As of the end of last year, there were more than 5,000 accessories companies in Guzhen. The annual turnover of lamp fitting products exceeded 200 billion yuan, accounting for about 40% of the total lighting lighting transactions. Entering 2011, under the overall unfavorable market environment, the rapid growth momentum of the accessory industry has slowed down. Most of the accessories companies actively responded to the pressure by optimizing production lines, adjusting product prices, and brand operations.
Four ups and downs in profits
On August 4, the reporter went to the ancient town of Huanbang Technology Electronics Factory located in Gangnan Industrial Zone. Just sitting down, Longhua, general manager of Huanbang Electronics, disclosed to reporters a message: “This year's market is not good, and accessories companies are under great pressure in terms of operation and production.†Huanbang Electronics is a professional manufacturer of digital Remote Control, Electronic switchgear and electronic transformers have factories in Guzhen and Jiangmen. According to Longhua, this year, due to the rising cost of tin, copper and plastics, the production cost of remote control switches has increased by 15% to 20%. Although the price of the remote control switch of Huanbang Electronics was fine-tuned at the beginning of this year, profits have shrunk by nearly 5%. “Now it is more difficult for accessory companies to make profits. The profits of some electronic products have fallen below 10%, which is in stark contrast to the profits of 20% to 30% in the early years.â€
In addition to electronic accessories, other lighting accessories such as hardware, light sources, crystals and plastic glass are also rising. According to a survey conducted by the reporter, this year's hardware materials have been raised in an all-round way. Take best-selling iron and copper as an example, the increase ranged from a few hundred yuan to 2,000 yuan/ton, and the crystal pendants generally rose by 10% to 15%. Although raw materials continue to rise, many accessories companies have not made corresponding price adjustments to their accessories. Store owners with hardware accessories told reporters that this year's profits will decline by 2% to 3%.
Orders shrink by nearly 10%
In the lamp accessories city, although the car to the car, like a lively scene, but many accessories store owner reflected that the accessories industry business is not as good as the beginning of the year. “As soon as April, hardware accessories entered the off-season, orders fell,†said Song Song, analyst of the Yongdu Hardware Accessories Store of Lamp Parts City, an area that is affected by the regulation of the property market and rising CPI. The company's sales have been greatly affected, and as an upstream part of the industry chain, the accessories companies have not been able to remain independent.
According to some of the accessories merchants, compared with the same period of last year, orders for the first half of the year have shrunk, with a drop of about one to two percent. "Before this April, we have more than 40 people in this new factory. Now there are only 30 people left. On the one hand, we have introduced new equipment to increase production. On the other hand, we don't need so many people now." Road, affected by the performance, many of their peers have significantly reduced their manpower, and even cut costs by giving workers time off.
Extended billing period
In the accessories industry, the payment period of the payment is generally one to three months. However, this year the market as a whole is cold, many small and medium-sized lighting accessories companies' payment settlement period has been extended for no reason. Longhua told reporters: "As far as I know, some of the electronic accessories companies have not yet received the money for March and April, and the funds are unsustainable, and some have even stopped production and even withdrew from the industry."
Four ups and downs in profits
On August 4, the reporter went to the ancient town of Huanbang Technology Electronics Factory located in Gangnan Industrial Zone. Just sitting down, Longhua, general manager of Huanbang Electronics, disclosed to reporters a message: “This year's market is not good, and accessories companies are under great pressure in terms of operation and production.†Huanbang Electronics is a professional manufacturer of digital Remote Control, Electronic switchgear and electronic transformers have factories in Guzhen and Jiangmen. According to Longhua, this year, due to the rising cost of tin, copper and plastics, the production cost of remote control switches has increased by 15% to 20%. Although the price of the remote control switch of Huanbang Electronics was fine-tuned at the beginning of this year, profits have shrunk by nearly 5%. “Now it is more difficult for accessory companies to make profits. The profits of some electronic products have fallen below 10%, which is in stark contrast to the profits of 20% to 30% in the early years.â€
In addition to electronic accessories, other lighting accessories such as hardware, light sources, crystals and plastic glass are also rising. According to a survey conducted by the reporter, this year's hardware materials have been raised in an all-round way. Take best-selling iron and copper as an example, the increase ranged from a few hundred yuan to 2,000 yuan/ton, and the crystal pendants generally rose by 10% to 15%. Although raw materials continue to rise, many accessories companies have not made corresponding price adjustments to their accessories. Store owners with hardware accessories told reporters that this year's profits will decline by 2% to 3%.
Orders shrink by nearly 10%
In the lamp accessories city, although the car to the car, like a lively scene, but many accessories store owner reflected that the accessories industry business is not as good as the beginning of the year. “As soon as April, hardware accessories entered the off-season, orders fell,†said Song Song, analyst of the Yongdu Hardware Accessories Store of Lamp Parts City, an area that is affected by the regulation of the property market and rising CPI. The company's sales have been greatly affected, and as an upstream part of the industry chain, the accessories companies have not been able to remain independent.
According to some of the accessories merchants, compared with the same period of last year, orders for the first half of the year have shrunk, with a drop of about one to two percent. "Before this April, we have more than 40 people in this new factory. Now there are only 30 people left. On the one hand, we have introduced new equipment to increase production. On the other hand, we don't need so many people now." Road, affected by the performance, many of their peers have significantly reduced their manpower, and even cut costs by giving workers time off.
Extended billing period
In the accessories industry, the payment period of the payment is generally one to three months. However, this year the market as a whole is cold, many small and medium-sized lighting accessories companies' payment settlement period has been extended for no reason. Longhua told reporters: "As far as I know, some of the electronic accessories companies have not yet received the money for March and April, and the funds are unsustainable, and some have even stopped production and even withdrew from the industry."
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