Home Lighting is Blue Ocean
LED begins to be widely used in home lighting products where market demand is the most important “pushing hands”. With the country increasingly emphasizing energy conservation, low-carbon economy and strategic emerging industries, LED with its characteristic of new-generation green energy-saving light source gains a lot of favor. It is even listed as a strategic industry in China’s “12th Five-Year Plan”, and will get policy support, LED ushers in rapid development.
Nowadays, consumer’s main consumer is growingly younger, social awareness of energy saving and environmental protection is also strengthening; more consumers will prefer the energy-saving LED lighting products when choosing lighting (lighting decoration renderings). As such, traditional lighting enterprises should adjust the existing product mix and marketing strategy; if without timely adjustment, they will gradually be eliminated by market.
Since the last year, almost all traditional home lighting brands started to push LED home lighting products, including Huayi Lighting, Guanhua Lighting, Malan Shi lighting, Londea lighting. Qiantai Lighting and other lighting manufacturers; the market sees eyeful LEDs. Regardless of simple decorative or main light source, or a full range of LED home lighting products, if the enterprise has not introduced LED products, then it has trailed its rivals.
Second and third-tier cities become the main battlefield
For dealers, distributors, logistics providers, contractors and other channel partners, they undoubtedly would opt for profitable products, therefore basically each terminal shop will display LED lamp to attract customers. But channel partners at all levels still have some questions to LED lighting products: which LED home lighting brand should be chose? Which Led home lighting product can easily access to customers?
A lighting company in Zhongshan, Guangdong Province said second and third-tier cities in favor of the second and third-tier home lighting brands. Previously, NVC, Op, Philips and other first-tier home lighting brands dominated Chinese traditional home lighting market, toping out in the first-tier city, while the second and third-tier home lighting brands are generally controlled.
Today, LED home lighting, this “Stand Out” become the key for numerous second and third-tier home lighting brands rapidly entering market. From the last year, many traditional home lighting manufacturers switched to LED, especially Chinese southeast coastal areas saw rapid development, becoming the major battlefield fighting by the second and third-tier home lighting brands.
Many channel partners pointed out, every local shops sell LED lamps with mess price and uneven quality, only the mid-grade second and third-tier home lighting brands achieved relatively ideal product sales, the high-grade LED home lighting products hasn’t sales at all. In addition, most are retail stores and distributors, the second and third-tier home lighting brands are more available of the local market. The dealers generally believe, LED home lighting with price exceeding 40% of the traditional home lighting is difficult to be accepted.
Terminal Market of LED Lighting Hides Risk
After LED home lighting market become gradually fiery, many dealers have been tempted, and urge reliable traditional home lighting manufacturers to switch to LED as soon as possible, or ask the cooperative LED manufacturers to quickly launch new LED products.
According to the survey, many terminal dealers reported first considering fashionable and can-quickly-introduce-new-product brands when choosing LED home lighting brands, due to the relatively good market demand. At the same time, they prefer those high-quality and consumer-affordable home lighting brands. But currently parts of manufacturers encounter such an embarrassing situation: the commercialization speed of LED home lighting products can not keep pace of the demand of channel partners, resulting in the coming apart between production and market demand.
On the other hand, the most important condition for LED home lighting products entering market is quality, and the production process generally decides that a couple of months are needed for new products to come into market. If in order to meet market, LED home lighting enterprises rapidly output large number of immature, unqualified products into market, this will damage their brand image in the terminal market, and finally they will be collectively abandoned by consumers and dealers.
Therefore, haste makes waste. Under the premise of the current LED industry showing immature standard, consumer’s demand for products is arbitrary and irregular; so if blindly pleasing consumers’ strange flavor, enterprise may fall into the quagmire of product research and development, and will finally be cheated by terminal market.