The explosive growth of LED display will usher in a new era!

Although the current fierce competition for the LED display industry is endless, there is no doubt that with the advancement of digitization and product performance, the LED display market will become more and more vigorous. The market value of large commercial display (LFD) is expected to reach $14.93 billion by 2023, with a compound annual growth rate of 6.7% from 2017 to 2023. At present, LED display screens are gradually acquiring traditional commercial display devices. The explosive growth in this field provides another possibility for the future growth of LED displays. The production of high-definition products such as small pitch will further promote the market share of LED display.

In addition, the inland provinces and cities have greatly supported the LED industry, which has greatly reduced the operating pressure of LED screen enterprises, and helped enterprises to increase the cost of research and development, production, promotion, etc., which is helpful to the development of enterprises... All of them show that although it is an era of competition among the masses, it is also the best time for the screen enterprises to achieve a leap-forward development.

Prosperous market segments in the future

The research agency's outdoor advertising report pointed out that the global outdoor advertising market has shown a trend of replacing traditional static billboards and posters with digital signage systems. In addition, another Chinese media report also pointed out that China's total media spending will increase by 7.8% in 2017 to reach 581.39 billion yuan, while outdoor advertising will increase by 8.1%. Combined with the high tolerance of the LED display and suitable for outdoor, it will undoubtedly increase its market share in the outdoor display field.

In terms of the market demand for LED displays, the strong growth momentum of small distances has undoubtedly brought new hopes to the industry. From the first quarter corporate performance report, most of the LED small-pitch screen key manufacturers' performance is bright, and the sales of small-pitch products of individual manufacturers have increased by over 50%. Moreover, with the increase in output and the decline in cost, small-pitch display products have also begun to penetrate into the low-end and large-screen fields from the high-end field, which is bound to bring a new round of product renewal and further stimulate market demand.

In addition, the demand for segmentation areas has gradually become more prominent. In the past two years, the LED transparent screen has successfully entered the main business and dance market with the sense of technology and fashion, and released the charm of transparent display. The LED shaped screen also obtained bars, dances, etc. by breaking the conventional shape and customized mode. The field is favored; LED floor tiles, LED flexible screens, smart LED displays, and more detailed areas that combine VR/AR, naked-eye 3D LED displays, etc., are beginning to prosper and will further expand display requirements.

Such a broad prospect is not inferior to the previous market when it was not developed and people did not have enough knowledge of the LED display. In the LED display industry, we should be thankful that market education is more adequate, but not saturated, and emerging areas have great potential, allowing companies to have enough space to develop the market blue ocean.

"Intelligence" technology is the first

Recently, the topic of Chinese manufacturing has become hotter. Unlike before, Chinese manufacturing has been completely defined. The words of quality, innovation and quality are used to describe Chinese-made products, and even "manufacturing" is slowly starting. Change to "intellectual creation." The phenomenon is consistent with the fact that the products of China's LED screen enterprises are also making great achievements overseas. Not only are the products of the downstream application side, but also the upstream areas are in the field of chips with high technical requirements. Domestic enterprises have gradually opened up their own positions.

In this case, isn't it a good time for LED screen companies? With the introduction of China Manufacturing 2025, "One Belt, One Road" and other policies, LED screen enterprises have to go abroad more easily, and the reputation of China's manufacturing in the world has improved significantly, and the visibility of China's LED display screens around the world has won the trust of the market. Great benefit. It is reported that in April China's LED display products export market reached 141 million US dollars, a record high in a single month, an increase of 29.5%. With the improvement of the quality and reputation of LED display in China, domestic LED screen enterprises will have more room for development in overseas markets.

Moreover, in this era of technology-first, small and medium-sized enterprises and large enterprises can still fight together, no longer the price, but technology. Large companies have strong capital and can temporarily cut profits and compete with SMEs in the end, but technology can close the distance between large enterprises and SMEs. According to a survey conducted by HC LED Screen and HCR, 77.42% of respondents are worried about the poor quality of LED display when purchasing. It can be seen that quality has become the most concerned issue for display terminal users. Therefore, in today's serious LED display homogenization, SMEs do not need to spend too much effort on R&D, but in product optimization and performance improvement. If you work hard, you can increase your competitiveness in the market and gain a bigger market share.

Unlimited opportunities for integration

Although the integration speed of the LED display industry has accelerated in recent years, the number of enterprises that have been eliminated so far has been limited. Even due to the lack of entry funds and technical requirements, new enterprises have continued to emerge during the integration period. Moreover, compared with the field of upstream LED chips and LED packaging, the industrial concentration of LED display screens is not high. Even in recent years, there have been cases of price killings. Except for some "zombie" manufacturers, most of the small and medium-sized enterprises are still strong. It can be seen that the industry integration process is not coming to an end, and SMEs do not have to be disheartened.

In addition, although several large-scale enterprises have been formed in the industry, the industry as a whole has not been able to have a brand-aware company. According to the survey, nearly half of the buyers believe that there are too many brands and suppliers, and they do not know how to choose; one-third of the manufacturers believe that users do not have a brand concept. In the case of low brand maturity, it is undoubtedly an opportunity for SMEs. In the absence of a publicly recognized brand, customers need to be more patient in understanding different brands. SMEs can pass publicity, service, quality, etc. Efforts to get the trust and choice of customers will have more opportunities.

In fact, no matter how mature the industry is, opportunities will always exist. Just as in the era when the Microsoft system dominated the world, Apple can still rely on technology and innovation to break through, and even today the market value far exceeds the former. So, now that the LED display is still in the current situation, what reason do we blame "time is not with me"? Although the current challenges exist, there are also opportunities. In the so-called chaos, what companies in the LED display industry will be able to achieve a career? We will wait and see.