Hangzhou lighting market: foreign monks chanting?

[Source: Gaogong LED's "LED Lighting Channel" magazine February issue / Xionghuan ring] According to the survey, 90% of the products in the Hangzhou lighting market come from the "Pearl River Delta", and there are very few LED brands in the "Yangtze River Delta". Why are dealers willing to go far and choose "Guangdong goods"?

The "Pearl River Delta" is a concentrated area of ​​the LED industry, and the "Yangtze River Delta", another major economic circle in China, is also vigorously developing the LED industry, and many of them are outstanding. However, Gaogong LED "Lighting Channel" reporter visited several major lighting markets in Hangzhou and found that 90% of the products in the distribution store are from the "Pearl River Delta", and there are very few LED brands in the "Yangtze River Delta". Why are dealers willing to go far and choose "Guangdong goods"? Is it really a "foreign monk good chanting"?

"Pearl River Delta" cost advantage

"LED products are naturally from Guangdong, and there are manufacturers in Zhejiang." When asked by reporters whether the LED products in the store are all from Guangdong enterprises, Shen Ban Road, a store owner said it. "The LED products in our store are shipped directly from the factory. What kind of products need to be booked by phone, you can get the goods in two or three days." According to the reporter's observation, there are several LED products in this store. Brands, companies are in Shenzhen, Zhongshan and other places.

A distributor in the Oriental Lighting Market who was involved in LED products in 2005 analyzed: "LEDs belong to the high-tech industry, and natural Shenzhen and other places have advantages. Not to mention the huge capital advantages required for equipment investment, even if the speed of product replacement, The 'Pearl River Delta' enterprise is also absolutely leading. Moreover, after years of development in the coastal areas, the industrial chain is quite complete, and the price advantage of finished products is obvious. The word is right, and where to buy it at a glance."

“We have been in contact with the industry for many years and have an understanding of the company. For example, a Guangdong company used to produce energy-saving lamps before switching to LED products. Even if it is not well known, if we have contacted it, we will choose to cooperate with it. Conversely, if LED companies in Jiangsu and Zhejiang provinces talk about cooperation, they should consider it.” An Qier Lighting Market, a distributor of a certain brand, also believes that the “PRD” complete industrial chain gives dealers a preconceived goodwill. .

In his view, the cost of “Yangtze River Delta” enterprises from product development, mold production, channel construction, and finished product promotion is higher than that of “Pearl River Delta” enterprises, coupled with the gap between after-sales service and enterprise strength, prompting dealers. We are willing to work closely with the “Pearl River Delta” companies.

"Even if you are a dealer who sells brand-name LED products, he also knows that LED chips, drivers and housings at various price points in Guangdong have different options. As long as the price is right, you can find the corresponding products, but the agent 'Yangtze River Delta' The profits of the company's products may be greatly reduced." The dealer said.

"Yangtze River Delta" brand "lonely"

Compared with the "Pearl River Delta" LED lamps that have died in the market, there are only a handful of LED brands in the "Yangtze River Delta".

Shen Ban Road Lighting Market, a distributor of Anhui LED brand products, introduced the relative quality of some LED products in Guangdong. The quality of Anhui's products is reliable. “But we have just represented the brand soon, and we also run other Guangdong brands. The actual sales situation of this company in Anhui depends on the future reflection of customers.”

“If it is a company in Hangzhou or Zhejiang province, some engineering customers are likely to directly contact the company, without having to use the dealer as a bridge. How do we do business?” An LED dealer who mainly undertakes engineering projects in Shenbanlu Lighting Market To be blunt, "And we represent Guangdong's brands, at least between the customer and the company, and the interest chain will not break."

In the Angel lighting market, the reporter found that a store operating LED products in a listed company in Guangdong has products from local companies in Hangzhou. “Local products are mainly displayed in the store, and the volume is relatively small. Take this 7W ceiling lamp. In other words, unless the size of the customer is just the Guangdong brand, then we will actively recommend the Hangzhou brand.” The boss admitted that the customer also has his own considerations, and the customers who know the market know that Guangdong is the “home of LED”.

"If enterprises want their own LED products to occupy the end market and distinguish them from the casually assembled LED products, they must have sufficient financial support, terminal construction, advertising, etc., not the general LED companies can blindly get involved." Zheng Wei, chairman of the lighting company, believes that the LED products in the terminal market are highly competitive. The company does not have strong financial strength to support it. It is not advisable to build a terminal brand.

"Our company's LED lamps are mainly OEM/ODM. If they are made into OEM/ODM brands in the industry, they have the same broad market. Compared with the end-brand red sea killing, this blue sea market is intensively crafted for the 'Yangtze River Delta'. LED companies are also feasible." Zheng said frankly that the current LED terminal brand competition is fierce, many "Pearl River Delta" LED companies are deeply immersed in it, whether the "Yangtze River Delta" LED companies still have to squeeze into this market, it is worth thinking twice.

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