LED test water real estate market opportunities and challenges coexist

With the regulation of the real estate market, the lighting industry, like other downstream industries such as building materials and home furnishing industries, has been greatly affected.

Although the cost of LED products is relatively high, the improvement of the decoration grade of the house can play the role of “four or two pounds” and can be used as a “small selling point” for value-added sales of houses. Moreover, in the era of the ever-decreasing market of fine decoration, various LED lighting products are also favored by some developers.

In the process of uncertain real estate market and transformation and upgrading of real estate enterprises, the downstream LED lighting industry is facing potential opportunities.

Forced sales model procurement <br> <br> change in the era of rough housing does not need to purchase a large number of building materials, household products. In the era of fine decoration, this situation has changed. Real estate developers not only build buildings, but also need to purchase and install indoor homes and building materials. Lighting products are also covered.

Zhang Baoqing, Director of Cost Purchasing, Beijing Guangyao Oriental Group Co., Ltd. said: “For scattered and individualized products, it is generally purchased through tendering. For large and versatile building materials, companies still adopt strategic partners to purchase.”

The procurement model of lighting products is in the stage of transition from bidding procurement to strategic partners. Similar to other parts procurement, developers pay more attention to three aspects of lighting products: quality, price, installation and after-sales. “There is a problem of installation, commissioning and post-maintenance of lighting products, so it is very important for the manufacturer's services to keep up.” Zhang Baoqing said.

Chen Hao, manager of public relations department of Hangzhou Hongyan Electric Co., Ltd., said that the market is forcing lighting companies to carry out transformation and upgrading. “We are pursuing a transformation in the sales model, and gradually expanding the field of real estate engineering procurement from all previous store sales models. In the field of real estate engineering procurement, affordable housing is our current strategic focus. Because of the cost control requirements of affordable housing High, we mainly introduce some cost-effective lighting products."

According to Chen Wei, Hongyan Electric, which started as an electrician, has been involved in the LED industry since 2009. Through this energy-saving new light source product, it has cut into the entire lighting industry chain and has gained a lot in the real estate engineering market.

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