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It is understood that the current lighting industry mainly uses four major channel models: brand agency mode, direct mode, engineering mode and network marketing mode. Different types of products are operated, and the channel patterns adopted by enterprises are different at different stages of development.
Brand agency model: There is no doubt that the mainstream is still the most common and most popular channel model in the lighting industry, even after the channel wins and the terminal is king. The so-called brand agent means that the goods of the manufacturer pass through the multi-level agents and are sold to the final consumers after several hands-on. The ownership of the goods still belongs to the manufacturer. In the agency business, the agents represent the manufacturers to attract customers, solicit orders, sign contracts, and earn profit margins from low buy and high sell.
Before the emergence of the brand agency model, the lighting industry was in a state of bulk cargo operation. There is only a simple buying and selling relationship between the manufacturer and the merchant, and basically there is no after-sales service. Since the cost of purchasing goods from the local manufacturers is too high, the wholesaler will fix as many manufacturers as possible. At the same time, with the development of the industry and the intensification of competition, manufacturers began to screen high-quality businesses, try to stabilize high-quality businesses, and promote the frequency and quantity of merchants' purchases. As a result, the production of multiple items, conditional owing, and after-sales return rate have begun. As a result, the relationship between wholesalers and manufacturers at this time is relatively stable. Although it is still only a trading relationship, cooperation has a certain continuity and mutual cooperation.
Then, with the further development of the lighting industry, on the one hand, the manufacturers' product types and styles are gradually enriched, almost exclusively to meet the needs of wholesalers; on the other hand, agents also require regional protection. As a result, the brand agency model of the lighting industry came into being. The brand agency model has a unified image and a certain brand appeal, and the merchants do not bother to find the source of supply. The manufacturer provides certain training and opening management support for the merchants, but the manufacturers also have a set of strict system requirements for the business, such as image display, distribution, settlement and so on.
After entering the year 2000, the brand store model has gradually emerged. The store has a good brand image display, product categories and styles are relatively large, and the price is relatively stable, which is conducive to the manufacturer's brand building and timely access to terminal sales information. These unique advantages have enabled lighting manufacturers to strengthen the construction of specialty stores. However, at present, due to many manufacturers' lack of understanding of the true brand monopoly mode, thin product lines, lack of professional marketing and service teams, etc., the lighting store's specialty store model still has weak profitability and sells dog meat. And so on, the store model appears to be tepid in the lighting industry.
Direct mode: Initially in 2008, Lilang Lighting set up its first direct store in Shanghai Xinliuying Lighting Plaza. When the enterprise develops to a certain stage, the brand transformation becomes the inevitable demand of the enterprise. However, in the process of cooperation with dealers, more or less will have some friction in cooperation. Sometimes, because of different ideas and different interests, there are some obstacles to mutual development. Manufacturers can set up direct sales stores to get rid of the dealer's control and reduce the loss of intermediate profits.
First, the intensification of competition has raised the operating costs of the terminal. The direct channel can reduce the cost of circulation and ensure the cost advantage of the terminal. Secondly, the direct channel can refine the successful profit model and replicate it to the whole country. Again, the direct channel can get rid of the intermediate channel. The barriers allow brand owners to control the terminal themselves, and they are more flexible and flexible, which makes the terminal operations more refined, and the market operation is more planned, planned and systematic. Finally, the direct channel is more conducive to brand management and maintenance. It is conducive to the long-term development of the brand.
However, the capital requirements and management requirements of the direct-operated stores have been greatly increased. It requires the company's entire back-office support, team building, safety stock, sales monitoring and management of downstream distributors to establish a complete system. . Among them, remote management is the biggest problem facing direct stores. In the case of the Tiangao Emperor, it is difficult for enterprises to integrate the problems of people, property and materials in direct sales stores, and management is difficult. At the same time, the initial investment in opening a direct-operated store is too large, and the cost is large. Although the profit of the agent can be obtained, the relative rate of return is reduced under the premise of large-cost investment. In contrast, the proxy model is more worry-free.
