LED lighting companies compete for the market
silicone free antifoams,silicone powder free antifoams,non silicone defoamer,non silicone antifoam NINGBO LUCKY CHEMICAL INDUSTRY CO. LTD , https://www.nbluckychemical.com
In recent years, the performance of LED lighting products has gradually matured, and the lighting market has become the ocean of LEDs. However, behind the bustling is the gradual decline in the price of LED products on the market, and the profits at the bottom of the valley make the production enterprises face a crisis of survival. But if you don't have LED products, lighting companies are also facing the fate of being eliminated by the market. Faced with such a dilemma, LED lighting companies can only find ways to get rid of the price competition crisis. Different companies have different market strategies in the face of price competition, and the results received are also different. I will list them one by one. Strategy 1: Follow the price cuts in the specific lighting field. When individual companies launch price wars, some LED lighting companies often follow the product prices down, and sell the products at a lower price than other companies. To compete for market share and get sufficient product sales and profits. With the help of this trend, the prices of individual companies tend to fall to the lowest point in the market. Due to pressures such as production costs, employee compensation, and factory rents, some companies with weaker overall strength are often squeezed out of the market. On the other hand, enterprises involved in the price torrent of products must save production costs in order to obtain more market profits, which will certainly reduce the requirements of these enterprises for the quality of raw materials produced, and some enterprises will even reduce the production inspection process of products. This will inevitably lead to a big compromise in product quality, and ultimately the consumer's product use rights will be damaged. Such a result will inevitably lead to consumers who are awake from the temptation of low prices lose confidence in the brand of price reduction, so that the price-cutting enterprises face the crisis of integrity, and the survival is the dilemma. It can be seen that the price reduction of enterprises following the price competition is a failure strategy to deal with price wars. SMEs may completely lose hope of development in price cuts and step by step toward decline. Due to the quality problems caused by price cuts and the impact of the credibility crisis, the brand influence of large enterprises will be greatly affected. Therefore, the price reduction strategy can only solve the simple psychological appeals of individual consumers and the short-term profits obtained by enterprises in the price competition, which has no benefit to the long-term development of the enterprise. Strategy 2: Willing to stick to the original price When some LED lighting companies fight for low prices in the market, other companies often turn a blind eye to the price war, so that their product prices do not move, to ensure that they deserve it. Market profit. However, due to the influence of consumers on the pre-emptive attitude of low-priced products, many market shares will gradually be seized by price-cutting enterprises, so that the enterprises that adhere to the original price will lose the market space for long-term development and will surely decline. Enterprises adhere to the original price, and guarantee the guarantee of product quality and the guarantee of corporate brand reputation, and at the same time enable enterprises to obtain stable market profits. However, if there is no follow-up development strategy for this strategy, enterprises will only wait for the demise. Therefore, while maintaining the original price base in the price war, enterprises must formulate innovative development ideas in the fields of production, sales, and research to ensure product quality, market profit, and brand reputation. Energy to enhance their market competitiveness. Strategy 3: Ideas and innovations give product added value In the face of fierce competition in price wars, many LED lighting companies are oscillating between price cuts and sticking to the original price. But aside from the price factor, savvy business operators may find a good way to get themselves out of the price war, and that is to make the product more value-added. When it comes to product added value, the most important part is product quality. At present, many strong enterprises in the LED lighting market face fierce price competition, and do not focus on the surface value of products, but by strengthening research and development strength, standardizing production processes, and increasing production testing links. Let product quality improve to a level. Product quality has improved, companies do not have to care about the price of the product, because high-quality products do not have no market, as long as the product price is within a reasonable range, competitors can hardly shake the stable position of consumers of their products. After the product quality is improved, even if the product price is raised, the consumer is still happy to accept, the price war is bound to make the enterprise easy to unlock. For the technical LED lighting enterprises, the improvement of product performance is also an important means to get rid of the price war. As more functional features of LED lighting are tapped, more companies are shifting their development focus from price competition in the market to technological innovation. At present, the modularization of lighting devices and the intelligentization of lamps have become the two main development directions for technological innovation of LED lighting products. Especially since this year, many LED lighting companies have invested in human and material resources to develop and produce intelligent spare parts and finished lamps, and bring these high-tech performance products to the market, and get a good market response, so that prices can be made on conventional products. Competing companies look down. Driven by this trend of intelligent product technology, some conventional products will gradually be eliminated by the market, which makes some companies' price competition on conventional products meaningless. With the continuous development of LED lighting technology, the value added of products containing innovative thinking companies will become larger and larger. It is precisely because of this trend that price wars may disappear in the vision of the lighting industry. However, the price war is the product of every development step of the industry. Only by improving product quality, continuously carrying out technological innovation and creating more added value of products, can enterprises jump out of the big flood of price wars. Strategy 4: Flexible and promising. Strong market strategy The price war is superficially a competition between LED lighting companies in terms of products and prices, but the essence of this battle is the big struggle of enterprises in market strategy. Companies involved in price wars are nothing more than a flash point to attract low-end consumers through low prices. In order to cope with this consumer's cheap inertia, companies can completely reshape consumers through flexible market strategies. Product confidence. At present, increasing after-sales service is the main strategy for enterprises to cope with price competition. Through strong product tracking services, consumers can establish confidence in products and corporate brands, thus abandoning the temptation of low prices. On the other hand, increasing the investment in advertising can also enable the price-defending companies to pass on the superior quality and unique functions of the products to consumers, so that consumers can understand the importance of using quality products from the media channels. In addition, companies can also wear a protective clothing to resist price wars by regularly holding product promotion activities and participating in market activities such as exhibitions. Therefore, through a powerful and ever-changing market strategy, enterprises can not only keep the smoke of price war away from themselves, but also enable consumers to establish a correct awareness of product purchase and promote the healthy development of all aspects of the lighting industry.