LED lighting market will erupt next year

Next year, the output value of the LED lighting market will accelerate. With the lowest retail price of LED light bulbs replacing 40-watt incandescent bulbs reaching US$10, the industry is optimistic that the output value of the overall LED lighting market will significantly increase next year, and the relevant supply chain manufacturers will have the opportunity to expose both.

Zhou Xuejun, director of Asia marketing for Philips Lumileds, pointed out that with the gradual decline in the prices of LED bulbs and government policies in various countries, the LED lighting market is expected to accelerate growth next year. Zhou Xuejun, Director of Asian Marketing at Philips Lumileds, said that the strength of LED lighting industry growth in the next year will be mainly due to the decline of LED bulb prices, the support of various countries' governments and the continued prosperity of the concept of green energy. Among them, the price of the people will be the most direct impact. The growth of the LED lighting market, including general indoor replacement bulbs, outdoor street lamps and office lamps, is expected to increase significantly.

Zhou Xuejun further pointed out that, in addition to replacing the 40W incandescent LED bulb retail price has reached sweet, next year to replace the 60W incandescent LED bulb prices have a good chance of falling to the price acceptable to the average consumer, and due to higher total light, It is more appropriate to play the role of indoor main lighting, so its shipment volume and market penetration rate make the industry even more expectable.

However, despite the fact that the price reduction of LED bulbs has facilitated the market's accelerated expansion, it has also caused the gross margin of the relevant supply chain operators to shrink. Therefore, how to compete for more orders so as to increase revenue growth will become a key focus for the industry. Zhou Xuejun believes that taking LED lighting manufacturers as an example, it is bound to introduce matching products in different application markets in order to meet customer expectations and needs. With this strategy of puerile, the overall market size will be expanded, and then further towards high gross profit margins. The product is moving forward.

In order to grasp the business opportunities in different application markets, the characteristics of LED lighting products must also change. Zhou Xuejun explained that the general indoor alternative LED bulbs mainly focus on economical and affordable prices. Outdoor street lamp LED bulbs need high reliability, while office LED lamps pay more attention to energy saving, high performing color and anti-glare. In order to meet the product characteristics requirements of the above-mentioned application market, manufacturers including LED chips, modules, and system integration, etc., must further fine-tune product positioning in order to seize market opportunities.

On the other hand, in the first half of 2012, the progress of LED streetlights in mainland China was worse than expected, mainly due to the unresolved subsidy policy, coupled with the European debt crisis affecting demand, making Taiwan-based LED lighting manufacturers mainly affected by foreign sales. With the mainland government subsidy quotation and the successful handover of political success in recent days, it is expected that the LED lighting market business opportunities in 2013 will reach a scale of RMB 4 billion.