Philips differentiates its transformation

On December 20, Philips LED Professional Lighting (Chengdu) Demonstration Park in Chengdu High-tech Development Zone was officially completed. The park not only showcases Philips' innovative lighting applications, but also enables customized production. This is both a concrete manifestation of Philips' strategy of creating the second largest domestic market in the world and it also means that it has accelerated the transition from traditional lighting to LED lighting.

Production and display of dual efficacy The LED Dedicated Lighting (Chengdu) Demonstration Park officially debuted on the same day with an area of ​​approximately 40,000 square meters and a total investment of 25 million Euros, including an ultra-large lighting application center and an LED professional lighting production base. The 7,000 square meter lighting application center can demonstrate Philips' technology and results 24 hours a day. With the theme of “miniature smart city”, the entire center presents lighting effects through real-world display and intelligent control, and creates daily life scenes of urban residents through LED lighting systems (such as home, office, hotel, supermarket road, and urban landscape Etc.) Visually show the effect of lighting in these scenarios. On-site reporters saw Philips' globally leading and newest lighting innovations from outdoor to indoor, and from light sources to luminaires, intelligent lighting control to integral lighting solutions.

LED professional lighting production base covers an area of ​​30,000 square meters, mainly produces Philips brand outdoor and indoor LED professional lamps, which introduced the world's top LED production, design and customization capabilities. Yang Shaowen, Vice President and General Manager of Philips Specialty Lighting Solutions Greater China, emphasized that the production base is characterized by personalized customization based on orders and highly customized lighting solutions for consumers. "China's professional LED lighting production will be placed in Chengdu," and Philips also hopes that the base will be able to meet the needs of LED lighting solutions around the world.

Deepening the Local Market Strategy The completion of the Chengdu Demonstration Park is one of the important measures taken by Philips to implement the strategy of building local markets in China. In 2011, Philips announced the establishment of another "home market" strategic plan in addition to the Netherlands and the United States, and set up a second regional headquarters in China in Chengdu. In December of the same year, Philips announced investment in the construction of the demonstration park.

According to Liang Hanfeng, president of Philips Lighting Greater China, China has surpassed the United States to become the second largest domestic market for Philips. The number of Philips employees in China also exceeds that of the Dutch headquarters, which “embodies Philips’ emphasis and investment in the Chinese market.” Liang Hanfeng also stated that compared with other countries, the Chinese government has actively promoted LED applications, and road and outdoor lighting development has been very Rapidly, it is very optimistic about the Chinese market.

Mr. Kong Xianghui, CEO of Philips Greater China, said on the same day that he would “build China into an important innovation center and operation center for Philips' global value creation and based on this to radiate a broader global market”. He also revealed that Philips is developing a "2017 strategy" and that "going west" will occupy a more important strategic position.

To differentiate and promote transformation to create a professional LED lighting demonstration park, but also from the LED development prospects. "LED lighting can give users more possibilities than originally possible." Compared to traditional lighting, Liang Hanfeng believes that LED lighting is digital lighting that can realize intelligent systems, control, software and additional services. With more service possibilities, it can also bring additional benefits to the company. He also stated that at present, the proportion of LED products used in the Chinese market is getting higher and higher. It is expected that by 2015, in the global lighting market, LED lighting will account for 45% of the total, and Philips’ goal is to achieve a sales ratio of LED lighting in 2015. 50%.

However, to achieve better development in the Chinese market, Philips faces fierce market competition. At present, the Chinese government supports and subsidizes the development of LED companies. The number of domestic LED companies is said to have reached tens of thousands, and local companies have good competitive advantages such as channels. So, how should Philips respond? Liang Hanfeng said that LED needs to meet the needs of customization, and the demonstration park is set up to meet the individual needs of consumers. "No matter how many manufacturers, to get rid of homogenization is a winning strategy." Liang Hanfeng also believes that in terms of lamps and lanterns, consumers value not the light source, but the design. Philips will pay more attention to design and innovation, and design from chip to application. "Philips is not to provide shopping by offering cheaper products and other companies, but to provide better products to serve consumers who are willing to purchase Philips products." Philips hopes that Chengdu LED demonstration park will be put into use Promote its rapid transition to a customer-centric LED lighting solution provider.