“2016 is destined to be the most important year for the development of LED lighting industry in China. Throughout the first half of the year, powerful LED companies are still struggling in channel competition, and the “breaking ice†situation of circulating products and single products will eventually be finalized. After the finalization, the enterprise should compete for long-term stability and its service quality, and the brand advantage of the enterprise will be more obvious." Lin Yan, deputy general manager of Sanxiong Aurora.
In 2015, the LED market suffered a long winter, but the Sanxiong Aurora is still able to go upstream and actively deploy the market through various means.
Sanxiong Aurora has never stopped, and the recent series of moves has become the focus of attention in the industry. Firstly, we launched a rich product line of smart home lighting products, actively promoted the construction of e-commerce projects, and improved online and offline channel measures. Then, we held a new resource cooperation model and established a bridge between China and the international sports industry. To accelerate the internationalization of its own brand and business.
The steady development of the LED downstream lighting market and the stability of the supply chain are one of the key factors. At the same time, supply and demand changes in the supply chain will be quickly transmitted to all parts of the entire industry chain.
Cost and price have always been the most concerned topics in the LED industry. In the first half of this year, rumors of price increases in packaging and chips have also spread in the LED industry. So, is the market really warming up?
In this regard, Lin Yan said that the strategic suppliers that cooperate with Sanxiong are powerful listed companies and have common goals and considerations for the market. In the face of rising costs, we have our own corresponding measures and will not be transferred to the client for the time being. In addition, we focus on the construction of the supply chain, as well as providing suppliers with optimized product solutions, and strive to reduce product costs, so as to achieve win-win results with customers.
In fact, in the past two years, the LED industry has indeed been experiencing price wars, and thousands of troops have advanced. This has led to price wars and chaos. At the same time, the quality of products is even more uneven, such as cutting corners, shoddy, and counterfeiting.
Price war is not a long-term development plan for enterprises. Lin Yan told Gaogong LED that the reason why Sanxiong Aurora can stand out from the price war is based on the management principle of adhering to both product and service, so as to obtain good results from peers.
In fact, not only Sanxiong Aurora, all companies are the same, should improve product quality as the first goal. At the same time, through research and development to reduce product costs and expand profit margins, in order to provide consumers with high-quality, more cost-effective LED lighting products.
Overall, lighting is still a “low-attention†industry compared to other industries.
This year, Sanxiong Aurora holds hands with Manchester City Football Club, mainly in the hope of using sports marketing to improve its brand image and create a popular brand. At the same time, through the O2O means, establish an omni-channel marketing system to promote the transformation of the brand to younger.
At present, domestic LED lighting companies are holding high the "going out" banner and marching into the world. From the perspective of the global market, developed regions such as Europe, the United States, Japan, and South Korea have high requirements for environmental protection and strong affordability for prices, and there is a large demand for high-end products for LED lighting.
For emerging markets such as Southeast Asia, the Middle East and South America, with the development of the economy and the government's increasing emphasis on energy conservation, the demand for LED products has great potential, but because of the weaker price tolerance, the products are relatively weak. Prices will be more sensitive.
Lin Yan pointed out that the overseas market of Sanxiong Aurora is mainly concentrated in Australia, the Middle East and Southeast Asia. In the future, we will follow the strategy of steady advancement, and set up a team first, including cultivating professional overseas teams, and then slowly develop outward.
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