Shenzhen: LED terminal brand "supply in short supply"

[Source: Gaogong LED's "LED Lighting Channel", 2013, Issue 4 (Total 40th) Reporter / Zhang Wei] Although there are many LED companies in Shenzhen, there are very few famous ones in the terminal market, but basically Every dealer has LED products.

In terms of market reputation, some dealers have reported that LED products are getting worse and worse, and traditional lighting products are better. The reason is that the channel layout of LED companies is too chaotic, but behind the seemingly prosperous is fierce vicious competition.

What is even more incredible is that the company gives the product to the dealer for free. This situation makes the dealer feel that the LED product is too easy, even if it is a good product, it is also labeled as inferior product.

On the contrary, traditional brands are increasingly advantageous. At present, in the case of a sluggish terminal market, more excellent dealers are rushing to represent traditional brands.

This shows that the brand is the hard indicator of the terminal market. The worse the market is, the more dealers are willing to increase sales through agency brands. Similarly, the way out for LED companies lies in whether they can establish a brand that is recognized by consumers in the terminal market. .

Non-"main"

After several years of publicity, LED lighting has been widely recognized at the dealer level in Shenzhen. Since the beginning of the year, more and more distributors have been selling LED products, but LEDs lack brands in the terminal, resulting in a mixture of fish and dragons. Willing to recommend traditional products, therefore, LED products are basically still in the "support" stage.

Although every lighting store sells LED products, the market is getting lower and lower. Xie Rifeng, the manager of Shenzhen Shencheng Lighting, said, “The store is mainly selling LED products, but since the second half of last year, acting as Jiamei Lighting, now in the store. Jiamei traditional downlights sell better than LED products."

Wang Xiao, sales director of Shenzhen Lida Lighting Co., Ltd. also agreed that this has something to do with the chaotic channel layout of LED companies. In addition, it is also related to the inventory of dealers. Wang Xiao said, “LED products have no inventory pressure, and dealers don’t have to work hard. Push, but traditional products are not the same, traditional products must be stocked by dealers, if the products are not sold in time, the backlog of products will be more difficult to sell with the emergence of new products."

Dealers are mainly pushing the results of traditional products, making LED store products lag behind in lighting stores. Some LED stores in Shenzhen have never been updated in the past year, and they have been placed in the store for a long time.

Channel disorder

In the channel layout, LED companies have been following the old roads of traditional lighting companies, causing a swarm of bees to seize the dealer resources. Luo Sujun, general manager of Shenzhen Jinghui Optoelectronics, said, “There are still 7-8 batches of LED enterprise salesmen selling products on the daily basis, and most of the business cards on the table are taken away by the salesmen, not the customers.”

LED companies send exhibitors free of charge to the dealers, and they do not need to store their goods, and take the way of customers to book and then ship, and expand the distribution channels. This is the common channel layout method for enterprises at this stage.

However, the competition for distribution channels seems to be irreconcilable. Luo Gang, general manager of Xinhe Lighting, said, “Many salesmen come to admit how good their LED products are. Sometimes I don’t bother to pay attention. After a few days, the board will be sent. In my shop, I don't know which salesman sent it. I have to take the time to move the board to the warehouse for his custody. This not only causes trouble for me, but also wastes resources."

There are many LED products circulating in the market, and it is difficult for dealers to distinguish between good and bad. Luo Gang said, “We are all doing business for old customers. The quality requirements are very strict. In the past few years, the LEDs sold out because of poor quality. The product damage rate is very high, resulting in the loss of many old customers. Therefore, the sales of LED products are very cautious."

Because LED products have no brand, the quality of the products is difficult to distinguish, making dealers more willing to represent traditional brands.

Counterattack

Consumers are keen on brands, dealers are more keen on brands, but traditional first-line brands are strong, sometimes regional protection is not strict, manufacturers salesmen and dealers grab engineering customers and other examples are very common, so that dealers are miserable. Since the LED boom, the enthusiasm of dealers for traditional brands has been weakened. Nowadays LED companies are mixed, dealers feel that they can't start, so the enthusiasm for traditional brands is heating up again.

Li Xiao lighting decoration Wang Xiao said, "Now the brand agent is too fierce, dealers have this kind of psychology, if the sales volume of their own agents is low, they think that the brand is not good, and always think that it will be better to trade other brands. Therefore, Competition for brand agents in various stores often occurs."

After the end of last year, the original Jiamei lighting agent in Shenzhen turned to NVC Lighting. The agent Yang Jinbang told reporters that “Jiamei Lighting’s sales are not good, so give up Jiamei.”

NVC has a high demand for dealers. It is guaranteed to complete the task sales every year. If the task is not completed, the agent qualification will be revoked. This time Yang Jinbang agent NVC, NVC only provides drawings, other decoration costs dealers at their own expense, dealers are willing to spend money to represent NVC, is directed at NVC's brand influence in the terminal market.

Since Yang Jinbang gave up Jiamei, Jiamei Lighting was immediately accepted by Shencheng Lighting of the same store and became the main agent brand of Shencheng Lighting. Therefore, for traditional brand companies, the cancellation of agents is only transferred from one dealer to another, without much loss.

Brand road

The brand position of traditional enterprises in the terminal market makes LED companies covet, but the brand can not be built overnight. It must have high-quality products and good reputation. It has not been precipitated in three to five years, and it is difficult to get consumer recognition.

Nowadays, whether it is a traditional lighting enterprise or an LED enterprise, it is necessary to create a resounding brand in the terminal. The outstanding ones are Shelly, Bejing, Qiyi, and Leike.

As a listed company, Shell Wright lacks brand influence in the terminal, but since last year, Shell Wright has improved its brand image in Shenzhen market with energy-saving lamps and 3.8W bulbs. Agent Xinhe Lighting Luo Gang said, "The Snowlight 3.8W bulb has sold an average of 20,000 yuan per month, and the quality of the product is very good. There is no damage at present."

“Now most of the old customers are introducing new customers to buy Snow Wright products, especially Hong Kong people come to buy lights are dozens of products to buy. As long as Snow Wright does not have product quality problems, it relies on bulbs in 1-2 The brand image can be established in the year."

Bejing Lighting successfully operated in the terminal with the flagship store of the manufacturer. The popularity is also getting more and more popular. Last year, Bejing opened an annual flagship store in Shenzhen, another home lighting city, and sold an average of 100,000 yuan per month. Shop, including 2 Baoan, 1 Longgang.

In addition to opening its flagship store, Beijing also set up a business department to develop dealer channels. At present, most of the stores in Shenzhen already have Beijing outlets.

In addition, Qiyi, Leike, Karl, McGraw and other LED brands have special areas in dealer stores, and these companies are more prominent in the creation of terminal brand image.

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