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LED enterprise survival, quality and profit

Market like battlefield, evaluation of a collapse of insider comments flying all over the sky, put aside the malignant competition, we should pay attention to this event for industry bring enlightenment: lighting lighting industry, the rationality of the existence of pure electric business platform. According to a person with alibaba analysis, relative to the clothing, daily necessities and other industries, lighting lighting in electric business platform to share is very small; Lighting products of low frequency attribute, the second time the buying cycle is very long. In addition, considering the transportation and consumer psychology, most of the online sales of lighting products price in 1400 yuan the following, more than the price of products rarely can clinch a deal. 
 
Quality is survival and profit 
 
As a result, "small proportion, the second purchase rate is low, profit co., LTD." has become the three major bottleneck of online sales of LED lighting products. Then, we take a look at the online platform for all kinds of marketing costs. Though online business seems very easy, you can maintain a small office and warehouse network daily operations, but in fact, site operations of various expenses and exaction is not lower than the entity shop: employee wages, production cost, promotion cost, logistics cost, the company daily work and management fees, after loss cost, platform commission, brush a single cost, etc., all can add up to 40% of the cost, and more. If you want to impulse, promotion cost increase at least 30%, coupled with the current market environment is bad, the price war, more let already thin margins electric business enterprise more uncomfortable, killing one thousand, since the eight hundred loss. 
 
The three major bottleneck of how to break through 
 
At the same time, because there is no high profits, electricity in have no guarantee product quality and after-sales service, etc. Online platform, relying on inferior low cannibalizing the consumer market, consumers in addition to buy that moment is happy, then every day is painful. In addition, for the company itself operation, long period of low profits or losses, make enterprise‘s ability to resist risk down very low. According to statistics, at present middle class accounted for about 100 million people, by the year 2020 is expected to be up to 6-700 million. Thus, consumption, product quality as comparatively is the development trend of the future market. 
 
Cheap goods, is happy, when buying and after purchase? 
 
Whether entity shop or electric business enterprise, no profit, no way out. A lamp, hundreds of more than 1000 accessories, even hundreds of working procedure, the average gross profit margin is only 30-50%, how to support the national channels and branding? Finalize the lighting products want to rely on scale effect, improve cost performance; And lighting category is various, a single sales of enterprises is not high. So to do fine, make profit, not simply to the cost of raw materials such as glass, metal, wood to determine the price of the lamp, but should be through design innovation, the spirit of craftsman, promote its value-added culture creativity, brand, etc. 
 
Added value lies in intellectual property and brand service 
 
To sum up, quality and profit is the enterprise survival. 
 
Pure electric business platform for the development of road is bumpy, just because of its pursuit of rapid development, but there is no quality and profits, companies could not survive for a long time. For lighting lighting industry, the Internet should not contend with a physical store rob passenger flow, should be as the entity shop online at the front desk, exert its powerful drainage, focus offline store quality, maintain a reasonable profit space, focus on the long-term development of the enterprise, online, this is the best form of Internet + model.