Purchasing tendency brand manufacturers products Qipu Optoelectronics this year's performance will increase by 30%

On August 30, 2012, Gaoliang LED Industry Research Institute (GLII) analysts visited Shenzhen Qipu Optoelectronics Co., Ltd. to discuss the development status of LED display industry and Wu Xiaogang, general manager of Qipu Optoelectronics.

Wu Xiaogang, General Manager of Qipu Optoelectronics

For the performance of Qipu Optoelectronics this year, Mr. Wu said that in the first half of 2012, Qipu Optoelectronics' sales revenue and profit maintained steady growth, and sales are expected to increase by more than 30% this year. Among them, affected by the crisis in Europe and the United States, orders decreased, and the proportion of exports changed from 60% to 40%.

At present, LED displays exhibit the following three characteristics: (1) Buyers are increasingly inclined to purchase products from major brands. (2) The price gap between large manufacturers and small manufacturers is shrinking. At present, the increase in labor costs has a great impact on small and medium-sized manufacturers. (3) Large manufacturers are forced to increase the proportion of direct sales due to performance pressure, which makes the original channel dealers lose to small and medium-sized manufacturers.

At present, the indoor LED display, P3, P4, P5 demand the largest, P4-P5 between the products accounted for more than 50% of the indoors. In terms of outdoor display, the mainstream product in 2012 is P10, accounting for about 50% of outdoor LED display products.

In response to the price war in the LED display industry, Qipu Optoelectronics adheres to the quality line and does not blindly follow the trend of “price war”. The company has a long-term development plan, shaping the company's brand from the aspects of management standardization, product standardization and team efficiency.

Gaogong LED Industry Research Institute believes that:

LED display competition is irrational competition, and manufacturers continue to compress product gross margins in order to compete for orders. The low gross profit margin affects the profitability of the manufacturers, so manufacturers are increasing the proportion of direct sales.

Orders for LED displays have gradually concentrated on brand manufacturers. With the continuous development of scale and the influence of brands, Qipu Optoelectronics is expected to gain more favor from buyers and be optimistic about its future development.

Company Profile:

Shenzhen Qipu Optoelectronics Co., Ltd. has annual sales of over 100 million yuan and is one of the mainstream LED display companies in China. Founded in 2000, the company has a registered capital of RMB 20 million and is headquartered in Building C, Gemstone Science and Technology Park, Shiyan Road, Shiyan Street, Baoan District, Shenzhen, China. The production and operation area is 15,000 square meters. Qipu Optoelectronics' "Black King Kong" universal module kit solves the problem of non-standardization of conventional kits, shortens product production cycle and reduces the cost of non-standardized production. The main products of the "Great White Shark" series are P6.67, P8, P10, P13.33, etc. The full waterproof rental cast aluminum box body combines light and ultra-thin, and solves the outdoor specialization needs of the stage, rental and other industries.

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