[Channel Research] Op Lighting: Multi-channel parallel under the pressure of transformation

[Text|High-tech LED lighting channel Shenzhen station reporter Luo Shenghua] After a few years of LED driving speed lags behind, Ou Pu has accelerated the replacement speed of LED this year.

From the survey data of 27 high-tech stationed reporters in various provinces and cities across the country, in the first half of this year, Oupu mainly focused on LEDs in the promotion of new products, and the proportion of LEDs increased. More than 85% of dealers accepted the interview of Gaogong's "LED Lighting Channel", which acknowledged that OP has increased its LED promotion efforts this year. Some dealers' LEDs account for more than 90%.


In fact, this change in Op Lighting this year is not unrelated to the changes in the lighting environment. With the rapid development of the LED industry, it has also brought enormous challenges to traditional lighting companies.

Intense competition forced restructuring <br> <br> some time ago, the international lighting giant Osram announced that in order to cut costs, will lay off 7,800 people worldwide. In less than a year, this is the second large-scale "slimming" of OSRAM. As early as the end of last year, OSRAM has announced a global layoff of 8,700 people and spent 100 million euros to build a new LED factory in China.

Philips' second-quarter earnings report showed that its lighting division had sales of 1.943 billion euros, of which LED products accounted for 36% of Philips' sales, compared with a year-on-year increase of 11%. Traditional lighting sales fell 13% this quarter.

Like international lighting brands such as Osram and Philips, domestic first-line lighting brands are also accelerating LED conversion speed.

Take sunshine lighting as an example. In 2013, the proportion of solar lighting LED business in total revenue has exceeded 30%. Sunshine Lighting's operating budget for 2014 was 3.9 billion yuan, of which LED business was 1.8 billion yuan. This means that the proportion of LED business revenue in the company's total revenue in 2014 will increase from 31% in 2013 to 46% in 2014.

Li Quan, brand manager of Sanxiong Aurora, also said in an interview with Gao Guanggong's "LED Lighting Channel" reporter: "In the first half of the year, the proportion of sales of LED products of the company has increased significantly, and in some months it has reached more than 50%. It is expected to be fully in 2014. In the year, sales of LED products will account for about 45% of the entire company."

It is understood that in 2013, OP's LED revenues were 540 million, accounting for 15.2% of total sales. Compared with the above two Opp's traditional competitors, this data is relatively low.

In the context of the gradual decline of traditional lighting and the gradual acceleration of LED transformation, Op is clearly aware of the need for transformation.


The advantage is a significant development effort focused on home lighting <br> <br> is worth noting that, as the Commission announced the suspension of the review, advance disclosure of 589 companies listed Difficult, Op lighting one of them. A veteran of the lighting industry has made it clear that Opp is focusing on home lighting in the traditional lighting era. The IPO suspension project is also focused on the main business of lighting, and continues to expand in the LED lighting era. Will help.

All along, the industry has a very clear positioning for the three giants of traditional lighting in China, NVC Lighting, Sanxiong Aurora and Op Lighting. NVC Lighting and Sanxiong Aurora have an advantage in engineering channels, while Op Lighting is at home. The field of lighting is the leader.

It is understood that Op Lighting was established in 1996, with national home lighting as the main target market, focusing on the research and development, production and sales of lighting sources, lamps and control products.

The company's main products are divided into 4 categories, including home lighting, light sources, commercial lighting, lighting control and other products. Among them, only home lighting products include more than 500 kinds of household lighting products in nearly 13 series, such as living room series, restaurant series, bedroom series, children's room series, study series, kitchen and bathroom series, balcony series.

From the company level, Oupu has no complicated internal management relationship with NVC, and its comprehensive strength is stronger than that of Sanxiong and Aurora. Therefore, compared with the former two companies, Opp's reputation in the industry is not bad.

"Oupu is relatively accurate in the field of subdivision. It has been closely watching the family photo for ten years, so the influence in the field of home lighting is far more than many similar brands." Opal Lighting Xiamen agent Zheng Guiqing to senior engineer "LED lighting channel" reporter said.

With the acceleration of LED conversion in the world, the popularization of LED lighting products in the field of home lighting has also increased.

Relevant data show that the global home lighting market in 2013 was 268.1 billion yuan, accounting for 32.0% of the lighting market. It is the market with the greatest development potential in lighting. It is expected to reach 453.5 billion yuan in 2020. In 2013, the penetration rate of LED lighting in the home lighting market was only about 10%. It is expected that the penetration rate will reach more than 20% in 2014.

