How to break through the five major dilemmas of modern lighting dealers?

by:Saintly     2021-06-03
Without the guarantee of preferential prices and excellent quality, it is difficult for modern lighting manufacturers to gain a foothold in the fierce industry competition. In other words, in the process of capturing the market, lighting companies cannot rely solely on price, but must give full play to product quality, company scale, and brand influence. This is the foundation of Saintly Lightingcompanies' long-term development. At present, sticking to quality requires more corporate self-discipline. On the one hand, companies need to find accurate positioning, resist temptation, do not blindly follow price cuts, and balance the relationship between price and quality. In the long run, to further promote the benign and sustainable development of the LED industry, the national level needs to formulate relevant industry standards to regulate market behavior; strengthen market supervision and formulate relevant policies to ensure the safety of consumers' use of lighting products. To successfully seize the domestic and foreign markets, modern lighting companies must practice their internal skills diligently. Under the premise of focusing on product quality, they must strengthen independent product innovation, break through key manufacturing technologies, and improve the level of production equipment, optimize product structure, and increase product added value. External recognition of products and brands. The modern lighting market is affected by factors such as the macroeconomic environment, e-commerce impacts, and industry changes. In the first half of this year, distributors in the terminal market have had a hard time. Research data shows that the sales in the terminal market generally fell by about 30%. In the war and others, its profit fell by more than 50%. In the business segment, retail remained stable, wholesale had a greater impact, and engineering almost stagnated. Throughout the entire modern lighting terminal market, distributors mainly have five major dilemmas. 1. Homogeneous business model, poor innovation capabilities. Traditional corporate profit models are actually repetitive, which means that more than 80% of what everyone does is repetitive, and repetitive practices eventually push everyone into the corner. 2. Relying on single point and single product support, once the market is blocked, it will fall into a loss situation. With the gradual growth of distributors and the flattening of manufacturers’ channels, it has become difficult and trapped. It is difficult to make money, the profit structure has changed, and the profit rule has also changed. 3. The flattening of channels in the future With the in-depth development of flattening of channels, the situation where rich people make money no longer exists, but everyone has their own channels, so those who can make money will have more and more opportunities to make money. Those who can't make money will find it increasingly difficult to do it. 4. Store costs are getting higher and higher. Traditional companies are renting shops in shopping malls. With the rising of shop rents, store costs are getting higher and higher. In addition, staff wages, advertising fees, delivery fees, and promotion fees must be added. Favor fees, etc. 5. The profit margin is getting smaller and smaller. Now it has reached the situation of 'no promotion and no salesSelling special prices every day, profitable ones can't sell, the price gets lower and lower, the volume is up, I see hard work but no money.
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