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The rapid development of e-commerce has affected the industry's profit model to a certain extent while sweeping through various industries. The rise of e-commerce will inevitably affect the investment and profitability of LED lighting companies for traditional and non-traditional promotion models. Then, in the face of the rapid expansion of e-commerce, how should LED companies take advantage of the trend? Recently, the reporter interviewed Mr. Liu Kefeng, the vice president of the high-end lighting brand Meixing Lighting and the general manager of the LED lighting indoor lighting center.
The rise of e-commerce is the development of the times, and LED lighting is an industry that will continue to develop under the theme of promoting low-carbon and environmental protection. Mr. Liu Kefeng pointed out that although the current industry competition has reached a very tragic level, it is a bright prospect for the industry. The rise of e-commerce will inevitably affect the profits that LED companies have gained through traditional dealer channels. This is a stage in which an industry must mature. Therefore, LED companies must respond to their long-term development goals.
At this stage, e-commerce is only a purchase channel in the entire lighting industry. Consumers generally learn about brand information through known purchase channels and traditional media, and then buy high-quality products through e-commerce. . From the perspective of consumers, e-commerce is very convenient. Consumers only need to browse through all the products through one computer. The e-commerce mainly displays popular products, and the cost performance is relatively high. It is its advantage. But the disadvantage is that the e-commerce can not provide services. Mr. Liu Kefeng believes that lighting products are not only products themselves, but also consumers' individualized demand for products. However, e-commerce companies cannot provide a series of services according to the individual needs of consumers. Because consumers include both mass and professional customers, the demand for these two types of customers is different. Volkswagen customers only need to purchase cost-effective products, they can solve the demand through e-commerce. However, the demand of professional customers is high, including lighting design, light design, etc., but e-commerce is still unable to meet their needs. Therefore, Mr. Liu Kefeng said that if e-commerce can solve the needs of such customers in the future development, then e-commerce will become a mainstream sales channel.
As we all know, e-commerce is less expensive than traditional dealers in terms of store, water and electricity, labor, warehousing and logistics. The cost performance of the products displayed is higher than that of traditional dealers. Therefore, the development of e-commerce is bound to be It has a certain impact on the profits of traditional dealers. Traditional dealers earn money on customer and product information asymmetry, but the development of the network will cause this phenomenon to cease to exist. The e-commerce attack will definitely affect the profit of the traditional sales model, and will also affect the original channel combination mode of the lighting industry. Liu Kefeng pointed out that traditional sales models, such as dealers, should embrace e-commerce in response to the development of the times and thus embrace change. Because future products will develop in the direction of e-commerce, LED companies will only accept changes to meet the challenges, strategically deploy according to their own development, current stage goals and long-term development goals, and choose sales channels suitable for their own development, such as circulation-oriented enterprises. E-commerce channels with lower cost and lower profit can be selected, while engineering enterprises only need to strengthen their personalized service capabilities to meet customer needs, thus ensuring the long-term development of enterprises.
E-commerce itself is in the process of continuous evolution, and the lighting industry is only a small cake in e-commerce. With the standardization and maturity of e-commerce platform, e-commerce channel will be one of the more important channels for lighting enterprises. However, from the current situation, Mr. Liu Kefeng believes that lighting companies do not need to invest too much energy on this platform, just be prepared to deal with the rapid changes in the industry and e-commerce. Because the e-commerce platform can only become one of the key channels of the lighting enterprise after integrating more functions such as service and individualized needs. Accordingly, Mr. Liu Kefeng suggested that lighting companies should consider the following three points in the process of building e-commerce channels: one is the development of e-commerce, the other is the development of lighting enterprises, and the third is the degree of integration of e-commerce and lighting enterprises.