At present, the management level of lighting companies is relatively backward. There are huge challenges in opening direct stores across the country. The direct mode has advantages and disadvantages. Therefore, the direct mode is not yet popular in the lighting industry.
Engineering mode: Focus on the lighting industry, in addition to ordinary household consumption, hotels, villas, clubs, business offices and other places often need crystal lamps, European lamps and other products for decoration, to improve the decoration grade, and the market in this field The demand is not small. Compared with civil consumption, these projects have the characteristics of large order amount, long delivery period and high after-sales service requirements, which has led to the corresponding lighting engineering sales model.
The engineering channel focuses on large-scale engineering projects, and the versatility of lighting products is relatively poor. In addition, it is used in conjunction with light sources, electrical appliances, etc., and the requirements for the system are relatively high. At the same time, engineering projects often require enterprises to have strong public relations capabilities and rich engineering channel resources. In the sales process, enterprises need to invest a lot of manpower, material resources and financial resources to keep track of them. Only the first one, there is no second marketing phrase. The cruelty of competition in engineering sales model.
Since the engineering model has three years of non-opening and three years of opening and eating, the success rate of upgrading the project has become a crucial issue in the sales process, which requires the company to improve its comprehensive capabilities. Generally speaking, the current lighting companies mainly improve their work from the following five aspects.
1. Improve the quality of the sales team and recruit high-quality talents to enhance the brand image of the company in the market.
2. Strengthen engineering design services to provide customers with overall solutions. A good engineering solution not only brings benefits to customers, but also the powerful demonstration effect of the project will help the company to establish a good image.
3. Strengthen after-sales service, such as installation, free cleaning, regular maintenance, etc.
4. Organize product promotion meetings in a planned manner, and invite municipal leaders, designers, and design agencies from all over the world to participate.
5. Strengthen advertising and increase brand awareness.
Internet marketing model: Ascendant is now, online selling lights is no longer a new word. After entering the 21st century, the development of science and technology is changing with each passing day, and the network has become increasingly popular. With the 1980s and 1990s, it has gradually become a consumer subject, and the network selling lights are also showing up in the ascendant.
For manufacturers, the introduction of e-commerce will turn the zero-level channel into a reality, and the products directly face the consumers through the Internet, compressing the middle-level and second-level wholesalers in the middle, and the manufacturers realize the direct control of the terminals. For consumers, the lighting city is too large, too tired to stroll, and the online shopping lights can travel all over the world with just a mouse click. Online shopping lights have the advantages of convenience, price transparency, etc., which are quietly changing the shopping habits of consumers. At present, some home building materials brands have also launched their own online shopping platforms, consumers can log in to these network platforms with a click of the mouse, you can complete a series of operations such as placing orders and paying deposits.
However, due to reasons such as integrity, logistics and after-sales service, at present, the most popular online lighting applications are those that are not very valuable and easy to transport, such as table lamps, wall lamps, energy-saving lamps, switch sockets, ceiling lamps, etc. For crystal lamps, European lamps and other products, because these lighting products are relatively expensive, and it is more troublesome to transport, and the installation of lamps and other services is difficult to guide remotely. Therefore, consumers currently purchase these lighting products directly through the network. Less. However, with the continuous improvement of China's credit system and the continuous improvement of logistics and transportation services, online shopping lighting products will become a trend in the future.
Diversification of channels into inevitable industry development and increased competition complement each other. At present, the intensification of competition in the lighting industry has prompted the development of marketing channels in a diversified direction, which will certainly affect the future of the lighting industry.
First, the process of channel flattening is accelerating. The flattening of channels is conducive to maximizing the profits of manufacturers and strengthening the control of the terminal market. In the future, the direct-sale area, single-store franchise, and direct-operating terminal chain models will gradually be adopted by the powerful lighting brand manufacturers.
Secondly, channel diversification will promote more diversified competition, and the level of competition and means are higher, and this will certainly promote the polarization of the market structure, the weaker the weaker.