Similar to the huge demand for home lighting, domestic lighting companies have also made efforts in the home lighting market. In 2013, Sanxiong·Aurora established a special business unit to develop the home lighting market. NVC lighting, sunshine lighting and other types of companies have also increased the development of the home lighting market.

Under the great opportunity, Op Lighting will not give up. In fact, compared to the above companies, Op Lighting has its natural advantages in the field of home lighting. Wu Yiming, Secretary of Opto Lighting's Board of Directors revealed that the strategy of Opto Lighting this year is to accelerate the LED transformation based on the domestic market, strengthen the home channel and commercial channels, and let commercial lighting and home lighting go forward together.

Continue to consolidate its leading position in the home lighting market, showing that home lighting is still the top priority of Op lighting. According to relevant data, in the past three years, Oupu's home lighting revenue accounted for 37.62%, 37.66% and 43.52% of the main business income, which shows that the application of home lighting in Ou Pu's business accounted for an extraordinary proportion.


Strengthen the promotion of e-commerce channels, dealers are "not satisfied"

On April 15 this year, the “Red Head File” of the Zhengzhou Office of Op Lighting Co., Ltd. was extremely hot. Its content is similar to the exclusive "blocking order" issued by some provincial-level operating centers in the past year. This series of lighting and electrician brands include: NVC lighting, Wrigley lighting, Yiguang lighting and so on.

In order to consolidate its traditional position in the field of home lighting, Op Lighting will carry out various upgrades in the management and control of channel resources and marketing methods this year.

From the actual situation, leveraging traditional channels is still the most effective way for emerging LEDs or established traditional lighting companies to drive sales growth. And the strong brands in the circulation and engineering fields such as Op, NVC, Buddha Photo, Sanxiong, Aurora, etc., their deep and high-quality channels have naturally become the "public"

Opal products cover the fields of home, business, electrician, light source and so on. At present, there are 37 offices, and there are more than 30,000 terminal sales outlets in various channels in China, all over the country. For a long time, strengthening the management and control of its dealers has always been one of the characteristics of Op.

In the storefronts of different levels of market, the performance of Oupu LED lighting products is also different. On the whole, the first-tier cities have strong cohesiveness and rich monopoly images; the second-three-four-fourth cities have a wide range of channels, but their loyalty is weak.

It is understood that in order to consolidate the inherent channels, Op Lighting will use 470 million yuan for the construction of marketing network, further improve the offline network layout, and enhance the penetration of the company's channels by strengthening the investment and construction of commercial, e-commerce and overseas channels. And stereo coverage. Through the home lighting mode such as compound stores, specialty stores, monopoly areas and monopoly walls, it penetrates into the third- and fourth-tier markets of counties, cities and townships.

On the other hand, in order to expand brand influence and increase product sales, since last year, Op began to increase investment in e-commerce.

In fact, compared with the traditional channels, the e-commerce channel is not restricted by the region, and the audience is wide. In addition, the intermediate circulation link can be effectively shortened, and the flat management can be realized, which can effectively save the cost input of the enterprise, so whether it is a brand big coffee or an emerging brand. There are more and more lighting lighting brands entering the e-commerce field. The data from the Tmall platform shows that the overall sales trend of the lamps and lanterns jewelry category is obvious. During the “Double Eleven” period last year, Opal Lighting defeated Oduo and Chau Ming Hanyuan with a sales volume of 57 million yuan in the official flagship store of Tmall. At the top of the list, it ranked first in the building materials category, and it sold more than 4 million yuan for an Ou Pu LED bedroom ceiling lamp.

With a large amount of advertising investment, Op Lighting has taken the lead in the e-commerce field. However, because the online and offline products are not differentiated or sorted out, the price difference is huge, which also attracts the attention of dealers.

"Last year, although the performance of Opal's e-commerce has been all the same, it has also caused our dealers' sales to plummet. E-commerce is a double-edged sword. It is unlikely that Opto wants to do two channels of e-commerce and dealers." Op Lighting Zhejiang Agents believe that Op has thousands of dealers across the country, e-commerce and physical stores are light and heavy, manufacturers have to choose.

As the dealer said, the sales of lighting fixtures on the Internet skyrocketed, but it is not excluded that some companies adopt explosive sales promotion methods that greatly reduce prices and discounts.

The reporter entered the Oupu Tmall flagship store and saw that the slogans such as “2 folds from the audience, mad rush” and “buy lights to send lights” are very conspicuous. In addition, in terms of product prices, the reporter found that the gap between the online and offline products of Ou Pu products is more obvious, especially during the e-commerce activities, the difference between the same product may more than double.

"This method of pursuing short-term profits can create certain results for the brand in a certain period of time, but the consequence is that its server can't bear it." Zhejiang dealer said.

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