Internet hits traditional LED consumption pain points

Now, the Internet is moving from the IT (Information Technology) era to the DT (Data Technology) era, and the combination of LED and the Internet is a trend. The actions of the international giants show some changes in the LED industry: Samsung announced that it will withdraw from the LED lighting business in all markets except South Korea, focusing on the LED upstream core device business; Philips will split Lumileds and sell automotive lighting and LEDPKG services; Osram will soon Selling the lighting business, splitting the LED lighting system, specializing in automotive lighting, project-based intelligent lighting solutions. This change has also appeared in domestic LED companies. On May 18 last year, Abbyson announced that it would stop the LED lighting product construction project and research and development project, and inject funds into the LED display project. The retreat of LED giants at home and abroad is not only a failure to shrink the front line, but also to cut off the profitable business. It is also a fierce competition for the current LED lighting industry, almost unprofitable and silent, and it is also a prospect for the development of LED lighting industry. Worry.

How to develop the lighting industry in the new era? Lighting will develop with the development of the DT era. The key to data connectivity is the Internet. First of all, the semiconductor properties of the LED itself naturally become the carrier and interface in the process of data connection, and also provide more possibilities for the development of smart connected lighting. For example, Samsung Electronics has taken the lead in the smart home market: at the 2015 International Lighting Exhibition (LFI), Samsung Electronics demonstrated a new open intelligent lighting platform that includes LED lighting modules and intelligent lighting data exchange. And the intelligent lighting cloud system three parts, and finally build a multi-faceted cloud system platform including lighting modules, sensors, data analysis, APP applications.

Secondly, from the point of view of marketing, the impact of the Internet on traditional businesses is mainly reflected in the following: First, in marketing and collaboration, the organization is liberalized. Internet economic marketing activities will abolish sales channels, subvert the retail system, and conduct random, direct, online (or O2O) liberalized marketing methods through the Internet, challenging the organized and channelized sales network of the industrial economy. This means that conflicts with traditional channel marketing directly affect the interests of distributors at all levels. The second is in the production, to experience the impact of productization. The Internet economy attaches importance to the user experience, conducts customized production or service, and challenges the large-scale production of standardized products of industrial economic organizations, which undoubtedly plagues traditional and large-scale production. Due to the rapid changes in the Internet, many traditional lighting companies are deeply aware of the pressure of transformation and panic.

First, the Internet brings breakthrough opportunities to the LED industry

(1) Internet hits traditional LED consumption pain points

At present, domestic LED lighting companies mainly sell through engineering channels and dealer channels, but for the latter entrants, the input and output in these traditional channels are gradually disproportionate. Traditional lighting companies such as NVC Lighting, Op Lighting and Sanxiong Aurora, etc., their huge terminal sales and brand influence stem from having a distribution network throughout the country. For example, NVC Lighting has 37 operating centers and more than 3,000 specialty stores nationwide.

However, the Fengguang legend that fell in 2014 is precisely the way to copy the channels of traditional lighting companies such as NVC Lighting to expand the country, and finally collapse due to the break of the capital chain. It is difficult for newly-entered LED companies to break the channel pattern of the traditional lighting industry, and it is difficult for manufacturers and dealers to break through the game. NVC Lighting and other companies have accumulated nearly 20 years in the channel field. They have cooperated with large-scale dealers nationwide for many years and have developed many channel rules. The newly entered LED companies generally dig their dealers, but it is difficult to shake. .

The traditional lighting sales channel is controlled by the original giants, and if the new LED companies rush to expand, they need to invest a lot of money, and even do not receive the expected results, and if they do not expand the channel, it means that the "cake" is gradually being robbed. Going, LED companies seem to be in a dilemma in the channel.

However, at the other end of the traditional channel trapped, the e-commerce channel has already quietly risen. Alibaba, Jingdong and other e-commerce platforms re-created information flow and logistics, and the channels were completely flattened. The former "marketing pyramid" was wiped out overnight. Therefore, the LED manufacturers who knew the aftertaste began to think about the way to go to the e-commerce market. After the first person who had eaten crabs, everyone started to actively plan to rush to the network e-commerce, and now they have the LED. E-commerce competition pattern.

(2) Internet helps enterprises to develop third- and fourth-line markets

After years of development, the traditional lighting brands have accumulated a lot in the channels. It can be said that they have established their own hills and territories. The emerging LEDs want to rush into these territories, they must take a unique feature. Roads, such as rural encircling cities, for example, preemptively occupy the lighting market in second- and third-tier cities and even fourth-tier cities. However, at present, although there are many lighting cities in the city of the third- and fourth-tier cities, the lack of climate-generating hypermarkets is dominated by specialty stores or small stores. On the one hand, these stores have fewer types of stocks and higher prices; on the other hand, consumers increasingly prefer to buy a small number of lamps online. Therefore, the Internet can effectively help enterprises develop markets in third- and fourth-tier cities.

(3) The breakthrough of e-commerce into traditional LED enterprises

The main characteristic of e-commerce for consumers is that it is convenient and cheap. It can buy products without leaving home, and it can also be delivered to the door, saving time and effort. For the merchants, developing e-commerce can save the storefront fee. Labor costs can be saved. Enter LED keywords in the e-commerce webpage, you can have a large number of LED products, you can also sort by brand, type, home decoration style, etc., some will also mark the color temperature, power, applicable space, etc., consumers are very convenient to choose, Moreover, online shopping is not restricted by geographical areas and has a wide range of radiation. These are the advantages of choosing an e-commerce. By experiencing the form of the store to better extend the reach of the e-commerce channel, let consumers come to the store and see the greenness of the LED lights. Through e-commerce, manufacturers can directly sell the lamps to the users, and can also understand the preferences of users. ,shopping habit. Information such as consumption intervals and installation questions is more competitive than traditional channels.

In the case that the overall overcapacity situation in the industry is still grim, and the civil market has large uncertainties due to the sluggish real estate market, the innovative marketing model through e-commerce is one of the best breakthroughs in the development of LED enterprises.

Second, the challenges and challenges faced by LED enterprises in the Internet

Traditional enterprises have turned to e-commerce platforms, facing challenges in terms of talent reserves, information systems, business models, etc. Product reserves and logistics are a major difficulty for traditional manufacturers. In the double eleventh of 2012, it took six months for furniture manufacturers to complete the delivery of the products sold on the same day. Therefore, not all traditional enterprises are suitable for e-commerce platforms, high-level not paying attention, core team ability mismatch, product and brand differentiation are not high, etc. are not suitable for blindly entering the e-commerce platform.

In addition, as far as e-commerce itself is concerned, there are still some shortcomings. As far as LED lamps are concerned, some LED lamps are fragile products, such as LED bulbs, LED tubes, LED ceiling lamps, etc. Although acrylic materials are used today, they are resistant to pressure and are not easily damaged. However, during transportation, it is inevitable that it will cause damage. If it is damaged, it will also involve shipping problems. After-sales service and installation problems also need to be noted, some complex lamps often have to provide on-site installation services; in the process of use, if there is a problem, how to keep up with after-sales service, this is also a problem to consider.

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