Residential LED Lighting Market Will Expand Fast
Taiwan-based market intelligence firm TrendForce said, the residential led lighting market will grow at a 30% clip from 2014-2016, They has analyzed 10 factors which affecting the residential led lighting market.
Factor 1: Price defines the residential lighting market
Price is a decisive factor. You know, for this market, consumers are very sensitive to price, Despite the C/P ratio that lighting products offer, consumers still hesitate to purchase products with the highest price. In the global light bulb market, there have been large-scale price cuts owing to government subsidies for energy-efficient lighting and manufacturers discounting products.
Factor 2: 100% coverage of applications
Actually only LED lighting like led retrofit downlight kits, led linear panel light, T8 led tube lamp, LED Troffer can be used as a comprehensive replacement for fluorescent lighting. You see, it can be used indoor, like the living room, dining room, bathroom, kitchen and more. It is available in both cold and warm color temperature varieties and can be dimmable. Additionally, solid-state lighting, 6inch LED Downlights retrofit, 2x2ft led panel light, T8 led Tube can be applied in any field of lighting. while, other lighting technologies like HID, CFL and even OLED have more restrictive applications.
Factor 3: China is the main LED lighting manufacturing hub
As it well known, For global lighting brands, China has become the one-stop shop for LED OEM. China is a manufacturing hub for the world’s leading lighting products, including wafers, PCB, power drivers, thermal dissipation modules and a variety of accessories.
Factor 4: distribution channel control
The lighting market itself is mature. The distribution model for LED lighting products is similar to other fast-moving consumer goods . The key to success in the FMCG industry is having excellent retail channels. The residential LED lighting market uses the same retail channels as traditional lighting: supermarkets, convenience stores and hardware stores.
Factor 5: The importance of product design in LED lightingEventually, the specific application design for LED lighting products will become more important than functionality. For instance, the DIALux software allows lighting designers to simulate 3D images of the lighting effects of the products they are using for a project. Thus, application design is more critical to healthy sales than product technology. After 2017, the LED residential lighting industry will plateau as demand slows and growth rates cool. The industry will become more integrated with a more focused use of resources. Prices will also become more reasonable.