LED terminal store survival rules: details + brand + positioning

[Source: Gaogong LED 's " LED Lighting Channel" magazine, 2013 , Issue 3 (Total Issue 39 ) ]

The combination of LED and big stores has had a huge impact on merchants, stores, manufacturers and even the entire lighting industry. So will the big store become the mainstream of the lighting market? How to locate and store the terminal size store? The following people in the industry have their own opinions and made suggestions.

01, Hubei Zhimei Lighting Hankou Film Channel Director Duan Zhihai (Organization | Liao Tie)

Terminal stores need to pay attention to small details


If the terminal store is doing well, it can often affect the overall popularity and performance of the lighting square in a region. In particular, the brand needs to be carefully maintained. In addition, the decoration and design of the store should fully utilize the characteristics of the lighting fixture. For example, LED downlights, if set in a wide and bright area, will not reveal its soft, uniform visual effect.

From the development of the industry, we need to pay attention to the details of the market dynamics. At the beginning, when the lighting industry has not fully formed its scale, some lighting companies have begun to work on the research and development of energy-saving and environmentally friendly products, and are at the forefront of LED lighting development. The terminal stores must be keen to smell such a market atmosphere, and timely adjust the product layout and marketing plan in the store.

In the expansion of distribution channels, some regional head stores often only collect money for franchisees, and then become the shopkeeper. The terminal store should be more far-sighted in this section. It supports the franchisees in terms of capital, technology, personnel training, etc. More specific, such as the implementation of staged promotion support, can often consolidate the confidence of the franchisees in the head office, and can In the invisible, establish a good brand image for the terminal store.

Some franchisees do not have a clear understanding of LED products. In the initial stage of opening a store, even the basic differences between LED downlights and spotlights are not well communicated to customers. When the customer asks about the price of the LED lamp, it is often necessary to contact the head office or the manufacturer to obtain the quotation. This situation is obviously due to the weak support of the terminal head office for the sub-distribution store.

02, Chen Ping, Assistant General Manager of Chongqing Xihe Trading Co., Ltd. (Finishing | Zhang Ludan)

Relying on each other


In 2013, all parties are scrambling to seize the LED market. Manufacturers are secretly squeezing energy, and businesses are not willing to show weakness. The traditional lighting stores are gradually vacating a corner, a wall, a cabinet, or even a monopoly area to display LED products. For example, Op Lighting has LED product sales areas in major lighting city stores. NVC Lighting has also opened a storefront display LED product in the image display shop of Oriental Lighting Plaza.

Based on its own strength and the brand advantage of the manufacturer, Dadian displays related products in the form of such monopoly areas and specialty stores. It is understood that the LED products of the first-line brand are generally displayed in front of the people in this relatively high-profile image, while the small stores will display the relevant products according to their actual conditions, such as showcases, exhibition boards, etc. The emphasis on LED products has increased, but everything needs to be done.

Why do first-line brands choose to work with local big stores? Because the big store has a high market share in the local area, it also has a certain market influence, and there are many customer resources. To some extent, it can guarantee the sales volume of these brand products, and the cooperation risk is reduced. This is the so-called strong combination. Of course, while manufacturers rely on local big stores, big stores also need the brand support of manufacturers. Their support is a great driving force for us to move forward. Professional support groups such as LED professional training, technical guidance and design advice make us more confident in the LED road.

03, Wei Jienan, General Manager of Chongqing Kaixuan Lighting Electrical Equipment Co., Ltd. (Finishing | Zhang Ludan)

Find the right place to survive


Some consumers believe in the "big shop principle", this principle does not seem to work in the current LED lighting market. First of all, the price of LED products in the big store is relatively high, because there is a certain brand support; secondly, it is not certain that all the LED products in the big stores have brand convincing power, because there may be “miscellaneous army” in the big store. And among them. The current situation in the Chongqing market is that small-store LED sales outperform big stores, which happens to be the so-called "nameless pawns". Because the price is cheaper, it is easier to capture the hearts of consumers. In addition to engineering channels, LEDs in large stores are often in a cold state. However, in fact, how many LED brands are recognized by the industry and outside the market?

Hegel said that existence is reasonable, whether it is LED in the terminal store or LED in the small shop has a set of self-survival rules. Some people say that big stores will become the mainstream of the development of the lighting market, I don't think so. Take the LED lighting market as an example, the LED lighting market is very large, not a few large stores can digest, even if the big store occupied a large share of the market, there will still be a "missing fish." To give a popular example, small noodle restaurants and hot pot restaurants can be found everywhere in the streets and lanes of Chongqing. Is it that these small stores cannot survive? The answer is no, but if you move these small noodle restaurants and hot pot restaurants to the north, it will be a question of survival. Therefore, there are many market opportunities in this era. The key is how to control the business, find its own position, and keep pace with the times. The survival of the fittest is the truth that the lighting person should always remember.

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