Security market profits generally decline

Despite this scorching sun in the summer, most of the small and medium-sized security companies in Shenzhen, the capital of security, are still in the cold winter in the face of excessive competition and oversupply. Recently, the reporter visited Longhua, Putian, Minzhi and other security and small and medium enterprises, this year's security market is somewhat deserted. "From 2011 onwards, security is not very profitable. This year, it was found that taking orders is even more difficult and the profits are very low. Many Anji enterprises have begun to seek transformation." Zhu Jun, a civilian security company, told reporters.

The status quo orders 寥寥 factory production reduction According to the past experience of the security industry, July-September is the off-season security sales during the year, and this year is particularly evident. Some security companies visited by the reporter understand that most small and medium-sized security companies will pick up this year. The number of orders received was even smaller than in previous years, and product profits have also declined rapidly. Many companies have simply reduced their production scale.

“In the past, the security industry was ok. In the past two years, it was not very big and there was no big profit.” A person in charge of security companies told reporters that the last 3 or 4 years was the most popular period in the security market. “At the time it was almost It is possible to make money by opening a security factory.” Since 2011, however, due to the low barriers to entry and the increasing number of entrants, the competition for homogeneity has become severe and the price war has been fierce. This has also seriously affected the security market. Some small and medium-sized security companies The days are getting worse. But most people did not think that this downhill does not seem to have seen the end. "This year's market will not work either. Seeing it all in August, the sales volume has still not improved. It is estimated that this year it will lose money again."

The reporter then went to the Pacific security market successively and found that the situation in the store was similar, the traffic was sparse, and the owner had nothing to do.

The saying that profit declines for manufacturers is difficult for the status quo of the Shenzhen security market, big wave camera manufacturer Liu Yang told reporters, not because of the security market downturn, on the contrary, the security market demand is very large, and the increase is also very large, and excessive competition is an important reason . "There are too many security companies in Shenzhen. There are more than 4,000 registered security companies in Shenzhen alone. This does not include a large number of small workshops. Most of them produce similar products." Liu Yang said that in the past, the security market was booming. This kind of excessive competition has not yet manifested itself too clearly, and from 2011 onwards, the malpractices of such industries have become more obvious. An important performance is that the challenges faced by small and medium-sized security enterprises are the most severe. “Like a video camera, we all know that in the past, a manufacturer could achieve a profit of three to fifty yuan. Now, because there are almost no differences in product, all of them are fighting for price. Infrared cameras with a price of less than 100 yuan are profitable for manufacturers. Basically around 5 yuan.” Liu Yang said that the current state of survival of small and medium-sized security companies is indeed more serious, in addition to a serious decline in profits, the payment default is also a common phenomenon in the industry, cash flow is also facing the test. ”

Another more realistic argument is: "Now the security industry is not not making money, but whether enterprises can survive according to the previous model." Liu Yang said that at present, the difficulties faced by SMEs, many companies began to transition. "In fact, security companies will not be transformed easily, but because the current market is really too chaotic, many people cannot bear it."

Outlet electricity supplier? Civil market?

How do small and medium-sized security companies break out? E-commerce seems to be a feasible way. In addition to e-commerce development path, the rise of the civilian market is seen as another "big cake", and in addition to product-level innovation in civilian use, the more important thing is that the marketing model of security products will also change, which happens to be electricity. The best combination of commercial and civilian use.

Choosing the right model The most important thing for small and medium-sized enterprises to do e-commerce is inevitably facing problems of choice. Choosing an integrated e-commerce platform such as Tmall and JD is probably the first thought of most people. It can be settled in fees, service fees, and promotion. With the cost and professional team building, it is difficult to start up a project with no 500,000 projects. For most small and medium-sized security companies, the cost of entering the integrated e-commerce platform is high, and the promotion cost is high. Overall, the risk is high. Caused the security companies to want to do e-commerce, but could not find a suitable platform, which seriously restricts the development of e-commerce for SMEs.

For the development of e-commerce in the security industry, Li Baoquan, the founder and CEO of the Security People's Store, has keenly captured this development trend and strives to build a security person online store. Provide e-commerce platforms and services for small and medium security companies. Li Baoquan, chief executive officer of the security person mall, said: “Compared with traditional integrated e-commerce platforms, the biggest advantage of the security people’s store lies in its professional services and the accuracy of its target customers. Li Baoquan said that in the preparatory process of the previous period, in addition to conventional investment promotion, The team of security personnel took more consideration into the "prosperous business" measures in the latter part of the operation, and it was necessary to allow the suppliers' customers to "get in, stay, do, and develop."

Immediately on the line, the security team took precautions and prepared a development plan for the first batch of companies joining the Alliance for Safeguards Supplier Alliance. During the planning, the Security People Mall took full advantage of its own customer resources, platform traffic resources and marketing promotion resources, focusing on supporting A group of companies that have joined for the first time has become a supplier of trademark poles, enabling more suppliers to get a good development from the platform of the security person mall.

“At present, the first phase of the investment promotion program for the security person mall has begun. In addition to the generous incentives in the investment policy, we also tailored many supporting policies for the first phase of the mall supplier, and achieved a group of batches, achievements, and priorities. The joining company will first succeed on the security platform."

For the exploration of e-commerce in the security industry, various modes have been proposed in the industry, but it seems that none of the modes has achieved "perfect results." Wu Yajun, general manager of Shenzhen Ruijie Security Co., Ltd., said that the security industry’s e-commerce business is now in a period of rapid development. For security companies, most of them are also facing the “electricity” option, regardless of whether they have settled in the platform of Tmall. , open Taobao C shop, or build self-operated mall, and joined the third party platform such as security people shopping mall, it is too early to say which model is good, which is not good, but the company should start based on their own resources, ability and understanding To do e-commerce, their respective explorations and attempts show a flourishing trend.