[Text / high-tech LED Yue Mengdi] "Prices continue to decline, revenue continues to grow." Recently announced the LED listed company's third quarterly report hit a deep low-cost mark.
"Price competition has intensified this year. At present, everyone is struggling to see who can survive this year and next year." The person in charge of the listed company told Gaogong LED that the price of this year has become mainstream.
This was also confirmed at the just-concluded Guzhen Light Fair.
The four-day Zhongshan Guzhen International Lighting Fair (hereinafter referred to as the "Light Fair") will be closed today. This light fair has set up more than 1,400 booths, attracting many exhibitors and buyers at home and abroad.
However, the crowded pavilion is not as impactful as it might seem. Affected by the global economic downturn, the appeal of the Fair is not as good as it used to be. It is understood that among the exhibitors this year, there are 408 exhibitors in the city, including 276 in the town; large-scale LED lighting companies that are familiar with them are rare.
Zhongshan is known as the “China Light Capitalâ€. The light fair aims to provide a one-stop shopping platform for buyers. Therefore, the exhibitors exhibit electric lighting products, decorative lighting products, LED products and outdoor lighting products. Wait. There are many domestic and foreign wholesaler purchasers who come to the exhibition. In addition to lamenting the convenience of Zhongshan procurement, the price here is also very impressive.
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In the pavilion, there are not a few eye-catching prices. Some companies have hit the "3W bulb 0.8 yuan, 3W panel light 3.4 yuan" price, causing many people to stop watching. “Our factory is not making much money, but the dealer can make money after getting out of the goods!†A company salesperson with bulbs, tubes and grille lamps as the main products said that they have several factories and bulbs every day. Shipments can reach up to 100,000.
"We only entered the market in Zhongshan this year," the general manager of a lighting company in Shandong told the author that they are not familiar with the Zhongshan market, but for a long time the name of "lights", entering Zhongshan is also for the convenience of procurement and market development. The streets and towns of Guzhen are all related to lighting, Huayi Lighting City, Times Lighting Plaza, Star Alliance, Light Cube, Lihe Lighting Plaza and other major stores. "China's lamp capital" is well-deserved.
Just in August of this year, Sunshine Lighting (600261.SZ) set up a branch of Guzhen, which is a local resource, which is convenient for raw material procurement, product style renewal, channel circulation and after-sales service.
In fact, Zhongshan’s low-cost volume has been in existence for a long time, and it is precisely because of the low price of “lights†that it has quickly opened up the market for LED lighting products. The 3W bulbs that don't cost a dollar make many foreign LED companies discouraged.
Today's ancient town has not been prosperous six months ago, Humen Bridge and the city is not the traffic jam, is the best evidence. The market has given Zhongshan the most direct label - low price, volume, but also very appropriate. "We can't do it with Zhongshan." The owner of a LED lighting company in Shenzhen said in a chat with the author a few days ago, "The competitive pressure is already so big. If we stop paying the price, we will only die faster." Come, the success of Zhongshan is also a major driving force for foreign companies to find new competitiveness.
Since the beginning of this year, the price of LED industry chain has been declining. According to the research data of GGII, the price of single chip of upstream chip has dropped by more than 30%, and the price of packaged device has also dropped by about 30%. Some devices The price has dropped by more than 50%. As for the LED lighting application, there is a phenomenon that is not consistent. Light source lighting products, such as bulbs and lamps, have also dropped by about 25% in the first half of the year.
"The LED industry is maturing, and the number of enterprises will be less and less," said a senior analyst at GGII. It is difficult for companies that are going to take a low-cost route to face competition in the future and even in the current market. Many companies will face a crisis of survival.
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