In 2020, China's LED display industry will be mixed by the dual influence of the new crown epidemic and the international environment. The good news is that the deep cultivation process in the fields of Micro/Mini LED and high-definition video industries is gratifying; the worry is that the epidemic has led to a "broken chain" crisis in the supply chain, fluctuations in raw material and chip prices, and extended delivery periods. Looking forward to 2021, what challenges and opportunities will the industry usher in? How will the LED display terminal market and supply chain break through their limitations in the era of channel changes, shrinking profit margins, continuous product segmentation, and accelerated brand diversification?
Connect more end users
What are the growth drivers of the first-tier market in 2021, and what are the methods and means for manufacturers to seek growth? This is the top priority of all LED display manufacturers. At present, the development trend of the entire industry is the stock market competition of giantization and oligopoly. The only driving force for growth in the market actually comes from end users. Who can take the lead in connecting more end users, who can break through the predicament, and this requires LED display manufacturers to take the lead in completing the optimization and upgrading of channels.
After the "tempering" of the 2020 epidemic, the channels of the LED display industry are no longer simply "offline channels to win". Many LED display companies have cultivated, developed and consolidated the channel moat and offline dealer system for many years. We are facing new adjustments-online and offline integration has become a reality.
However, for many traditional LED display distributors, how to better integrate online channels while maintaining stable offline performance and sustainable operation, and achieve upgrades in store purchase experience and after-sales service. For upstream manufacturers, how to ensure the stability and sustainability of dealer groups in the context of channel fragmentation and multi-polarization is also a major challenge.
Product adjustment and detonation
In the past two years, various new products in the LED display market have experienced a round of "high-opening and low-moving" multi-vibration patterns. To put it simply, a round of high-end transformation is like a passing cloud and rain, and soon disappeared; a round of low-priced high-quality products, a large number of products under the banner of high cost performance, won the attention of a group of users.
In the current situation of diversified consumption, products are not just simple technical iterations and functional innovations, but a step toward scenario-based development. It is to provide good products that they really need according to the needs of users of different levels, different needs, and different income groups, not just low prices. The test is not technological innovation, but the grasp of comprehensive strength. Therefore, how to enable the iteration and innovation of LED display products through scenarioization in 2021, whether it is stimulating stock replacement or stimulating new demand, will test the RD and innovation capabilities of many LED screen companies.
Brand further stratification and positioning
The hierarchical and differentiated management of all categories and multiple brands is the standard operation of many LED display manufacturers. Mainly in order to face the continuous differentiation of mainstream consumer groups in the market in recent years, the most representative one is that the circle of interest has become more professional and more subdivided.
If we say that the full-category layout is to meet the current needs of many consumers for complete sets and integration, and to enjoy a more convenient and efficient product experience. The segmentation of so many brands is to find customer segmentation needs of different levels, different economic levels, and different product pursuits. Therefore, how to find target users and how to achieve precise product promotion and marketing. These challenges directly determine the implementation capabilities of many manufacturers in 2021.
Looking forward to 2021, there are still many uncertainties in the market, but opportunities can be seen in markets such as 5G, new infrastructure, and ultra-high-definition. In this regard, LED screen companies need to follow the progress of technology, pay attention to market changes, continue to deepen the industry, do specialization, and do a good job in product services, so as to respond to changes and meet unknown challenges.
