Analysis of flat trend of LED lighting industry

Introduction: an important driving force for the rise of electricity supplier is to reduce intermediate links. Reduce intermediate circulation is the first to bring the price reduction, and to accelerate the circulation speed of products, has a positive meaning at the same time to reduce intermediate links caused by logistics and transport energy consumption, labor cost etc..

In the lighting industry, and the flat channel agent system is a large regional agency system (that is, mainly to the wholesale lighting logistics business concept). The "logistics" and "solely responsible for cargo transportation logistics business" is not the same concept, but the cross, that part of the transport of goods "logistics" is also the wholesale product "logistics"), is the enterprise brand products sales right in large areas, such as a province the right to grant a distribution agent. Channel flattening is to narrow the regional agent, such as prefecture level cities (including the provincial capital city) as a unit, or even a smaller range of agents to grant an agent.

Obviously, in comparison, enterprise development regional agent difficulty is relatively easy, in the capital city or regional wholesale center (such as Jiangsu Changzhou, Shandong Linyi) the development of a province's sales agents, basically can give the agent to do. The flat channel is in need of a dozen or more development agents, the development is much more difficult to. Therefore, the beginning of the implementation of the agent system of enterprises have chosen to expand regional agency.

However, with the change of the environment and the development of the industry, the implementation of flat channel conditions mature, flattening began to occupy part of the agency system". According to the investigation, at present, the lighting industry part or most of the strength of enterprises has abandoned the big agency early, the agency system or the implementation of regional agents and flat coexist, and the flat is gradually replaced by large regional agency.

Agency system from the regional agent system to the flat agent system for the following reasons:

First, the policy level support. From the point of view of energy conservation, the policy level has been to promote the work of reducing the intermediate link. From the central government to local governments have introduced the support of information technology development, e-commerce development of the outline and planning. To reduce the flow of links to build a policy environment.

Second, driven by industry competition. Lamp enterprises competition includes each link, reduce the circulation is an important content to improve competitiveness, reduce circulation enterprises can bring direct price competitive advantage, especially in the lighting industry, price competition is very fierce, prices tend to become a tool to seize market share.

Third, the results of the game manufacturers. Whether it is a large regional agency or channel flattening system, there is a game between manufacturers (the relationship between the interests of manufacturers and the interests of the game is a dialectical relationship). The agent system of large area is a restraining factor for the enterprises to pursue the maximization of benefits. Similarly, agents are also seeking to maximize the interests of. This game is often in a state of equilibrium, once the game imbalance, the ultimate result is that the company broke up. This sometimes broke up with gunpowder, and then as NVC Zhejiang agents had been to court. The main way for enterprises to avoid the game is to implement channel flattening.

Fourth, brand development needs. Flat channel agent system, help enterprises control agents, agents of loyalty to the enterprise is also greatly improved, which is beneficial to improve the enthusiasm of the manufacturers to build brand, store building, brand promotion, etc. will be on to a new level.

Fifth, collect and pay the risk of speeding up the popularization of flat channel agent system. The purchase and sale of flat agents are generally cash or cash on the spot after the first paragraph, you can avoid the logistics of the Shang Dynasty after collecting the foot risk.