NVC Lighting (hereinafter referred to as "NVC") has come to an end in the past few months, and one of the focal points of its business philosophy - the development of LED lighting has finally unified its thinking and began to exert its strength. NVC founder Wu Changjiang recently announced that NVC will speed up the LED industry layout, LED lighting will account for half of NVC's revenue in five years. However, from the current situation, the resistance is not small.
From the perspective of the market environment, China's LED lighting upstream industry generally faces the problem of overcapacity, and has also spawned a price war. On the one hand, the price of LED lamps is higher in the eyes of consumers; on the other hand, the profits are too small for manufacturers. According to industry insiders, in this case, it may be more difficult for big brands to force LED lighting. "Chinese consumer brand awareness is not too strong, as long as it is practical and durable. NVC is a well-known brand in the industry. If you force the LED market, the cost will be higher than that of the average small business. Everyone is too expensive. There is still resistance to hit the brand. Perhaps this is one of the reasons why many large LED companies do not have large leading companies and big brands.
He Zaihua, a senior researcher at China Investment Consulting, also told reporters that although the policy is favorable, it is difficult to predict whether the LED lighting market will soon be gratifying. "First of all, the policy implementation process is slow, LED lights are temporarily at a disadvantage in terms of price, production costs are generally higher than other lamps, and the penetration rate among consumers is not high, so it is difficult to break through in the short term. Second, the LED lamp market is homogeneous. Seriously, lack of reasonable industry norms, companies compete with price rather than technology, and the industry is in a state of disorderly development."
In any case, the trend of LED lighting to replace traditional lighting is very clear. The NDRC’s ban on ordinary lighting incandescent lamps has been phased out since October 1 this year. This shows that energy-saving lighting is the trend of the times. Among them, LED lighting is the most promising city. Many companies understand this trend like NVC and act accordingly. Earlier.
Some time ago, some LED companies have set up a similar national sales channel to seize high-quality channel resources. According to reports, recently, Shenzhen Green Semiconductor Lighting Co., Ltd.'s new brand launch conference, can see a number of NVC lighting dealers. Some NVC dealers said that the NVC dispute has caused them to suffer losses, and that NVC has not been able to keep up with the development of the new, or traditional lighting, so dealers want to find a strong brand dedicated to LED lighting.
“The top managers are fighting back and forth, causing the dealers to have no confidence.†Liu Buchen, the chief consultant of Kuafu’s enterprise management consulting, told reporters that it is normal to lose some channels after the fight.
It is understood that NVC currently has a small share in the LED field. Last year, LED lighting sales were less than 200 million yuan, less than 1/20 of its total sales, accounting for a small proportion of the entire industry.
However, China's LED lighting market is in a period of adjustment. The industry insiders said that China's national LED will gradually become popular. In the process, more than 5,000 LED companies will be eliminated. The industry will usher in a round of integration.
Although NVC is late and the channel is frustrated, its performance is still worth looking forward to. "After all, its brand image is there." Liu Buchen said, "Lance will release the signal of unity to the public. After a period of time, everyone's confidence will resume. The LED lighting market has not yet formed a fixed pattern. There is no big brand that cannot be shaken, so NVC is still very promising to occupy the commanding heights of the market."
He Zaihua said that although NVC missed the best opportunity for the development of LED lights, it is more difficult to turn over at this stage. However, the possibility of returning to the throne of the lighting industry with the resources owned by former leading companies still exists. He suggested: "NVC should clarify the problems in business management, reshape the corporate image and restore investor confidence. Secondly, use the distribution structure of the pre-construction to merge the small enterprises and maximize the channels of re-acquisition; finally, Increase investment in technology research and development, and prepare for large-scale production such as LED in the future."
From the perspective of the market environment, China's LED lighting upstream industry generally faces the problem of overcapacity, and has also spawned a price war. On the one hand, the price of LED lamps is higher in the eyes of consumers; on the other hand, the profits are too small for manufacturers. According to industry insiders, in this case, it may be more difficult for big brands to force LED lighting. "Chinese consumer brand awareness is not too strong, as long as it is practical and durable. NVC is a well-known brand in the industry. If you force the LED market, the cost will be higher than that of the average small business. Everyone is too expensive. There is still resistance to hit the brand. Perhaps this is one of the reasons why many large LED companies do not have large leading companies and big brands.
He Zaihua, a senior researcher at China Investment Consulting, also told reporters that although the policy is favorable, it is difficult to predict whether the LED lighting market will soon be gratifying. "First of all, the policy implementation process is slow, LED lights are temporarily at a disadvantage in terms of price, production costs are generally higher than other lamps, and the penetration rate among consumers is not high, so it is difficult to break through in the short term. Second, the LED lamp market is homogeneous. Seriously, lack of reasonable industry norms, companies compete with price rather than technology, and the industry is in a state of disorderly development."
In any case, the trend of LED lighting to replace traditional lighting is very clear. The NDRC’s ban on ordinary lighting incandescent lamps has been phased out since October 1 this year. This shows that energy-saving lighting is the trend of the times. Among them, LED lighting is the most promising city. Many companies understand this trend like NVC and act accordingly. Earlier.
Some time ago, some LED companies have set up a similar national sales channel to seize high-quality channel resources. According to reports, recently, Shenzhen Green Semiconductor Lighting Co., Ltd.'s new brand launch conference, can see a number of NVC lighting dealers. Some NVC dealers said that the NVC dispute has caused them to suffer losses, and that NVC has not been able to keep up with the development of the new, or traditional lighting, so dealers want to find a strong brand dedicated to LED lighting.
“The top managers are fighting back and forth, causing the dealers to have no confidence.†Liu Buchen, the chief consultant of Kuafu’s enterprise management consulting, told reporters that it is normal to lose some channels after the fight.
It is understood that NVC currently has a small share in the LED field. Last year, LED lighting sales were less than 200 million yuan, less than 1/20 of its total sales, accounting for a small proportion of the entire industry.
However, China's LED lighting market is in a period of adjustment. The industry insiders said that China's national LED will gradually become popular. In the process, more than 5,000 LED companies will be eliminated. The industry will usher in a round of integration.
Although NVC is late and the channel is frustrated, its performance is still worth looking forward to. "After all, its brand image is there." Liu Buchen said, "Lance will release the signal of unity to the public. After a period of time, everyone's confidence will resume. The LED lighting market has not yet formed a fixed pattern. There is no big brand that cannot be shaken, so NVC is still very promising to occupy the commanding heights of the market."
He Zaihua said that although NVC missed the best opportunity for the development of LED lights, it is more difficult to turn over at this stage. However, the possibility of returning to the throne of the lighting industry with the resources owned by former leading companies still exists. He suggested: "NVC should clarify the problems in business management, reshape the corporate image and restore investor confidence. Secondly, use the distribution structure of the pre-construction to merge the small enterprises and maximize the channels of re-acquisition; finally, Increase investment in technology research and development, and prepare for large-scale production such as LED in the future."
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