The best response to the crisis strategy: "cost reduction"

The cost is the most critical. For the moment, different LED products than traditional products, the cost difference between 5 to 10 times, and because of the major technical indicators but also to further improve, continue to adopt the new structure, new materials, new technologies, new processes, which undoubtedly LED costs bring new pressures. According to the request made by the United States SSL program, in 2015, integrated price of $ 2 / klm.

According to a survey of the number of cheap LED flashlight enterprises, most enterprises are hovering in the line of life, the fierce market competition has forced a new round of price decline, how can a firm foothold in the crazy price war, reducing costs is one of the important factors, the cost advantage of the enterprise will have a good survival capabilities and sufficient competitiveness, and thus long-term benefit from the development of the industry.

In addition, according to LEDinside's latest price survey reports for the fourth quarter of 2011 due to inventory clearing impact, LED average offer decreases about 10% and looking forward to the first quarter of 2012, fell sharply last quarter offer, coupled with new product introductions, estimated decline in the average offer is expected to shrink this quarter.

LED manufacturers, especially the middle reaches of the packaging manufacturers and downstream manufacturers, and are willing to cut prices in exchange for sales of upgrade. After the price increase sales, help manufacturers achieve economies of scale, thus increasing the bargaining power of upstream chip makers, the final price of the hedge down to reduce costs, maintain the manufacturer's existing profitability.

Need to be resolved is the LED lighting system reliability and reduce cost. Link part of the LED lamps, the epitaxial silicon, device packaging, drive power, cooling, lighting, etc., must be the reliability of the design, testing each to achieve a reliability index, in order to ensure system reliability, the LED lamps The life of 35,000 hours. To reduce costs, earnestly improve the yield, large-scale production at the same time, the focus on technological innovation, especially in the epitaxial silicon device packaging, lighting design, to constantly improve and innovate, so that the cost of LED lighting can greatly reduce, and in China LED lighting sales price within 15RMB/klm of 2015.