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LED Industry Growing at $10 Billion a year in USA Alone

Ubermensch

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LED lighting market is projected to grow over 45% per year by 2020. The market was estimated at $13 billion in 2014 and is likely to cross over $63 billion by 2020. Next generation lighting attains a complete substitute of luminous filament bulbs with LED lighting that lasts longer and is more efficient. These lightings also have low cost of operation significantly. Philips is the market leader for LED lights and it mainly focuses on higher margin activities. General competitive stress has severely impacted the overall industry; as a result the price declining is majorly because of economic scale.

Next generation lighting achieves a complete replacement of incandescent filament bulbs with LED lighting that is more energy efficient, lasts longer and has a significantly lower cost of operation.

Philips is to sell its lighting business. The Dutch electronics group Philips has attracted bids from several private equity groups for the majority of its lighting components business, up for sale as it focuses on higher-margin activities. Philips, the market leader has been the first casualty as the profit margin on the individual LEDs is eroded because of overproduction in China. The achievement in price declines is because of economies of scale, and general competitive pressures have drastically affected the market. Philips is set to sell its lighting business soon.

Epistar is working on 200mm technology. Philips, OSRAM, and Samsung have been actively exploring GaN on silicon technology. Market shifts provide entry points for new competitors. They create significant opportunities for participants to achieve rapid increase in market share. Shifts in market share are anticipated as vendors move up the value chain to increase returns on investment.

For More Information On "Global LED Lighting Market Research Reports" visit -http://www.radiantinsights.com/research/led-lighting-market-shares-strategies-and-forecasts-worldwide-2015-to-2020

There is a move by vendors to provide more pieces of the LED light. In this way they seek to control their margins. Vendors primarily compete with other providers of LED lighting on the basis of product performance, as measured by efficacy, light quality, increased lumen output and reliability. Product cost combined with an acceptable level of quality is always a competitive issue.

LED vendors seek to offer LED lighting products that achieve a lower total cost of ownership and enhanced product quality. The channel looks for a broad product portfolio. Those vendors with a broad product portfolio have access to strong retail channels. Channel strategy is further impacted by OEM relationships. A differentiated product design approach, proprietary technology and deep understanding of lighting applications aids the ability to compete in LED lighting markets.

LED lighting decreases labor costs of replacing bulbs in commercial situations. The LED bulbs are implementing new semiconductor technology. The 2015 study has 973 pages, 406 tables and figures. Worldwide LED lighting markets are poised to achieve significant growth as buildings and communities lead the way in implementing the more cost efficient systems. In some cases, the utility plants are providing funding and financing so that lighting users can make the shift to LED lighting.

LED lamps lower the overall cost of lighting. LED lighting costs are less than costs with incandescent lights. LED lamps offer up to 50,000 hours of illumination with a fraction of the energy used by traditional incandescent bulbs. LED bulbs generate 90% less heat than incandescent bulbs. LED bulbs extend time between bulb replacements. The bulbs are used to achieve a near zero-maintenance lighting system.

LED lighting products are coming to market rapidly. Suppliers carry up to 150 different LED bulb and lamp styles to fit the various needs of consumers and businesses.

LED PAR lamps dominate the ENERGY STAR qualified product list, so back in 2012 IEE partnered with TopTen USAand Ecova to develop recommendations for top performing PAR38 and PAR30 LED lamps. The team developed an evaluation protocol that starts with the lamps found in ENERGY STAR's list, to which we applied product criteria screens and testing to a subset of lamps to determine the 10 top performers. Efficiency along with aesthetics, payback period, and dimming performance were key criteria to the ranking.

The emergence of cost-competitive LEDs has caused a "paradigm shift" in the lighting industry that has changed everything. The LED lighting industry rapid technological change has been brought by enormous changes in the regulations affecting lighting. Short product lifecycles are a result of new manufacturing and materials science that are the result of companies trying to improve the economies of scale to make price points more attractive to customers.

