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It is understood that in recent years, due to the decline in the price of LED chips, LED lights have been reduced by 30%, and the current average price is 30,100 yuan. In the first seven months of this year, the export of LED new light source lamps in our city was 9,513,200 units (sets), with a value of US$5,943,400. According to this report, the price of each set is about US$6.4, which is about RMB40. Higher than the industry's lowest price. This is far from the price of LED products produced by companies such as Japan and the United States. According to industry insiders, the market price of American LED lamps in 2010 is about 40 US dollars, and in 2011 it is expected to drop to about 15 US dollars. The price of LED lighting products launched by Japan's five traditional lighting manufacturers Sharp, Toshiba, etc., reached a minimum retail price of $18 in June 2011. This price level is about three times the price of LED lamps in our city. Competition and homogenization profits are getting thinner and thinner. The most important part of the price of LED lamps is the chip, which accounts for at least 1/3 of the cost of LED lamps. The price varies greatly from chip to chip. Insiders pointed out that the most expensive is the US chip, followed by the Japanese chip and the German chip, while the domestic chip is lower in price and its heat dissipation is also poor. The analyst pointed out that due to the late start, compared with the developed countries in Europe and America, the domestic LED industry has a considerable gap in terms of market size and technology. The reason is mainly the lack of core patents, especially the most critical white light, high-power LED lamp heat balance problem, has been monopolized by the United States and Japan, suppressing the development of China's industry. In fact, this is also a problem that the Quanzhou LED industry cannot circumvent. In the LED industry chain, Quanzhou enterprises are still mainly distributed in the middle and lower reaches of packaging and applications. The upstream substrates, epitaxial wafers and chips are rarely involved. The latter accounted for about 70% of the industry's profits, while the former accounted for only 30. Huang Shuiqiao, chairman of the LED Industry Technology Innovation Strategy Alliance, pointed out that there are currently two or three hundred LED companies in Quanzhou, and only one Jinjiang company engaged in chip research and development and production, in fact, white No innovation and R&D, just like processing for people, the added value of the product is very low. Due to the imperfect industrial chain, the models and products of enterprises are similar, and vicious competition among enterprises is mainly reflected in low-price competition. The unchanging or blindly changing sales volume is actually the decline in sales of single products, and the capacity of the entire market is still rising. The decline in sales may be caused by more and more manufacturers, stores, and businesses in the lighting industry. When a merchant encounters a decline in sales, he should take the initiative to open up ideas, seek innovation, and constantly open up market channels to win the winner. If the channel has been developed enough, sales are still declining, indicating that its own risk factors have increased. At this time, businesses need to consider other reasons that lead to sales decline. E-commerce is actually the result of innovation and change, and it also occupies a considerable market share. But businesses should keep a cool head and don't blindly follow the trend. E-commerce channels also have certain limitations in the lighting industry. For example, in the United States, although e-commerce is highly developed, it only accounts for about 15% of the market share in the lighting industry. Therefore, the impact of e-commerce on the lighting industry is not as serious as it might be. Therefore, in dealing with e-commerce, merchants must first break the fear of e-commerce, understand the advantages and disadvantages of e-commerce to the lighting industry, and find differentiated solutions. According to Jiuzheng Building Materials Network, about low-price competition, to a certain extent, is a result of the benign development of the industry, but this is only based on the general cost-effectiveness of the industry products. If the price of low-cost competition is to reduce product quality, this will be a disaster for the industry. The relevant departments of the state are called upon to introduce a series of policies to guide the healthy development of the lighting industry. As a business, we must ensure good product quality, and quality is the basis for ensuring sales. At present, Aumang has not encountered the problem of manufacturers selling goods. Seriously, the actual situation of the goods is a problem in the communication between the manufacturers. The communication between the manufacturers must be truthful, and the implementation must be carried out. There is no problem that cannot be solved. In addition, manufacturers' support for merchants is weak, mainly due to lack of corresponding team support. Summarized in one sentence: Whoever builds the team first, whoever first trains the professional talents, will first do a good job in the market. Team building belongs to the strength of the manufacturer, and the manufacturer should give the merchant support. Of course, the greater the support, the better the business will develop. Strictly speaking, there is no so-called brand in the LED lighting market. Merchants must clearly understand this and actively face the market. There are many small brands in the LED lighting market, but in reality there are too many groceries. The development of the industry is very immature, there is no norm, and the norm requires everyone to act together to form, rather than just shouting slogans. In terms of manufacturers, the quality of products will be well done, and brand promotion will be in place. In terms of merchants, the requirements for manufacturers should be reasonable and appropriate. Communication should be done as much as possible, mutual understanding and mutual support. There is still a lot of room for development in the lighting industry. The business operations of the merchants must be flexibly adjusted according to changes in the market. It is not advisable to change them one-by-one or blindly. In summary, businesses should do three things: First, solid team building, improve the quality of service customers. When the homogenization of market products is serious, the business should consider the differentiation of services; Second, the market sales strategy changes in a timely manner, paying attention to the psychological and spiritual consumption of customers; Third, strengthening the construction of the designer team, which requires more professional and understand more More professional knowledge. All along, for the implementation of policy, service quality, team building, Aumang has a very determined determination, and as this corporate culture, in the LED lighting rivers and lakes, a stable place. The arrival of the new era of LEDs, like the typhoon, has set off a huge change in the lighting market. The continuous influx of various inter-bank resources, the weak performance of the macro market economy, the regulation of national policies, and the emergence of various new ideas and new marketing models have led to chaotic competition in the LED lighting market. The weakness of the macro market economy and the regulation of state policies have led to shrinking sales in the lighting market and slower sales growth of major brands. Intensive cultivation or opening up new channels based on the original channels has become the focus of major manufacturers. At this time, e-commerce just involved in the lighting industry, and was warmly welcomed by manufacturers, distracting the investment and attention to traditional channels. The explosive growth of the number of LED lighting brands is an inevitable stage in the development of LED lighting, as everyone has seen it profitable and has come in. LED lighting brands have sprung up in various markets, and emerging LED lighting brands are rapidly and flatly penetrating the end market, grabbing the market share of traditional brands. Such a market pattern has led to serious product homogeneity, resulting in low-cost competition. Manufacturers have neglected the quality and innovation of products in order to reduce costs. Finally, the industry has fallen into the lack of innovative products, homogenization, low-cost competition and compression costs. Lack of a vicious circle of innovation. The impact of e-commerce has changed the channel, but it has never changed. The theme of real core consumers has not changed. Since 2014, Yuezhi Lighting has independently built an e-commerce platform to cope with changes in future market consumption habits. On the other hand, Yuezhi Lighting has built a network of outlets in Guangdong Province with the concept of the last mile of the service to form an experiential shopping environment that combines online and offline. The marketing law that the terminal wins and the channel is king will not change. Of course, the involvement of e-commerce, the channel mode of the lighting industry is no longer a single mode of traditional manufacturers dealer outlets, but also a complex model of e-commerce, services and so on. In terms of brand agency, Yuezhi Lighting adheres to the open thinking, but never blindly. For the emerging LED lighting brands, we take a comprehensive inspection and careful analysis, do not blindly pursue a brand, and do not miss an excellent brand that can develop in the long run. Just as you have chosen Sanxiong. Like Aurora Lighting, 21 years of hard work and wind, mutual trust and mutual assistance, win-win and win-win.