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In the first half of this year, the refinancing channel of enterprises was opened, the policy environment was excellent, new products and new technologies in the field of semiconductor lighting emerged one after another, and the development momentum was flourishing. The supply and demand in the middle and lower reaches of the industrial chain were booming, and the enterprises represented by listed companies increased their profits. With the soaring market sentiment, industry investment expansion and integration mergers and acquisitions are more normal and diversified, and demand is strong and competition is the most prominent performance of the industry. In the domestic market, in the first half of 2014, China's LED lighting products market performed outstandingly, with rapid growth and decreasing prices. With the sinking of corporate channels, the second-tier market has outstanding performance and the growth of commercial lighting is clear. Despite the impact of real estate and the impact of e-commerce, the overall efficiency of lighting product distributors is good, maintaining an overall growth rate of 20 or above and a gross profit margin of around 25. It is expected that with the arrival of the renovation season in the second half of the year, the growth rate in 2014 will reach a new high. Full penetration and transformation of LEDs In 2014, the domestic market for LED lighting began to fully penetrate in the first year, and the retail sales achieved rapid growth. According to relevant data, in the first half of the year, the sales growth of LED lighting products in China's domestic market entity dealer channel was around 27.8. The distributors above 88 reported that the sales of LED lamps in 2014 have achieved a relatively significant growth compared with 2013. Nearly 30% of the merchants indicated that the growth rate exceeded 30. The rapid growth of LED market sales mainly comes from the replacement of traditional lamps. In the case of weak growth in the overall lighting market, the increase in LED penetration directly pushed the market outbreak in the first half of the year. As of the end of June, the overall penetration rate of LED lighting products in the physical channel has reached an average of 57 or so, an increase of 14 percentage points from 45.7 at the end of 2013. The second-line market broke out, and the market in the central region is starting to be tempted by the huge profits of the LED market. The promotion of LEDs by manufacturers and distributors continues to increase. The primary and secondary markets have already entered the popularization stage, and the third and fourth-tier markets have followed closely. . From the perspective of market level and channels, the second-tier market (mainly refers to the second-tier prefecture-level cities) broke out in 2014, the penetration rate increased by 15.5 percentage points, and the sales in the second-tier market increased by about 30 compared with the same period of last year. According to dealers' reports, 40% of the second-tier market dealers have a growth rate of more than 30, while 75 dealers have growth rates of more than 10. After more than a year of intensive cultivation in the second-tier market, major lighting companies have achieved significant results in channel layout and marketing promotion in the second-tier market. The growth rate of the first-tier market and the third-tier market should not be underestimated. The sales of the first-line market in the first half of the year increased by 19.27 compared with 2013, while the penetration rate climbed to 62 and stabilized. In the third-tier county-level cities, LEDs began to gradually recognize the people, and many enterprises have begun to strengthen the promotion, but LED There is still a gap between the penetration rate and the first- and second-tier cities. In the first half of 2014, the market growth rate was around 20. The e-commerce market is growing rapidly, and the growth rate of online sales of LED lighting products is almost more than two years. The overall Taobao lighting market is gaining momentum. From January to July 2014, Taobao (including Tmall, the same below) sold lamps and light sources of 5.3 billion yuan, a year-on-year increase of 144.43, including 210 million yuan, an increase of 95.4, and lamps of 5.08 billion yuan, an increase of 147. In view, Taobao lamps and light sources sold 23.42 million units, an increase of 85.26 compared with last year, of which the light source was 6.99 million units, an increase of 98.99, the number of lamps was 16.43 million, an increase of 79.88, and the sales of various types reached 330,000. According to Taobao statistics, from January to July 2014, the sales of LED light source products (including spotlights) increased by 100.59 compared with the same period of last year, reaching approximately 175 million yuan, accounting for 82.76% of the total light source products. In terms of numbers, the number of orders for selling LED light source products in Taobao in the first seven months of 2014 has reached 5.9 million units, an increase of 122.14 compared with the same period of last year. At the same time, the number of LED products on Taobao has increased to 60,000, an increase over the same period last year. 33.22.