In order to become a provincial agent, the merchant must have certain conditions, such as its own strong sales ability, and can complete certain annual sales tasks in the provinces; merchants have strong market management capabilities, can manage products in the region Reasonable distribution. In the LED lighting industry, many companies in order to make the channel outlets sound and cost-effective control, usually in the province-level agents set up provincial agents in general terms is for the sale of a certain product, a business has obtained its in a province The general agency right. Other merchants who want to sell this product in the province can only act as distributors of the agent. The main function of the provincial agent is to complete the established sales tasks of the agent products in the province, develop the distribution network of the agent products in the province, and manage the promotion of the product in the province. In general, a product can only have one general agent in each province. The performance of provincial agents is diversified, such as provincial logistics operators, provincial operation centers, provincial branches, etc., which are the expressions of provincial agents, but differ in functional division. In order to become a provincial agent, the merchant must have certain conditions, such as its own strong sales ability, and can complete certain annual sales tasks in the provinces; merchants have strong market management capabilities, can manage products in the region Reasonable distribution. In the LED lighting industry, many companies in order to make channel outlets sound, cost-effective control, usually set up two or even three agents in the provincial agents. Once, they are the mainstay. Looking at the development of the LED lighting industry, we can easily find that in the past, provincial agents were the darling of the channel. Whether it is to promote brand companies to become bigger and stronger, or to promote the rapid development of the industry, they are all indispensable. In the era of traditional lighting, provincial agents are the undisputed mainstay of the channel market. Take NVC lighting, one of the three traditional lighting companies as an example: In order to quickly seize the commanding heights of development, NVC Lighting has set up 38 provincial-level operation centers nationwide, which actually exercise the functions of provincial agents. Under the provincial operation center, dealers at all levels get goods directly from the operation center. This mode of NVC lighting effectively reduces the cost pressure and management pressure of NVC lighting in channel construction, and accelerates the rapid development of NVC lighting. At the same time, agents and dealers can also earn reasonable profits from them and achieve a win-win situation. At the same time, the provincial-level agent model has promoted the development and growth of a group of powerful enterprises. At the same time, it has also cultivated a group of outstanding businessmen with ideas and understanding of the market. For example, the representative agents of Shandong and Northern Jiangsu, such as Philips and NVC, are Linyi Tianma. Liu Tongguang, Chairman of Lighting, and Liu Mingxian, Chairman of Linyi Shilin Lighting, which is also engaged in Shilin, Midea and Mulinsen, and Xing Zhanli, Chairman of Henan Xingchen Electric Lighting, Zeng Ping, Chairman of Henan Derui Lighting, and Director of Hefei NVC Lighting Chang Chen, special manager of Guangzhou Yuezhi Lighting, Zhang Woren and so on. To achieve performance, brand, brand, market, reputation, reputation, and hard-working market for decades, these businesses have established a solid position with strong strength and good reputation. Respect for consumers and the market. This also makes them a scarce channel resource for many companies in the era of LED lighting and lighting. But at the same time, we should also clearly see that in the era of LED lighting, provincial agents are facing the same urgent transformation and upgrading as upstream manufacturers. Industry veterans bluntly said that there has been almost no real win-win between manufacturers and provincial representatives. In the past, because everyone was in a period of rapid development, some contradictions and problems were concealed. Now, when everyone's development is facing a bottleneck, various contradictions and problems have surfaced. To this end, we have seen that it is not uncommon for the change of the general agent at each provincial level of different brands. At the same time, the provincial generation also holds several brand agency rights, and at the same time, it tends to cultivate its own regional brands to get rid of the constraints of manufacturers. Some provinces have been very effective in this respect, and they have also made some manufacturers jealous. Today, they are suffering. As a provincial agent, they have been operating for many years and finally develop and grow their corporate brand. But entering the new era of LED lighting, the pressure from all sides has also made the provincial generation breathless: e-commerce shocks, performance pressures, inventory risks, channel maintenance, profit compression, customer diversion, price transparency are really sad and sad. The backlog of inventory backlog is difficult to maintain in the home. There is food in the family, and the heart is not panic. As a provincial agent, the so-called grain is stocked. However, in the moment, inventory is probably the most unwilling issue for provincial agents. In addition, the cruel reality of rising costs, increasing the difficulty of channel maintenance, and accelerating the loss of distributors has also made the provincial people miserable. Inventory backlog, depreciation of goods, and provincial profits are difficult to protect. For provincial agents, not doing inventory can not be said, but in the era of LED lighting, which is accelerating product renewal and price warfare, for provincial agents, product prices continue to fall, if sales are not smooth, then In addition, the intensive product inventory of the company is constantly facing depreciation, and profits are diluted or even incurred at a loss. In this case, if the manufacturer takes the initiative to propose the stock depreciation of the manufacturers to bear the risk, the outcome is naturally happy; but if the manufacturer does not intend to bear the risk of inventory depreciation, the provincial agents can only recognize the bad luck. Labor and rental costs are rising, and channel maintenance is not easy. In the past two years, the cost of labor and land rents has continued to rise, which has become an important factor in consuming the profits of provincial agents, and to a certain extent, it has made it difficult to develop and manage provincial agent channels. At the same time, due to the increasing number of LED lighting companies, they have intensified market competition after they intervened in the market. Compared with the provincial agents who have come along the traditional lighting era, it is necessary to invest more manpower in stabilizing the original channel resources. , material resources, financial resources, which also makes provincial agents complain. The channel is flattened and the provincial role is weakened. At this stage, many powerful LED lighting brands seek to break through the sales model in order to seize the commanding heights of the development, flatten the channels, and even cancel the provincial agents, directly set up municipal agents and county-level