Zhongming Semiconductor: Focus on application, both internal and external markets

[Source: "High-tech LED-lighting market" August issue Xiong Yuheng]

On June 10, 2012, Wang Maozhong, director of domestic marketing of Zhongming Semiconductor Lighting Co., Ltd. (hereinafter referred to as Zhongming), and Huang Xuewen, general manager of Huangda Lighting Appliance Co., Ltd., signed a solemn signature under the agency cooperation agreement. This means that Huang reached a provincial-level agent in Guangdong Province, relying on the improvement of channels, and Mingming will develop the South China market better and faster.

Zhongming went on the Red, Green and Blue Lighting Division and later developed into an independent legal entity. The company mainly focused on foreign markets in the early stage, and occupied a huge market share in the European and American markets, successfully establishing two major brands, Civilight and V-light.

China has the world's largest lighting market, Dr. Zhang Xiaofei, a senior industrial researcher, asserts that “the success or failure of domestic enterprises in the next three years depends on the depth of their channel construction”.

In 2009, Zhongming has already begun to deploy its domestic channels, and now it has achieved fruitful results. Relying on the existing overseas channels, in the future, the public will shift the focus of work to the domestic market channels.



Zhongming honor wall


Recently, "High-tech LED" reporter interviewed Mr. Wang Maozhong, the domestic marketing director of Zhongming, the following is an interview record:

"High-tech LED reporter": As early as 2003, Zhongming's products were exported to Europe and the United States, and successfully established two major brands, Civilight and V-light, in the European and American markets. Excuse me, what is the consideration of Zhongming for the overseas market?

Wang Maozhong: I don't agree with the word "to be close to the distance." The predecessor of Zhongming was the Red, Green and Blue Lighting Division. In fact, as early as 2003, in addition to the packaging of LEDs, the company first launched the research and development of LED lighting in China. At that time, domestic LED lighting was only a concept, most of them. The LED bead is only used to make the indicator light, the display. Overseas, the new concept of LED lighting has begun to accept, and has begun to promote and try to apply in some specialized markets. The real start-up time of the domestic LED lighting market is three years ago. First, it starts with some outdoor street lights, urban lighting, and then into indoor lighting. In other words, the foreign LED lighting market is several years ahead of the domestic market.

Therefore, Zhongming is not "staying close to the distance", but is the first to cut into the overseas market in accordance with the order of development of the Ming market. In the past few years, Zhongming has achieved good results overseas and successfully established two major brands in overseas specialized markets and distribution channels. When the domestic market started, Zhongming transferred to the domestic market with mature overseas products, advanced technology and rich lighting experience. Better serve domestic customers. Everyone knows that for LED companies specializing in indoor lighting, the world's largest market is definitely in China.

"High-tech LED reporter": To successfully open up overseas markets, what conditions do companies need to have?

Wang Maozhong: For companies that export overseas, to truly cooperate with overseas customers for a long time, companies need to train their internal strengths:

First of all, a better technical team can meet the various needs of customers. Usually overseas customers value the company's research and development capabilities and technical strength. New products and new technologies are always what customers expect. Traditional products do not reflect the company's competitiveness, the market is full of streets, and the natural price is also the price of cabbage. Many countries in the world have improved the entry barriers for LED products (such as product certification, energy conservation and environmental protection requirements, etc.), which is also a recent occurrence and happening. Therefore, exporting companies need to have sufficient technical capabilities.

Secondly, with a stable quality control system, “Made in China” does not seem to be synonymous with good quality in foreign countries. How to make customers have confidence in you, this requires the company to have good quality assurance capabilities.

Once again, good customer service, as a consumer, is very important for the manufacturers' services (pre-sale, sale and after-sales), especially in foreign countries. Once the product has a problem, timely service follow-up is equivalent to giving the customer confidence.

Finally, the brand effect, domestic products exported to overseas, is basically to help overseas customers to do OEM, in the end is to earn some processing fees. Because these companies do not have excellent internal strength and no strong product or technical advantages, they have no confidence in the sales process to play their own brands. And those manufacturers who dare to play their own brands are the focus of the guests. After all, no one wants to make fun of their own brands.

In the sales of overseas, Zhongming basically sells itself under the independent brand of Zhongming Overseas, so this is also the embodiment of the strength of Zhongming.

"High-tech LED reporter": How to avoid patent disputes when products enter the foreign market?

Wang Maozhong: The risk of patents, which will be a problem faced by more and more LED export companies, many people have talked about this issue. As mentioned earlier, the overseas LED market has been several years earlier than domestically and even more than a decade. In terms of intellectual property rights and patent distribution, people have taken several steps early. For domestic LED companies: The following points are more important:

Strengthen independent technology and product development capabilities, and change “Made in China” to “Created in China”; before the industry, there are more technical exchanges and more cooperation. It is difficult to solve the current situation of “old and dead” and “peer as the enemy” between domestic LED companies. Because many technical difficulties or patent blockades are difficult to solve by one company or several people alone, it is difficult to solve The smelly cobbler is better than Zhuge Liang." This requires the leadership of some government agencies or professional cooperation organizations. For example, in some regions, the patent alliance, although it has this meaning, is more of a situation. I think this is a good job in Taiwan. It is a strong alliance and strategic cooperation with some large patent holders or intellectual property holders. In the cooperation, learn from each other, but the precondition is that you need to be strong enough!

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