Four factions of the LED price war

After last week's "LED price war - War Analysis and strategy", through the interview many lighting companies responsible person, whether or not to join the price war, and how to deal with the fierce price war and other issues, the enterprises have described their countermeasures. We found that each enterprise according to their own development and strategic positioning of the different ideas, in the face of price war, given the different measures.

War party

Mu Linsen, FSL:

Price war is inevitable!

The size and strength advantage, advantage of the integration of resources, enterprises raise product prices, a prerequisite for the price war; expand market space, to promote the healthy development of the industry is one of the purpose of launching a price war.

The day before, Linsen in Guangzhou has launched the "Sen war" to, and OPPLE lighting, FSL and other industry heavyweights to lift the popularity of LED lighting storm.

Our Limited by Share Ltd Marketing Manager Lin Jiliang said, T8 lamp price war, is to promote himself and began Linsen industry transformation point. It forces people to think about this new change, new situation, new ideas, new values, new rules, new normal.

Our Limited by Share Ltd deputy general manager Zhou Lihong also said, to seek and establish Linsen tonnage and position in the market for the lighting products, is to use the size and strength of its own, innovation to lead the lighting industry. Able to lead the change in the situation, leading the lighting industry in the direction of the change in the direction, and promote the healthy development of LED lighting industry, so that more manufacturers have more room for development. M.L.S. launched the "battle of Sen". The purpose is to create a new value of the industry, is a focus on the price, to create new value of the system is to create new value for the new industry.

FSL, one of the main characters in the price war, this year to participate in the light show in the exhibition by the LED classic series T8 pure glass material consisting of the lamp pole, the success of the audience to win the eye and hot brand. FSL LED division operations director Chen Wenji said that the current low price competition in the LED industry has been very intense, T8 lamp price decline is inevitable. According to Chen Wenji said, although FSL made some adjustments in the price level, but did not decline in the quality of products, but through the integration of resources and programs to upgrade to lower prices, the high price is the future direction of consumer products.

It is understood that the year 2015 is a real turning point in the LED lighting industry, the proportion of LED lighting and traditional lighting into the state of 7 to 3. A new round of price war broke out, perhaps can let users can effectively reduce the initial cost of replacement, whether it is replacing the traditional LED or LED, or replacement, can make LED more popular, at the same time can have a high quality of multi-level multi-faceted market more personalized production.

Harmonic school

NVC:

Its non benign price, rather than Baotuan development

The price war is the benign competition, will make the products with a low quality label, good brand reputation, will eventually restrict the overall export competitiveness of enterprises to enhance innovation capability and enhance the industry, as well as the development of cooperation between enterprises baotuan.

NVC chairman and CEO Wang Donglei pointed out that in recent years, with the increase of export and domestic market cold extrusion, the demographic dividend, reduced operating costs, coupled with the real estate downturn and other troubles, China lighting enterprises always face the complex industry environment. In the field of LED lighting, Chinese lighting market is not full-blown, is already facing a bottleneck in overcapacity, the influx of foreign capital, technical barriers, frequent price wars, severely squeezed profit margins, gross margin and net profit decline in development. The size of the survival and development of enterprises so far, it is not easy. Since 2012, the lighting industry began to enter the brutal reshuffle tide, still in the training of China LED lighting industry frequent "closures" "run away" and "hot" keywords, stage lighting in the world, Chinese enterprise does not play its role, even years in predicament. The plight of China's lighting companies in the prisoner, in the light of this year's exhibition is even more obvious.

Due to the lack of appropriate standards in the domestic market, the domestic LED companies to sacrifice the quality of products to seize the market, bad money drives out good money phenomenon. Wang Donglei think, if not by the healthy development of enterprises caused by the premium, and the falling price of, then accumulated by the enterprise Months and years pass by. brand reputation, may be a low quality label, this is undoubtedly the result, The loss outweighs the gain. poison. Finally, it will restrict the promotion of the innovation ability of enterprises and the promotion of the whole export competitiveness.

Faced with the dilemma of the industry, Wang Donglei suggested that enterprises should hold together for the development of. Baotuan cooperation, collaboration, innovation is to fight, fight quality, create a brand, is to go out, please come in, sustainable development. In the competition to seek cooperation, common development, cooperation and innovation, in order to promote the industry in order to gather the market in order to resist risks.

Wang Donglei believes that China will usher in a promising new development of lighting, and LED lighting is undoubtedly the next outlet. China LED lighting enterprises should continue to improve the technology level, product level, highlight the characteristics of products, optimize the product structure, strengthen cooperation in the upstream and downstream, to ride a huge space in the global market, active, win win respect in competition with international giants in order to reshape the world lighting industry