LED lighting low-cost era is coming, channel war is getting stronger


Lighting as the largest blue ocean of LEDs, upstream and downstream have been waiting for the right outbreak opportunity. As the downstream data continues to improve, the industry generally believes that the era of low prices is coming, the bursting period of the LED lighting market has arrived, and the new round of channel killing is also on the string.
The low-cost era is approaching the counter-cyclical volume, and the prices and incandescent lamps are getting closer and closer. Major research institutes have given high growth expectations for LED lighting. It is expected that China's LED lighting products will grow by more than 80% in 2014.
As the largest and the biggest short board before the LED, the lighting field finally became a woman in 2014. In the third quarter of 2013, the upstream production capacity of China's LED industry began to shift to large enterprises. Taking Sanan Optoelectronics as an example, some small and medium-sized enterprises dragged their white papers due to price wars and transferred production materials to Sanan Optoelectronics. Then the price war of the industry began to slow down. The ecology of the entire industry has begun to improve, and it is in a stage where everything is ready for the east wind.
As the last and largest increment of the LED industry, lighting has been highly regarded since 2009. However, the timing of its outbreak has been unsatisfactory. The reasons are: first, the driving force of overseas markets is insufficient, and the second is also related to its lack of price.
At present, the North American ban campaign has started, product prices have fallen rapidly, and barriers to the promotion of LED lights are being eliminated. LEDinside analyst Wang Fei believes that it is not difficult to observe the recent retail price of LED bulbs in the mainland. The number of LED bulbs sold in the market has soared. The distribution of lumens per dollar tends to converge, and the value center moves down. The era of low-cost LED lighting has arrived.
Channel War 2.0
Wang Fei said that the most important trend in the LED lighting market in 2014 was that the lighting industry was driven by brand-scale economy competition, and the scale economy of manufacturing and the scale economy of the brand, which made the industrial concentration of the LED lighting era more traditional. High illumination. Of course, from another dimension, this has always been the LED lighting of the channel, and the killing in 2014 will be even more fierce.
In the industry model, Philips, Foshan Lighting and other well-known traditional manufacturers at home and abroad have obvious advantages in first-hand, and more choices to promote LED products in the original dealers, stores and other channels; NVC, Sunshine, Op, Sanxiong, etc. The local lighting manufacturers have increased their cooperation with dealers while increasing their investment in the store to increase channel coverage and brand awareness. Changfang, Hongli and other manufacturers extending from LED packaging to downstream applications. Because LED application products account for a relatively low proportion of revenue, and because of the control costs, the investment in its own channels is relatively conservative, mostly based on the dealer model.
Another emerging channel that cannot be ignored is e-commerce. The data shows that in the Tmall platform, during the double eleventh this year, the sales of the lighting brands such as Op Lighting, Ao Duo, Chau Ming Han Yuan and other lighting brands have exceeded 10 million mark. Among them, Ou Pu Lighting is even the official flagship store of Tmall. The store sales of 57 million yuan proudly topped the list, ranking first in the building materials category. In 2013, the newly established Zhouming Hanyuan brand in Taobao Mall, the sales of products in the first hour of the double eleven began to exceed 3 million yuan.
The China Merchants Securities Research Report believes that the sales of LED lighting in the e-commerce channel has a potential for explosive growth. In 2012, the total sales of LED lighting products on Taobao and Jingdong platforms was about 3 billion yuan, accounting for only 7. The LED lighting market is expected to reach 20 or above by 2015.
The new channel will become the focus of some latecomers. According to an industry insider, some LED downstream manufacturers are already considering acquiring some e-commerce brands in order to seek channel expansion.

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