Baishi Optoelectronics: Leading the LED replacement lamp market

[Source: Gaogong LED's "LED Good Products" magazine text / He Wei]

LED has been hot in China for many years, but it is undeniable that the LED industry is still in its infancy in China, the standard is undecided, and the market is chaotic. Many people hope to share a piece of it, benign and vicious competition is inevitable, and the trend of industrial integration is becoming more and more obvious. It is not uncommon for packaging to be involved in terminal applications.

However, the orderly and arbitrarily “catch-up”, the blind integration and expansion of the price war, for the industry, more is just a false prosperity.

“In the wake of the industry reshuffle, companies that truly do branding and do things can stand out. Before that, the only thing the company has to do is to cultivate its internal strength.” Baishi Optoelectronic Technology Co., Ltd. (hereinafter referred to as “Baishi Optoelectronics”) Project manager Shen Rusheng has a clear understanding of the current status of the industry.

Founded in 2007, the company is mainly engaged in the R&D, manufacturing and sales of LED products. It is mainly engaged in LED light source packaging and LED application products. In the following two years, with the overall good situation of the industry, the performance of Baishi Optoelectronics has doubled, and it has been praised by the industry as “Broad Lion Speed”.

Power lighting

“Package is the main business of Baishi Optoelectronics. The profit contribution rate of traditional display devices is close to 70%. At present, the sales scale of lighting packaged devices is not large.” Shen Rusheng said that Baishi Optoelectronics is mainly based on low-power LED products. However, in recent years, the competition in the display field has become increasingly fierce, and the overall profitability of the packaging industry is not very optimistic.

At the end of 2010, Baishi Optoelectronics officially involved in LED lighting. After two years of development and accumulation, the monthly shipment of bulbs reached 500K, accounting for about 20% of the company's overall revenue. "The plan is to reach 40%-50% in the next three to five years." Shen Rusheng stressed that based on packaging, further expansion of business, and focus on lighting, this is the future development direction of Baishi Optoelectronics. "The establishment of the lighting division is to promote the packaging through lighting, and strive to cover the middle and lower reaches."

At present, the LED lighting products of Baishi Optoelectronics mainly focus on commercial lighting. In the early days, they mainly designed finished products and applied products. More large-scale cooperation methods were adopted instead of small-scale wholesale forms, mainly for exporting OEM products in Europe. Shen Rusheng said that such a model can quickly focus on customers, reduce product classification, improve product quality, make it more professional and centralized, and easy to apply.

However, Shen Rusheng also admitted that it is not a long-term solution to make OEM products, and it is difficult to make the company famous in the international arena. Coupled with the rise of the domestic lighting market, export and domestic sales must be one of the future.

The reporter learned that in 2013, Baishi Optoelectronics Lighting Division will be re-divided and set up two departments of international lighting and domestic lighting to conduct product research and development and formulate sales strategies for different markets. At the same time, the R&D team will also be strengthened, from the current 20 to a team of 40 or so.

In the production plan of the product category, Baishi Optoelectronics will also have new adjustments. In the first half of 2013, the order of bulb lamp first, spotlight second and lamp third is the main order. In the second half of the year, the company will adjust its strategic plan. The bulbs will still be the main force, but the output of the lamps will increase, and the spotlights will be reduced accordingly. In the fourth quarter, the downlights will be launched, and the product categories will be gradually completed, gradually expanding the market.

Unfinished: For more information, please refer to the February issue of Gaogong LED's "LED Good Products" magazine.

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