According to Susan Eustis, leader of the team that prepared the study, "Frequent product introductions have characterized the LED lighting industry. There is a highly competitive pricing environment with the current price point of $6 per light in 2015 about to decline further, creating competitive changes in the lighting markets. Technology innovation creates market characteristics that increase the need for continuous investment in research and development. Partners remain core to vendor positioning."

Sales of LEDs that outpace incandescent bulbs in North America are expected to soon completely eliminate incandescent bulbs. The LED lighting market is anticipated to grow 45% per year through 2020 LED lights at$13.6 billion in 2014, are anticipated to reach $63.1 billion by 2020. Market forecasts are based on indications that LEDs are leveraging economies of scale to achieve price points attractive to users. Markets appear to be moving toward 100% LED replacement of existing technology including incandescent bulbs. The reason is the declining price points, the increased interest by the channel in pushing LEDs to consumers. LEDs provide the best lighting solution. The phase out of incandescent lights has begun, the onset of LED command of the market is upon us.

This LED lighting shipment analysis is based on consideration of the metrics for the total number of lights installed with a likely penetration analysis. Interviews with distributors, vendors, and users provide means for triangulation of data to achieve an accurate look at the market. Interviews include contact with distributors and analysts worldwide,

Market Leaders

  • Cree
  • Epistar
  • Everlight Electronics
  • GE Lighting Solutions
  • GYLED
  • Lighting Science Group
  • Lite-On Technology / Ledtek
  • Mitsubishi / Verbatim
  • Osram / Sylvania
  • Philips
  • Samsung
  • Solid State Lighting Systems
  • Toshiba
Market Participants

  • Acuity Brands Lighting
  • Adata
  • Advanced Lighting Technologies
  • Advantech Lighting Solutions /
  • Aixtron
  • Albemarle
  • Association
  • ATG Electronics
  • AU Optronics / Lextar Electronics
  • AU Optronics / Lextar Electronics
  • Avances Lumínicos Plus S.A. de
  • Black Dog LED
  • Bridgelux
  • C.V
  • CE Lighting
  • Cree
  • Crep Optoelectronics
  • CV High Power LED Streetlights in
  • Daystar
  • Echelon
  • Emcore
  • ENDO
  • Epistar
  • Everlight
  • GE Lighting Solutions
  • General Electric Lighting
  • Mitsubishi / Verbatim
  • NaturaLED
  • Rambridge
  • Ringdale ActiveLED®
http://www.prnewswire.com/news-rele...n-by-2020-radiant-insights-inc-520473552.html
 
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Vigilante

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LED lighting market is projected to grow over 45% per year by 2020. The market was estimated at $13 billion in 2014 and is likely to cross over $63 billion by 2020. Next generation lighting attains a complete substitute of luminous filament bulbs with LED lighting that lasts longer and is more efficient. These lightings also have low cost of operation significantly. Philips is the market leader for LED lights and it mainly focuses on higher margin activities. General competitive stress has severely impacted the overall industry; as a result the price declining is majorly because of economic scale.

Next generation lighting achieves a complete replacement of incandescent filament bulbs with LED lighting that is more energy efficient, lasts longer and has a significantly lower cost of operation.

Philips is to sell its lighting business. The Dutch electronics group Philips has attracted bids from several private equity groups for the majority of its lighting components business, up for sale as it focuses on higher-margin activities. Philips, the market leader has been the first casualty as the profit margin on the individual LEDs is eroded because of overproduction in China. The achievement in price declines is because of economies of scale, and general competitive pressures have drastically affected the market. Philips is set to sell its lighting business soon.

Epistar is working on 200mm technology. Philips, OSRAM, and Samsung have been actively exploring GaN on silicon technology. Market shifts provide entry points for new competitors. They create significant opportunities for participants to achieve rapid increase in market share. Shifts in market share are anticipated as vendors move up the value chain to increase returns on investment.

