LED lights with future development

The impact of falling prices.
In the face of fierce market competition and limited profit margins, many small brands compete through low prices due to a sharp drop in prices and reduced corporate profits. Wei Zhiguo, general manager of Shenzhen Yili Optoelectronics, said in an interview with Gao Gong's "LED Lighting Channel" reporter that the current price reduction of LED strips has exceeded the price reduction of its accessories. Coupled with the rise in labor costs and land rental costs, the profit margins of enterprises have been greatly compressed.

▲ Enterprise coping strategies
Many companies are actively seeking new directions. Some enterprises to reduce the LED strip business, to high value-added products. For example, Shenzhen Yili Optoelectronics Co., Ltd., whose business is mainly based on engineering orders, has also been involved in the LED strip business before. However, as the price of light strips continues to decline, the company has gradually reduced its investment in LED light strips and focused on the production of high value-added products such as jewelry lighting and furniture lighting.

▲ Product line expansion and transformation
On the other hand, Auman Technology, as a large enterprise in the production of domestic LED lights, has a different development path. It is understood that in 2013, through the integration of resources, the sales volume of LED strips in China exceeded 0.1 billion meters. Entering 2014, Auman Technology not only continues to focus on LED strips, but also plans to increase the production of indoor lighting products such as LED downlights, ceiling lights and bulb lights, so as to respond to market changes and expand the market through diversified products and integrated resources. This approach aims to improve its product line to cope with the pressure of changes in the LED light market.

"To do a good job in LED lights, we must consider the process, technology, services and other factors. Although some companies may choose to abandon production due to the pursuit of short-term profits, but in my opinion, LED lights as a general-purpose products, its wide range of applications. As long as we can dig deep and do a good job in this product, the future will be able to achieve significant results."