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Homogeneous competition "life and death" LED business how to sustainable development?

Jul 15, 2017

In recent years, the domestic LED industry from the star-like dazzling, the influx of capital blue ocean, blink of an eye into the situation of excess capacity. At present, the homogenization of market competition is particularly serious, and the market competition on the basis of homogenization of goods is called "homogeneous competition". In the same kind of products to choose the same kind of environment, enterprises in the face of competition, the most prone to a "reckless" situation, leading to vicious competition. Among the reasons, in addition to access to porch low, the industry plagiarism imitation prevails, product homogeneity serious, leading enterprises to keen on price war, coupled with the market is becoming saturated, demand reduction, so that excess capacity. LED enterprises in the rapid development of the environment, the homogenization of the product will inevitably lead to a large number of enterprises were eliminated. This phenomenon for enterprises, both a huge challenge, but also a rare opportunity.

"In the future, people on the product quality and functional characteristics will be higher and higher, low-cost, low-quality products difficult to form a unique customer, let alone get a substantial profit." Foshan Lighting Association Wu Yulin said.

In order to maintain sustainable competitiveness, how to strengthen the innovation ability to become a business must face and solve the problem. Philips Lighting as one of the global lighting giant, since its establishment in 1891, can be in the brutal competition in the industry for centuries, rely on is its strong innovation. Philips Lighting in the course of the development of the century, through the product, system and business model of continuous innovation, its growing global influence, become the industry benchmark.

Innovative products

Products as the most intuitive way to reflect the value of the enterprise, its ability to continue to become a measure of sustainable development of enterprise one of the standards. Philips Lighting as one of the most innovative lighting industry, both in the LED system components, or finished the finished product, its product innovation is enough to make the industry moving.

For example, in December 21, 2016 held in Shenzhen, LED system components in China Product Strategy Conference, Philips Lighting China Senior Product Manager Mr. Dong Peng focused on the "Fuxing" series COB module advantages and the various models of products The progress of research and development. Philips Lighting "Fuxing" series will be at a reasonable price to provide users with the most excellent performance and system of perfect solutions. "Fuxing" series of products not only in the light efficiency has been greatly improved, but also to solve the technical difficulties of COB cooling, and completely help customers eliminate the consistency of color problems.

In addition, the finished product, the Philips Hue series products since 2014, the official market to the domestic, whether it is represented by the lamp as a decorative product, or to dominate the lamp as a representative of the functional lighting and so on are constantly upgrading and updating. With the continuous increase in product membership, Philips hue series has developed into a huge product family.

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Philips Hue Go LED lighting

Of course, due to the diversity of Philips lighting products, the results of its product innovation I can not one by one example. Philips lighting products in the continuous update and exploration, is undoubtedly one of the important magic weapon to penetrate the market.

In the war of business in the future, to be invincible, you have to keep innovating beyond. Old products will make customers produce aesthetic fatigue and thus lose market share; new products with a new atmosphere, represents a new aesthetic, gives a fresh vision, giving a development trend, so as to win more Many customers. Therefore, for an enterprise, only in their own product innovation to maintain sustainability, in order to compete in the fierce market has a place.

Innovative systems

Recently, Philips Lighting in China to showcase its latest Internet of Things intelligent interconnection of LED lighting systems and products. Including the architectural lighting Active Site system, hotel lighting Dynalite system, office lighting PoE system and InterAct system, retail lighting Dynamic Shop Window system and other unimaginable intelligent interconnection lighting system.

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Philips Lighting InterAct Wireless Smart Connected Lighting System

Philips lighting from the release of a series of new products, the focus of its products to the intelligent interconnection lighting shift. "The future of lighting must be intelligent interconnection. So after two years of effort, in the context of the whole Internet of things, the smart interconnection helps our company from a single product sales company, sells light, sells lights, and services to the system The overall provider of the transition. "Wang Yun said.

The new intelligent interconnection lighting system can help to different industries, through the light transmission of data information, we can talk about the efficient, energy saving, livable, safe, sustainable and so on. In this regard, have to mention is that Philips intelligent interconnection lighting system in the wisdom of urban construction in the field of outstanding contributions. Not long ago, Philips Lighting announced to participate in the city of Los Angeles intelligent interconnection road lighting pilot project to enhance public safety and urban services for residents, tourists and local business to create new applications. Los Angeles has a large network of intelligent interconnection lights, Philips Lighting for its new Internet of things networking technology and features, through the street lights equipped with sensors and software to collect and analyze the data. The analysis results will help enhance the transparency of urban operations and drive the development of new smart city applications.

And in China, Philips Lighting took the lead in launching the CityTouch flex intelligent interconnected road lighting system in May 2017. Recently, Philips Lighting announced that it will deploy the first Philips CityTouch flex intelligent interconnection road lighting system in Changzhou City and Kunshan City, Jiangsu Province, to help the wisdom of the two cities. In the Philips lighting efforts, I believe that China will have more and more such intelligent lighting system case.

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In recent years, intelligent lighting has become a large number of capital hunting beasts. With the development of the Internet and information technology, the future of lighting must be intelligent interconnection. The introduction of lighting into the concept of intelligent interconnection will not only affect the future of home areas, the global smart home market will undoubtedly be affected by this storm, and is bound to play a positive role in promoting the construction of intelligent city. In the homogenization of the competition in the LED industry, intelligent Internet lighting will also become a lighting business a bright way out.

Innovative business model

"With the maturity of LED technology, Philips Lighting is selling products from selling to the concept of service changes, we actively adapt to the development of the lighting industry, the new normal, and constantly adjust the development strategy, transformed into a high value-added service providers." Philips Lighting Greater China president Wang Yun said.

This "product as a service" concept, Philips is applied to the cause of lighting. Launched in 2011, "do not sell bulbs, selling lighting hours" innovative service "Pay per Lux", and has been applied at the Dutch Schiphol airport. Philips and Schiphol signed a 15-year "lighting service solution" contract, designed by Philips in accordance with airport demand, designed three thousand seven hundred LED lighting and lighting equipment. Philips reserves the right to manufacture lighting equipment, the contract during the maintenance of all management and maintenance, the airport only need to pay a monthly fixed service fee.

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Dutch Schiphol Airport

Service economy era, the famous management master Peter Drucker said: "Today's competition between enterprises, not between the product competition, but the business model of competition." Lighting companies are still trying to sell products, Philips Lighting will be "products as a service" business model is a major innovation in the industry move. In the "product is the service" business model, the product use process is the service process, the construction of the service model is the fundamental purpose in the fierce competition in the market to gain a competitive advantage.


China's LED industry, although the rapid development of the formation of a larger industrial scale, and still has a huge market potential, but the core and key technologies lack of short board and scattered, small, chaotic industrial organization is still restricting China's LED Industry International Increased competitiveness. Technological innovation is an important way for the development of LED industry and the basis for enterprises to win future business opportunities is an important breakthrough. To some extent, the future of competition is largely reflected in the technical field of competition.

From the current competitive environment, the integration of the entire LED industry is accelerating, because the industry itself, there are many low-end manufacturers, focusing on price competition regardless of product quality unspoken behavior, will lead to a large number of enterprises disappear, Industry development process, this is a very normal thing. And LED companies want to stand out in this environment, want to maintain the advantages of competition, improve their ability to innovate, must have the important quality.

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