Undoubtedly, the most popular event in the LED display industry recently is tantamount to “the price war is rekindledâ€, and we have found different places in the analysis of this “price warâ€: when the industry is in a rapid growth period, the price The war can increase the share, but it can't put the opponent to death. When the industry matures, and when the market capacity cannot be expanded, the competition for “stock†will inevitably lead to price wars. The result of this price war is usually “cleaning up the portalâ€.
As many economists have said, the price war is a double-edged sword. Throughout the history of the LED display industry, price wars have occurred frequently, especially the damage caused by the vicious price war in the past two years is even more painful. Enterprises in the "war" annihilation, the terminal product market is also abnormally disordered, and multiple price wars have also allowed the industry to enter the "micro-profit era", many people in the industry are also "talking about price wars," but we can't deny that The price war can indeed bring the sales volume to the enterprise, and it also promotes the overall scale of the industry and the maturity of the market competition environment. For the end customers, the price war can also create more benefits for them, but all this The premise is - must ensure the quality of the product, any price war based on the premise of sacrificing product quality is a dead end!
Quality is not good?
The LED display industry has developed to this day. As the industry enters a critical stage of transformation and upgrading, the simple price war can no longer meet the needs of market competition. Screen enterprises must redefine the "price war" and regard the public as a simple "price war". The technical content is not simple: on the one hand, the end-users' demand for product quality and value is not only increasing, but also more diversified and personalized. On the other hand, the product quality between screen companies is more intense, so The current price war in the industry should be a high-end price war based on the premise of satisfying customer needs as much as possible. Of course, the "customer demand" mentioned here also includes the customer's requirements for the price of the product. Imagine if there are two LED display products with similar functions, quality and performance, the customer has no reason to choose expensive? In the current environment, how to Guaranteeing "cheap" under the premise of ensuring "goodness" and winning this inevitable price war will be a huge challenge for all screen companies. This is a high-quality price war.
As a very effective means of competition in the market economy, price wars have no difference between good and bad. In certain historical periods, the price war has played an important role in the development of the industry. Of course, it is inevitable. It has caused a lot of damage to the screen enterprises, but at the same time, it has also eliminated some screen enterprises with backward production capacity and brands, which has purified the market competition environment. As the insiders have said: the price wars carried out under the premise of adhering to the product quality line can often create more value for the end customers, and can also promote more positive reforms of the screen enterprises, continuously strengthen product innovation, improve service levels, and deepen channels. Operating brands and so on.
Some insiders believe that the "price war" will be further released after the new production capacity of more screen enterprises' automation productivity, and the problem of oversupply in the industry will be more prominent, and some screen enterprises will not be able to support it. Even withdrawing from the game... "Clearing the portal" will be more, but if you don't participate in the price war, some small screen companies are likely to "die" faster because they face the big brands in the market economy competition. High pressure, if the small and medium-sized screen enterprises do not follow, the only "Jiangshan" will be fleeting. At this time, we should also note that the valuable price war is at the beginning of the loss of money, but to win the price war to make money, the key to making money is "future sales", then how can we win the price war? You should seriously consider the following sentence:
For the "extensive price war", only the price is comparable, there is a price war; the price is comparable, the product must be comparable; the product is comparable, it must be a homogenized product. At the moment, the "high-spec price war" must get rid of the war of homogenized products to have the chance to win the final victory.
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