OPPLE lighting 2017 income structure: household lighting income accounts for about 40%; commercial products accounted for 20%; electrical products accounted for more than 20%, light source products accounted for less than 20%; 1Q18 company’s active downregulation of standard products (such as standard ceiling light, commercial lamp, etc.) prices, resulting in a decline in the gross interest rate. The main purpose is to expand market share and combat cross-border competitors. The company has stronger production capacity and the cost side will also decrease in the future.
Decorative lantern is a personalized product, price war does not work. At present, the modern minimalism, the new Asian fashion, the western style retro crystal, and the crystal lamp series have been launched. This year, we will introduce the Nordic minimalist series.
OPPLE lighting has the advantages of channel outlets and channel management efficiency. The company will continue to strengthen the channel construction, including pushing the thousand Ping stores; the information system will be covered from distributors to high-quality outlets.
The strategy of commercial lighting is to break through different market segments. At present, the company has entered the brand chain store, office lighting market, subway and outdoor lighting market. The overseas market has also developed rapidly.
Electrical products include switches, kitchen bathroom products, integrated ceiling, and so on, OPPLE is currently ranked third in electrical products. This market and home lighting have channel synergy, and entering the market can also combat bulls and other cross boundary entrant. In the future, we should strengthen the capacity of design and service.
In 2018, the lighting industry faced the pressure of cost pressure and the decline of demand in the second tier market. When market demand is poor, it is time for OPPLE to be competitive. OPPLE has the advantages of R & D, production, channel and brand in the general lighting market. In 2018, it took the initiative to suppress competitors in the standard market, while actively developing decorative lights, commercial lighting and electrician products.