"The fourth channel" into the LED lighting enterprise standard

[Reporter/Zhou Jianhua] Recently, "G20-LED Summit member company" Sunshine Lighting announced that it will increase its e-commerce channel in China this year, and plans to invest 10-20 million yuan. The purpose of setting up e-commerce channel is mainly to develop its own brand.

“Building own brands and increasing the proportion of lighting sales is an important aspect of the company's transformation and upgrading.” People familiar with the matter believe that Sunshine Lighting's new e-commerce channel is mainly to develop its own brand, so that its own brand in the domestic popularity. The diversification of channels also helps to spread risks.

Nowadays, domestic lighting companies have set up e-commerce channels one after another, regardless of the old traditions or emerging LED companies, such as Philips Lighting, Panasonic Lighting, NVC Lighting, Op Lighting, Tsinghua Tongfang, Laiwei Optoelectronics, BYD Lighting, etc.

“E-commerce is no longer a new concept for lighting companies. Now it has become a standard configuration. There are only a handful of e-commerce departments or companies that have not been exposed to e-commerce.” The lithographic lighting that has won the “Top Ten Internet Brands in the World” Yuan Guilin, general manager of Bee Network, said.

Among them, Zhouming Technology's e-commerce channel left a deep impression on everyone. The first-hour sales of Zhouming Hanyuan brand exceeded 3 million yuan in the “Double Eleven” last year. Ou Pu Lighting also successfully surpassed the online brand Ao Duo Lighting, and “Double Eleven” won more than 49 million orders on the same day.

Alibaba's “Taobao Index” shows that the turnover index of LED in the last 30 days (February to March 2014) increased by 76.5% from the previous month and 78.2% compared with the same period of last year. "The rapid development of LED has become the "new darling" of online lighting transactions.

According to statistics from the High-tech LED Industry Research Institute (GLII), the output value of LED applications in China reached 208.1 billion yuan in 2013, a year-on-year increase of 31%. The lighting market represented by indoor lighting is growing rapidly, showing a booming growth trend.

It is expected that the output value model of indoor and outdoor LED functional lighting in China will exceed 100 billion yuan in 2014. The indoor and outdoor functional lighting of LED still continues the explosive growth trend in 2013, which is the main engine for the development of LED industry.

Different from the above-mentioned first- and second-line brands, enterprises entering the LED application field with entrepreneurial attitude will choose to operate e-commerce as their only sales channel. This trend will become more obvious as the number of enterprises increases.

“Application companies with small scale investment are not comparable to foreign capital and domestic mainstream brands in terms of brand, scale, quality, marketing, etc. Short and fast e-commerce sales platform is undoubtedly their first choice.” BYD Lighting Marketing Director Xiao Zhiyong The senior engineer said.

Dr. Zhang Xiaofei, Chairman of Gaogong LED, once said: E-commerce is launching a strong impact on the offline multi-level distribution system of traditional lighting, and has gradually evolved into an indispensable fourth channel for LED lighting companies, especially for those who originally For companies that do not have the advantages of offline channel resources, e-commerce channels can be used as a magic weapon to open sales channels.

For the small and medium-sized LED lighting enterprises at this stage, it is very difficult for LED lamps to quickly enter the distribution channels of traditional lighting fixtures, and the initial capital investment is also very large. In contrast, the introduction of e-commerce will turn the zero-level channel into a reality, and the product directly faces the consumer through the Internet, compressing the middle-level and second-level wholesalers, and the enterprise realizes direct control of the terminal.

“Now, even some home building materials brands have launched their own online shopping platforms. Consumers can log in to these online platforms and complete a series of operations such as placing orders and paying deposits with a click of the mouse. Why do we hang on to the tradition? What are the marketing steps and models?” said a person in charge of a network selling lights in Zhongshan Guzhen for more than four years.

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