LED high bay light return to the quality, raise gross margin

Earlier, the low price of LED high bay light had caused the gross margin of products to exceed the reasonable range, and more and more companies came in, but the manufacturers did not make any money. With the increase of material cost more than the profit elastic space of finished products, the rate of gross profit of LED industry is further down.

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Into 2017, while the LED industry as a whole tend to recover gradually, power drive LED high bay light, small and medium enterprises had to break, but the LED high bay light price competition in the industry, the problem of low gross profit margin is still not improved effectively.Against this background, where is the outlet of LED high bay light company to raise gross profit rate?


Huge market space for a certain scale and a better quality of customer enterprise is a year full of spirit, with fewer competitors, market concentration degree of ascension makes the enterprise market is full of confidence for the future.


"The current market price of the whole LED industry and mine lamp continues to decline, and the human cost is rising. In the future, we will vigorously explore overseas markets and high-end control products.Meanwhile, in the second half of this year, we will increase production capacity by 50%, increase automation, reduce manufacturing and management costs, and increase gross margin.’’ TEK lighting.

Due to the fierce market competition, the technology update cycle has become one of the main factors influencing the gross margin.In this context, the company needs to optimize the cost on the basis of guarantee quality, which requires us to meet the market demand to continuously carry out product innovation and improve product function.


Indeed, technology innovation, the application of new technology and new product development is the core competitiveness of an enterprise key factors, if the LED high bay light enterprise can't keep continuous innovation ability, or can not timely and accurately grasp the development trend of the product, technology and industry, will weaken the enterprise has some competitive advantage, thus affecting the competitive power and sustainable development of the enterprise.

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