The future of O2O in LED lighting industry will be in tier 2, Tier 3 and Tier 4 cities

At present, the hype of O2O in the lighting industry is quite hot. Many people will ask whether it is easier to do O2O from first-tier cities or second-tier and third-tier cities? I think it is the latter. Why? Big brands in first-tier cities are crowded, and competition is fierce. In second-and third-tier cities, competition is relatively small and opportunities are more. Why is it easier to develop second-and third-tier or even fourth-tier cities? First, second-and third-tier cities have a large population base. They occupy the mainstream market of mass consumption, especially many young people will choose to develop in second-and third-tier cities with relatively low housing prices. After experiencing a period of busy life, many post-80s and post-90s will choose second-and third-tier cities with relatively less fierce competition to settle down, because there is lower consumption cost and less pressure to buy a house. Second, it is difficult for big brands to fully cover, and small and medium-sized brands can enter. The layout of first-tier cities is relatively mature, and consumers can buy online or go to specialty stores. In the second-and third-tier cities, hypermarkets and brand stores are relatively limited, and the combination of brands and agents online and offline will be a blue ocean. The consumption ability of second-and third-tier cities is not bad, and with the improvement of living standards, their requirements for home decoration are getting higher and higher, and they hope to choose brands with a sense of security. The O2O experience mode of lighting enterprises can enable them to participate in the whole purchase process and solve the problem of distrust. Compared with pure e-commerce platforms, traditional offline channels have stronger penetration. For example, Haier mall, whose logistics distribution covers more than 2500 counties, has a smooth flow of channels. Nearly half of the orders in the online mall come from third-and fourth-tier cities. However, the problem is coming. The orders in the third-and fourth-tier cities are scattered and the situation is different. Each platform must learn to find partners to leverage. At present, the sinking of various platform channels is to solve the problem of payment and distribution. The key is to see who runs faster and knows the local market better. From the perspective of mode, there will be more interactive ways online and offline. Two-dimensional codes, store information terminals, mobile apps and virtual reality technologies have gradually entered commercial applications, and online and offline integration will be closer, the user experience will be more perfect, and the information opacity of the lighting industry will be further eliminated. From the perspective of development strategy, diverging from key areas to second-and third-tier cities, relying on the experience and technology of key city home furnishing experience centers, bringing brand-new experience to the home decoration market in second-and third-tier cities.