Chen Woshu: Market segmentation is based on customer value

In recent years, Shangzhao enterprises have been involved in home lighting and have become a phenomenon of concern in the industry. NVC, Jiamei and other commercial enterprises have entered the field of home lighting. At the beginning of 2006, the Sanli Lighting Multi-functional Experience Center with an area of ​​more than 800 square meters began to be built. It also opened the prelude to enter the field of home lighting. Faced with a relatively diverse home lighting market, how can a commercial company learn from each other's strengths and strive to develop? Chen Woshu, Chairman of Hong Kong Sanli Lighting Industry Co., Ltd. believes that entering home lighting can promote the improvement of its core competitiveness and accelerate the upgrading of the industry. The market segmentation based on customer value is the strategic success and adjustment of Sanli. Prerequisites and guarantees.

Field penetration accelerates industrial upgrading

Reporter: Hello, Mr. Chen, in recent years, the number of commercial companies that have extended their reach to the field of home lighting has increased, such as NVC, Jiamei, etc. In fact, in terms of product lines and channels, lighting companies are relatively competitive. According to the operation of the enterprise, the operation is more complicated and mature, but the home lighting enterprise that extends to the commercial lighting field does not have a second one except the Op. How do you see this phenomenon?

Chen Woshu: Looking at the current phenomenon of major commercial lighting brands infiltrating into the field of home lighting, I personally think that it reflects three levels of problems: First, the development space of the lighting industry and the market demand potential are huge. Real estate still maintains a high-speed growth momentum under the macro-control, and as its upstream lighting industry has gained a large room for growth. In particular, the home lighting market is more active; second, most commercial lighting companies are aware of the importance of scale, and accelerate the brand extension. In terms of the current performance of the domestic commercial lighting market development, it is not already saturated in the market. The industry has not formed a situation of high monopoly and market share aggregation. Due to the increase in overall market space and demand, Shangzhao Enterprise adopts a product line extension business strategy to effectively expand market share, enhance terminal sales and profitability, optimize channel structure, control channel resources, and realize enterprise scale. It is not difficult to understand; third, commercial lighting companies as a whole have weaker innovation capabilities than international brands, and have greatly affected the upgrading of the industry. As mentioned above, the current market competition performance of the commercial lighting market is still at the product level, price level, channel capacity, not only the product is similar, repeated; and the operation methods are blindly imitated, thus forming a competition situation of thousands of troops across the wooden bridge. In fact, the commercial enterprise should focus on the improvement of the company's innovation ability, and compete with the international market to taste the international brand, from the conventional circulation of commercial products to the differentiation, individualization, and functional product competition level, thus forming the enterprise's core competition. And promote and accelerate the upgrading of the industry.

Achieve brand upgrade

Reporter: Mr. Chen, the industry knows that Sanli Lighting is a veteran brand in the field of commercial lighting. It has deposited a lot of resources in seven or eight years. This time, adjusting the brand development strategy to strengthen the channel construction of home lighting, we want to know what factors are based on?

Chen Woshu: It is true that, as you just said, Sanli has achieved a great accumulation in the field of commercial photography. This accumulation is mainly reflected in the brand, channel, product, and research and development level, but as mentioned above, if it is to be realized Sanli has developed into a specialized, differentiated and commercialized field in the field of commercial lighting. To form its own "core competitiveness", it is necessary to carry out re-product positioning, channel planning and terminal innovation. In fact, it is necessary to carry out market segmentation. I think it must be based on value.

Whether it is home or commercial lighting

The core function of the product is how to maximize the customer's needs (price, function, experience, culture, value). Only by doing this, the value of the brand (product) can be reflected. This value is the core competitiveness of the brand. It is something that other brands cannot surpass. Because home lighting and commercial lighting products are very different from product features, price factors, channel characteristics, terminal promotion requirements, and brand performance. When companies implement brand positioning, they must segment the market. Therefore, starting in 2007, we have reorganized the home lighting and commercial lighting in order to achieve the brand upgrade. At the same time, according to the company's strategic planning, the promotion and penetration of the home lighting market has been strengthened.

