention to the development trend of three industries:

 

Trend 1: Mixed media communication

 

Many lighting companies are very confused. Why did the spokespersons please, CCTV ads hit, but the market effect is average? This is because they did not grasp the dynamic characteristics of the communication environment.

 

Since the birth of the Internet, the entire media environment has undergone earth-shaking changes, and communication has entered the era of mixed media. In the mixed media era, a single, one-way, indoctrinated form of communication has fallen behind, replaced by two-way communication. How to use the spread value of the Internet and cooperate with traditional media for three-dimensional marketing will become an important homework for corporate brand marketing. Fortunately, some lighting companies have begun to realize the important value of the Internet. NVC Lighting is at the forefront of lighting marketing. At the beginning of 2010, NVC Lighting commissioned the DM network integrated marketing agency to start network promotion services, and the market response was excellent. Only SEO optimization + keyword marketing service, this powerfully occupied the Internet users into the Internet portal. Previously, the sales of various stores were basically 100,000/month (low season); between 100,000 and 300,000/month (peak season), there was no turnover in online sales. After the promotion, only the network sales turnover increased by 75,000 in June, accounting for almost two-thirds of the sales of traditional stores. In mid-July, the network sales revenue alone reached 50,000.

 

With the multiplication of traditional media, such as TV, newspapers and outdoor media, the effectiveness of advertising has gradually weakened, and the network communication in the mixed media era will become the way for small and medium-sized lighting companies with limited resources to seek brand breakout.

 

Japan’s ** management master Daqianyan said that it is more important to grasp the trend than to seize the opportunity. The lighting industry is a promising industry. Among the more than 10,000 existing companies, who can find and grasp the dynamic trend of industry development, then who is likely to rewrite the industry's competition rules and promote the industry's reshuffle and upgrade.

 

Trend 2: Consumption upgrade

 

The consumption upgrade includes two aspects: one is the external promotion of government power; the other is the internal pull of consumer demand.

 

The lighting industry is a high-energy industry, which consumes and wastes resources. In recent years, the government has begun to strengthen guidance and support lighting enterprises to implement industrial upgrading. In 2010, the country will subsidize the promotion of 150 million high-efficiency lighting products, Lu Ding Ji. This huge cake will be divided by 35 excellent lighting companies. This is the third consecutive year that the state has subsidized high-efficiency lighting products, and has set a new high in terms of the scale of subsidies and the number of successful bidders.

 

In addition to the promotion of subsidies for high-efficiency lighting products, along with the “Ten Cities and Ten Thousand Cities” project, the state has also strongly supported the application of LED lighting products. Municipal and infrastructure projects such as urban beautification and road lighting are keen to use LED lighting products to directly support a large number of LED lighting manufacturers. The signal conveyed by the policy to the lighting industry is no longer obvious. Green and efficient will become the inevitable direction of the future development of the industry.

 

LEDs are changing the face of the Chinese lighting industry. In addition to the increase in professional manufacturers, traditional lighting companies have launched LED lighting products. What's more, traditional lighting products have been transformed into LED products. "If you don't do it, you will fall behind. If you are behind, you will be beaten." Traditional lighting companies have issued such a sigh.

 

With the improvement of consumers' living standards, consumers' demand for lighting products has been upgraded from the single lighting demand in the past to fashion, taste, mood, intelligence, environmental protection and grade. In order to get rid of homogenized product competition, enterprises must strengthen their insight and research on consumer demand. Meeting consumer demand is a low-level marketing, creating consumer demand is a high level of marketing.

 

For lighting companies, the support of the old leaders (government) determines the social resources of the enterprise; the support of the common people (consumers) determines the market position of the enterprise. Therefore, how to grasp the country's demand for environmental protection and energy conservation of lighting products and consumers' demand for fashion, taste and individuality, and satisfy the "two olds" will determine the speed and scale of the development of lighting enterprises.

 

Consumption upgrades will influence the future development of the lighting industry. If Oupu, NVC, s and other domestically produced **** seize this opportunity, it will be possible to enter the room and compete with Philips and Osram in the high-end market.

 

Trend 3: Market sinking

 

The Chinese market is a binary pyramid structure consisting of urban and rural populations. The urban population, which accounts for 20% of the total population, has always occupied the main position of consumption. In the lighting market, the affluent class at the top of the pyramid is basically dominated by foreign brands such as Philips, Osram and GE; the middle of the pyramid is home to domestic first-line brands such as NVC, Op, Sanxiong, Aurora, Sunshine, Langeng and other brands. The bottom of the pyramid is filled with low-end, low-cost, inferior products, and there are few brands at all.

 

With the urbanization of the rural population and the state's support for the rural consumer market, the purchasing power of the second- and third-tier markets dominated by the rural areas has gradually been released. Farmers also have brand needs. With the improvement of rural purchasing power, more and more consumers in the second and third-tier markets have turned to the pursuit of brand and quality from the past “price is cheap, can be used”. The second and third-tier markets have a large population base, large demand, and relatively weak competition. This is undoubtedly a rare opportunity for some emerging brands or lighting companies that are trying to enter the first-line market and are unlawful.

 

Therefore, for the majority of the backward brands, instead of risking a huge risk, investing a greater price and foreign brands and domestic first-line brands to grab the first-line market that has already been fiercely competitive, it is better to temporarily abandon the first-line market, starting from the second, third or even fourth-grade market. Start and take the route of the countryside surrounding the city. The all-friendship home in the home industry is a model of rural encircling the market. Today, Quanyou Home has firmly established itself in the county-level market and has taken the pace of shifting to the prefecture-level and provincial capital cities.