agents, which means provincial level The role of agents in the channel model has been weakened. Profitability decline profits are further compressed. The general decline in retail channel profitability, wholesale channel profitability, and engineering channel profitability is also a problem that makes provincial agents have a headache. Retail profitability has declined year by year. In addition to sales through channels, provincial agents generally display the image of the agent products through the operation of the storefront, which in turn generates profits. In the era of traditional lighting, for the powerful provincial agents, opening a big store is the profit of their retail model, because the big store has a certain market share and influence in the terminal market, the customer resources are more, in some kind To the extent that the brand product sales can be guaranteed. At the same time, due to the strength of provincial agents, there are certain customer resources in the city, and the risk of opening a large store is relatively controllable. However, in the current fierce competition, under the impact of the Internet, affected by factors such as rising capital and labor costs, for the provincial agents, opening a big store has not been as good as before. Channel wholesale profits continue to shrink. Wholesale products to distributors, thereby earning intermediate profits, is the most effective way for provincial agents to complete annual sales tasks and achieve profitability. However, with the idea of ​​some companies directly flattening channels and the emergence of various e-commerce platforms, many distributors directly order products from manufacturers, and no longer pass the level of provincial agents, which makes the wholesale profits of provincial channels greatly shrink. . The profitability of the engineering channel was affected. In the past two years, the government has advocated frugality, and the budget and investment of municipal engineering projects have been reduced. This is indeed not a good thing for provincial agents who are profitable from engineering channels. At the same time, the bidding and bidding of various projects are more stringent. Many engineering projects and municipal renovation projects require direct supply from factories, and the profitability of provincial engineering channels is once again affected. E-commerce platform: love and hate are controlled by you from the provincial agent's spit. We can easily find that the era of LED lighting, the days of provincial agents are not good, all kinds of business difficulties make them breathless. . Among them, the most troublesome for provincial agents is the channel impact pressure brought by various e-commerce platforms. Comprehensive e-commerce platform pressure. With the rejuvenation of consumers and the rise and development of the Internet, various comprehensive e-commerce platforms such as Taobao, Tmall, and Jingdong have emerged, and actively embracing e-commerce has become an important way for many enterprises to cope with market challenges. For example, NVC Lighting set up an e-commerce team early in the morning, and worked closely with Tmall's home improvement to make the NVC lighting retail system e-commerce. As one of the earliest electric lighting companies, Op Lighting's impressive record of 120 million yuan in transaction volume in 2015 has been the first in the industry for three consecutive years. In addition to NVC, Oupu, Huayi Lighting, Qilang Lighting, Oduo and many other brands have opened official flagship stores on the comprehensive e-commerce platform. Undoubtedly, this has severely diverted the customers of the terminal channels and directly seized the cakes of the channels at all levels. Among them, the resources of the provincial agents were the most robbed and the injuries were the most serious. Vertical e-commerce platform impact. In addition to the integrated e-commerce platform, the vertical e-commerce platform also has an impact on provincial agents. It is understood that there are dozens of various forms of vertical e-commerce platforms in the industry. Although their functional focus is different, the basic operation mode is to cross the provincial general agent and directly distribute with the city and county. Dealing with merchants or distributors has greatly affected the management of provincial agents and the viscosity between provincial agents and subordinate distributors. In the future, they have not given up despite the increasingly fierce market competition and the increasing impact of e-commerce platforms. The profitability is not as good as before, and the challenges are increasing. However, provincial agents are still making great efforts to advance each time. In the challenge, we can better achieve self-breakthrough and meet a better future. Sharing the economic era, leveraging the strength of manufacturers to develop their own advantages. Talking about the future way of provincial agents, Li Jin, a marketing consultant for Guangzhou City, is a high-level brand marketing consultant. In the new era, provincial agents can cooperate with brands to 1+1=11. The strengths are maximized. For provincial agents, facing the pressure of large channel operating costs, and vigorously developing brands, the cost will be very large. Therefore, provincial agents can fully utilize the advantages of manufacturers' brands and R&D to develop their own channel construction. Advantages such as team building. Create a core team that builds a dialogue mechanism around products and customers. As a provincial agent, having an efficient marketing team and service team is the key to achieving sales goals and maintaining a stable maintenance channel. Therefore, provincial agents must have the ability to connect manufacturers and customers, and can establish different dialogue mechanisms with distributors and subordinate agents according to the different characteristics of the products they represent, so as to ensure that different brands can have certain market. Have a learning attitude and be good at integrating upstream and downstream resources. As the market tests more and more, the pressure on provincial agents is also growing. To become a qualified provincial agent, you need to have the ability to integrate upstream and downstream resources, that is, to integrate products from the upstream, responsible for the distributors; to integrate the dynamic distributors from the downstream, responsible for the enterprise. Provincial agents should eliminate products that do not have market competitive advantages and keep them away from the distributor's inventory. At the same time, optimize and activate the distributor group, so that products with real market will be distributed in the system. Break through the pattern of thinking and actively embrace the Internet. From the perspective of Internet development, provincial agents are inevitably facing the impact of the Internet, and the impact will be greater and greater in the future. Therefore, in order to be eliminated in the Internet era, provincial agents must break through the original The pattern of thinking, accepting, learning and actively embracing the Internet, using the e-commerce platform to achieve effective integration online and offline. At the same time, provincial-level dealers must improve the team's service capabilities in the Internet era, as well as the professional combat capabilities of the Internet era, so that in the market reshuffle, they can stand firm and be invincible.
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