Open up new markets

Reporter: Mr. Chen, your analysis just now, standing at the height of industrial upgrading and guiding the development of the industry, to plan the future development of Sanli, how does Sanli promote this "strategic decision"?

Chen Woshu: Yes, we have developed a three-year development plan for Sanli Lighting. We call it the “Blue Ocean Strategy”. Expressed in words, it is “to surpass industry competition and open up a new wave! In commercial lighting, we have taken advantage of the European commercial lighting brand's product concept and innovation, research and development resources. Through OEM, ODM and strategic cooperation, we realize In the international market, we have implemented the global layout of our own brand “SUNLUSH”, and established a franchise store to cooperate with famous designers to provide one-to-one lighting solutions and products for world brands. Support. After half a year of intensive operations, we have achieved fruitful results. Recently, orders for LED and aluminum commercial products have been placed in September. In the domestic market, we still insist on Sanli “high-end, high-quality, differentiated” Market positioning of commercial products. Relying on Sanli's channels and network resources, through the construction of hidden channels and the cooperation of professional lighting engineering companies, professional designers, brand interlocks and group procurement, we will promote the growth and penetration of channels. In the first half of the year, a light experience center with a minimum area of ​​500M2 will be established in Shanghai, Beijing, Guangzhou, Shenzhen and other cities. Lighting design, real-life lighting experience, product concept output, leisure, fashion, application as one of the functional platforms). In this way, a good promotion platform and information service conversion space is formed. In August, the sample "light experience center" in Dongguan headquarters "It will be open to all target customers. In the home lighting channel, we have positioned, combed and formed five categories of circulation products around the lighting requirements of the home lighting space environment. At the same time, with the help of professional store planning management company In 2007, the home terminal store was creatively positioned. After the new image of “fashion, quality, pleasure and professionalism” was determined, the comprehensive upgrade of the national traditional store was implemented from March. So far, the national market has completed more than 80%. Store upgrades. Next, we will implement an intensive distribution system for circulation products to improve network coverage.

The first half of the harvest completed the channel expansion plan

Reporter: Mr. Chen, through the strengthening of the construction and implementation of home lighting channels in the first half of the year, we want to know what achievements have been made in the first half of the year? What are the deficiencies and confusions you feel in the operation?

Chen Woshu: Through the structural layout of the channel and product planning and terminal upgrade, we have achieved the expected results in the past six months. In terms of products: Through half a year of operation, we have greatly improved and improved the product line of home lighting. And successfully launched a new series of LED, aluminum series, to meet the needs of the home environment for the "fashion, simple, energy-saving" lighting product concept. In terms of channel construction, we have effectively completed the annual channel expansion plan for the national first, second and third-tier markets. Nearly 100 new stores and nearly 120 home-based home distributors were added. And according to the new home image, the old terminal is 100% upgraded. In the brand promotion, we use the “Yueyueguang Culture” as the brand's appeal to fully carry out the performance of the whole process of sales – the pleasant shopping environment and the pleasant home light. The brand reputation has been greatly improved. It has established national cooperation with Beijing Longfa, Yezhifeng, Shenzhen Juzhong, Mingdiao, national brand home improvement companies and real estate companies (such as Agile). Of course, while achieving gratifying operational performance, we also have certain deficiencies at different levels, especially in terms of product lines. Everyone knows that there are too many varieties of home lighting products and a long product line, and no brand can satisfy them. In this regard, we will focus on the core strength products of our own brands to improve and enrich, to the greatest extent to meet the needs of the channel.

Market trends enter resource marketing competition

Reporter: What performance and trends do you think will be the market development of home lighting in the second half of the year?

Chen Woshu: I think that in the second half of the year, at the time of sales in the peak season, home lighting will enter the key stage of competition in resources and marketing means, mainly in channels and promotions: channel expansion is more intense, home lighting products Most of them are large circulation types. If you want to achieve brand and quantity improvement, you must have high enough network coverage. Therefore, quality customers and quality terminals will be the common focus of all brands. In addition, as the sales fulcrum of the home improvement company and designer, everyone is robbing the core channel resources. Promotion will become the main means of terminal promotion and store sales. The form of promotion, management of promotion and effectiveness of promotion will be the basis for reflecting the marketing ability of each brand.



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