HID xenon lamp market is low

In recent years, the prices of raw materials and upstream components of HID Xenon lamps have continuously risen, and the increase in labor costs has increased production costs. At the same time, some counterfeit HID xenon lamp products are prevalent and a price war has been waged, causing the profit margin to be further compressed. Moreover, consumer brand awareness has increased and distribution channel fees have increased year by year. Under the combined effects of many factors, many automotive lighting companies are beginning to seek to expand sales channel sales. Originally, manufacturers who have been tightly seizing on large-scale channels such as 4S stores have also begun to seek cooperation with other small and medium-sized channels, such as some repair shops, beauty shops, and the newly emerging forces. : Lights modification shop.

In 2005, the golden time of HID Xenon lamps has become history. Nowadays, automotive lighting companies are somewhat sluggish. Breakthroughs have become the consensus of everyone. In the face of 2011, we began to have a new understanding. When the market enters the white-hot competition era of mass production, homogenization, and shorter product life cycle, we must re-review our corporate culture strategy, profit model, marketing model, and core competitiveness.

What is the corporate culture and strategy of automotive lighting?

Today's management has generally encountered a bottleneck, that is, strategy and culture. If it fails to break through, then it will be difficult for the enterprise to develop. If it does not advance, it will retreat, and the bigger the company, the more troublesome it will be. General Tan Xuecheng suggested: Use strategy and culture to drive companies, use strategy instead of strategy, and use data to replace power.

Tan said: The homogeneity is more serious, leading to disorderly price competition. The price war is a kind of war with no strategy for the enterprise, which ultimately leads to the outcome of a dead and broken game. This is what nobody wants to see. The ultimate competition in the industry is brand competition. The basic reason is that the barriers to entry are low, there is no industry regulation, there is no industry norm, there is no industry standard, and the water is very shallow, but it is embarrassing. Our country’s lack of corresponding standards in this area is the main reason that leads to price competition in this industry. Everyone who does a good job is swarming. If you don’t do well, you don’t do it. No matter what, the opportunism is very serious. Persistent.

　 What is the profit model of automotive lighting companies?

The core of this problem can be broken down into three questions: What money does the company earn, what it takes to make money, and how to make money. Perhaps many automotive lighting companies will think that the product is priced at a higher price, the cost is reduced a bit, the cost is reduced a bit, and daily savings are a little, and the company naturally profits. However, the current form is that prices are declining, and some brand companies have risen to the slogan of free installation fee. In the low price and high cost situation, how can automotive lighting companies profit?

At present, everyone's idea is: to crack down on counterfeit products, collectively increase the prices of all brand products, strengthen upstream and downstream product cooperation, strive to reduce raw material costs, improve the product production chain. Although this kind of profit model is old, it is also the only way.

　 What is the marketing model of automotive lighting companies?

It is undeniable that nearly 90% of automotive lighting companies are taking production roads; only a small number of automotive lighting companies have begun to take the road of brand management. In the few enterprises that take the brand road, the basic operation mode is mainly the vehicle factory and 4s shop channel. How to expand sales channels and occupy a larger market has become a new focus of these automotive lighting brands.

Where is the core competitiveness of automotive lighting companies?

At present, sales of many brands in the automotive lighting industry are still relatively good, such as the domestic Jinhua Da, Snow Wright. However, to maintain the long-term passion and brand loyalty of the channel, what are the competitive advantages that companies should be proud of?

Is core product a product? At present, many companies occupy the mainstream sales of the company's products are basically OEM, the company basically has little control, but also subject to the fluctuations of these OEM manufacturers, the current increase in raw material prices led to many brands in the industry in addition to price increases This is the proof.

Is core competence a channel? At present, many companies have a dominant position in the business structure of all logistics-level agents (that is, brand products account for more than 40% of their agency sales). If the company is not a major part of the sales structure of these agents, how can they be the company's core competitiveness?

Is the company's core competitiveness a marketing strategy? Is it brand? Is it R&D and technology? Going further, we will find that many of the brands that do better are in fact only slightly more competitive than those currently struggling on the Red Sea. How do many lighting brands stand out?

Today, Chinese companies are not lacking in knowledge but lack wisdom. They are not lacking products but lack brands. They are not lacking in the types of products but in the soul of products. Our enterprises and entrepreneurs urgently need to change not the ways of doing things, doing business or business, but changing the mind and changing the mode of thinking.