LED lighting is the "single product success and failure, gain and loss?

Wang Laoji said, what will you think of? Said Mengniu, what would you think? Mentioned Li white, what would you think? Mentioned millet, what would you think? Mentioned BMW, what would you think?...... This is the charm of a single product.

In the lighting industry, although new shocks and challenges brought into the LED element to product development, channel development, marketing mode, but does not erase a single product to bring enterprise profit and opportunity, especially at the present stage, especially for small and medium enterprises lighting.

Product competition stage

LED lighting menacing, confusion, exploration, analysis of the lighting enterprises and the future trend of the industry's speech can be heard without end.

Some people say: "the future of LED lighting is the lighting of listed companies, because they have money, resources, technology, talent. "

Some people say: LED lighting enterprise development must be fully integrated industrial chain, integration of upstream, midstream and downstream resources, in order to obtain the development of space. "

Some people say: LED lighting companies must proceed with the development of the entire category, otherwise it is difficult to support the terminal brand image store construction, it is difficult to build a strong brand. "

......

So what is the truth and what is the status quo?

The fact is: at present, in the LED lighting industry, has not yet appeared in the true sense of the brand. The status quo is: in the domestic lighting industry, more than 95% of lighting enterprises are small and medium enterprises.

At this stage, for a large number of small and medium enterprises in terms of resources, capital, qualifications are extremely limited, the competition is far from the fight channel, fight brand, fight the capital stage. Most of them do not have the ability to fully integrate the industrial chain, and even for the food and clothing problem headache. In other words, the development of the current, LED lighting era is still in the stage of product competition.

The final outcome of the product competition stage is "product". In the face of product layout planning, is to choose a rich product line, to build the whole category, or focus on superior resources, the pursuit of a single product king?.

Focus on a single product easier to cut

Such a choice, the main reason is the limited resources of their own enterprises, limited or limited capacity. Dedicated to LED flat lighting field Zhuhai topopto panel Lighting Co., Ltd. chairman Yao Huaiju said in an interview: "products, small and medium enterprises should be 'professional', large enterprises' diversification"; 500 million yuan of the following companies should 'professional', more than 1 billion yuan can be 'diversified'. "

Of course, the "500 million" or "1 billion yuan" is more of a round number. But Yao's words tell us: for small and medium lighting companies, in order to cut into a single product market or cut the industry, easier access to greater development space.

So, small and medium-sized lighting enterprises to enter the market in a single product in the end what advantages can be obtained?

First, the cost advantage; the integration of resources required for single product, investment and multi category development needs to integrate resources, inputs far apart. It can be said that a single product cut is conducive to the size of their own procurement and production advantages, in order to successfully reduce costs, access to sustainable development of liquidity. This is a fatal temptation for small and medium enterprises.

Second, the focus of the advantages of human resources, material resources, financial resources, energy and so on are extremely limited, and the company's product development, channel construction, promotion, etc.. As Shenzhen rectangular semiconductor lighting chairman Deng Zichang said: a single point of breakthrough, certainly more than a comprehensive breakthrough efforts, more sure. Therefore, a single product easier to focus, more effective.

Third, speed advantage; admittedly, the direction is more important than speed, but in the new era of LED lighting, the importance of speed can not be ignored. Adhere to the "single product is king" enterprises in the product can be guaranteed under the premise of cost-effective, supplemented by the construction of the channel network development, you can achieve rapid expansion, the formation of large-scale sales, boost the development of enterprises.

Fourth, sharp knife advantage; LED lighting enterprises tens of thousands, LED lighting market competition is fierce, and the traditional lighting brand has been deeply rooted in the local market. Promote a single product companies not only in terms of product is expected to rely on the impact of high cost market, while easier access to peer channels, and in the channel and strong parasitic ability to sneak into.

But at the same time, keen on the single product champion in the development process of the enterprise is also facing some potential concerns and risks. As a single product, single product type enterprise resources are too concentrated, once the macro policy adjustment or the market downturn, the risk coefficient can make a sharp rise, even a threat to the survival of enterprises.

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