Actual case: how can LED dealers achieve hundreds of millions of sales?

In the northern part of Suzhou, Anhui, there was a small town called Dangshan. In the early 90s of last century, Wang Shizhen began his career of selling lights. At first, it was only a small hardware store, selling lamps, and selling hardware accessories such as wires and cables, switches and sockets, door locks and so on. Later, in order to seek greater development, Wang Shizhen went to Suzhou, and in 2009 he went to Hefei, the capital city. At that time, Hefei's economy was maintaining a high growth rate of GDP as high as 17%. Wang Shizhen, taking advantage of this good situation and operating properly, is steadily gaining ground in Hefei. At present, Wang Shizhen is a provincial agent of several famous brands of lighting, and has thousands of square meters of warehousing and logistics center, with annual sales amounting to several hundred million yuan.

Brand charm, joining the United States

Wang Shizhen's cooperation with American Lighting began in 2011.

Turning to the reasons for cooperation with the United States, Wang Shizhen replied: "compared with appliances, IT, fast moving products and other industries, lighting is a low brand and low concern industry. Lighting brands are generally lacking in influence among the mass consumers. Even the leading enterprises such as OPPLE and Rex do not necessarily know.

"But the lighting of the United States is different. The brand influence of "beauty" has already penetrated into thousands of consumers. Even in the villages and towns, rural areas, even those with low educational level, they know the brand of "beauty". The lighting of the United States has the brand superiority that other lighting enterprises can not match. At the same time, as a 100 billion class home appliance carrier, the United States Group also has strong financial strength, advanced management experience and strict quality control.

In cooperation with the United States for more than four years, Wang Shizhen showed high recognition of the quality and after-sale service of the lighting products in the United States, and the development of the operation business was also steady and steady. In 2014, lighting sales in the United States amounted to about 10000000 yuan. In the first half of 2015, the performance of about 15000000 yuan has been completed. It is expected to reach 2500-3000 yuan in the whole year. That is to say, in the overall downturn of the domestic lighting market this year, the sales volume of the Anhui region of the United States will be 50% to double.

Two secrets behind counter trend growth

In 2015, the lighting market entered an unprecedented ice age due to the macroeconomic environment, the impact of electricity suppliers and the ecological changes of the industry. According to the research data of Guzhen lantern daily, sales in the terminal generally dropped by about 30%. In the Anhui market, the trend of American lighting is not accidental.

According to Wang Shizhen, in the face of intense competition and transformation pressure, the United States has actively launched two major areas of lighting in Anhui: first, to strengthen distribution, and two to embrace the electricity supplier enthusiastically.

Strengthen distribution and refine terminal

In the past, Anhui was an extremely easy place to escape. Northern Linyi, northwest Zhengzhou, southwest Wuhan, South Changzhou and Nanjing, the surrounding several major logistics wholesale base and luminaire Market will be surrounded by Anhui, the phenomenon of fleeing goods is more prominent, the whole market is fragmented. In recent years, with the rise of local distributors such as Wang Shizhen and the expansion of brand influence, the phenomenon of fleeing goods has basically been solved.

In Wang Shizhen's view, the United States has a relatively perfect lighting protection system, which is conducive to protect the interests of channel providers. For the operation center, it is necessary to strengthen the deep distribution ability and service ability of the county and town market, and to refine the terminal.

As a Wang Shizhen who started from the small town store, he knew well about the consumption pattern, consumption preference and the survival status of the distributors. He not only increased the distribution input, strengthened the terminal delivery and distribution capabilities, but also made meticulous market development, maintenance, service and management for the terminals. At present, we have made intensive efforts in the sales channels, and established a credit system with long-term businesses to provide necessary help for businesses with financial difficulties.

Embrace electric business, distribute win win

The era of e-commerce has arrived, the concept of "O2O" and "Internet +" are very hot. According to statistics, in 2014 1-12, Taobao (including Tmall) sold various lighting appliances (including lamps and Guang Yuan) to 21 billion 700 million yuan, compared with the sales of 1 billion yuan in 2011, a total increase of 20 times. With 80's and 90's more and more preference for online shopping, Wang Shizhen is also actively investing in the business.

"In 2013, we began to try the electricity supplier. After two years of exploration, we now have a better understanding of the operation mode and operation of the electricity supplier. Online sales are starting to take off. The monthly sales volume of the Internet has exceeded 2 million yuan." Wang Shizhen said. It is understood that at present, Mei Zhi Yuan Electric has opened a store in Tmall, mainly lighting LED ceiling lamp, LED lamp, LED bulb, LED tube spotlight and lamp belt, switch socket and row plug.

Compared with 8%-10%'s offline operating costs, the cost of electricity providers is as high as 30%. But Wang Shizhen believes that e-commerce directly facing the terminal customers, not only conducive to enhancing brand influence, but also based on mass data for consumption research. In order to avoid conflicts on line, he divided the products of two sales channels. At the same time, in order to protect the interests of downstream distributors, Wang Shizhen also established a mechanism to share the benefits of e-commerce sales with distributors.

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