For More Information On "Global LED Lighting Market Research Reports" visit -http://www.radiantinsights.com/research/led-lighting-market-shares-strategies-and-forecasts-worldwide-2015-to-2020

There is a move by vendors to provide more pieces of the LED light. In this way they seek to control their margins. Vendors primarily compete with other providers of LED lighting on the basis of product performance, as measured by efficacy, light quality, increased lumen output and reliability. Product cost combined with an acceptable level of quality is always a competitive issue.

LED vendors seek to offer LED lighting products that achieve a lower total cost of ownership and enhanced product quality. The channel looks for a broad product portfolio. Those vendors with a broad product portfolio have access to strong retail channels. Channel strategy is further impacted by OEM relationships. A differentiated product design approach, proprietary technology and deep understanding of lighting applications aids the ability to compete in LED lighting markets.

LED lighting decreases labor costs of replacing bulbs in commercial situations. The LED bulbs are implementing new semiconductor technology. The 2015 study has 973 pages, 406 tables and figures. Worldwide LED lighting markets are poised to achieve significant growth as buildings and communities lead the way in implementing the more cost efficient systems. In some cases, the utility plants are providing funding and financing so that lighting users can make the shift to LED lighting.

LED lamps lower the overall cost of lighting. LED lighting costs are less than costs with incandescent lights. LED lamps offer up to 50,000 hours of illumination with a fraction of the energy used by traditional incandescent bulbs. LED bulbs generate 90% less heat than incandescent bulbs. LED bulbs extend time between bulb replacements. The bulbs are used to achieve a near zero-maintenance lighting system.

LED lighting products are coming to market rapidly. Suppliers carry up to 150 different LED bulb and lamp styles to fit the various needs of consumers and businesses.

LED PAR lamps dominate the ENERGY STAR qualified product list, so back in 2012 IEE partnered with TopTen USAand Ecova to develop recommendations for top performing PAR38 and PAR30 LED lamps. The team developed an evaluation protocol that starts with the lamps found in ENERGY STAR's list, to which we applied product criteria screens and testing to a subset of lamps to determine the 10 top performers. Efficiency along with aesthetics, payback period, and dimming performance were key criteria to the ranking.

The emergence of cost-competitive LEDs has caused a "paradigm shift" in the lighting industry that has changed everything. The LED lighting industry rapid technological change has been brought by enormous changes in the regulations affecting lighting. Short product lifecycles are a result of new manufacturing and materials science that are the result of companies trying to improve the economies of scale to make price points more attractive to customers.

According to Susan Eustis, leader of the team that prepared the study, "Frequent product introductions have characterized the LED lighting industry. There is a highly competitive pricing environment with the current price point of $6 per light in 2015 about to decline further, creating competitive changes in the lighting markets. Technology innovation creates market characteristics that increase the need for continuous investment in research and development. Partners remain core to vendor positioning."

Sales of LEDs that outpace incandescent bulbs in North America are expected to soon completely eliminate incandescent bulbs. The LED lighting market is anticipated to grow 45% per year through 2020 LED lights at$13.6 billion in 2014, are anticipated to reach $63.1 billion by 2020. Market forecasts are based on indications that LEDs are leveraging economies of scale to achieve price points attractive to users. Markets appear to be moving toward 100% LED replacement of existing technology including incandescent bulbs. The reason is the declining price points, the increased interest by the channel in pushing LEDs to consumers. LEDs provide the best lighting solution. The phase out of incandescent lights has begun, the onset of LED command of the market is upon us.

This LED lighting shipment analysis is based on consideration of the metrics for the total number of lights installed with a likely penetration analysis. Interviews with distributors, vendors, and users provide means for triangulation of data to achieve an accurate look at the market. Interviews include contact with distributors and analysts worldwide,

Market Leaders

  • Cree
  • Epistar
  • Everlight Electronics
  • GE Lighting Solutions
  • GYLED
  • Lighting Science Group
  • Lite-On Technology / Ledtek
  • Mitsubishi / Verbatim
  • Osram / Sylvania
  • Philips
  • Samsung
  • Solid State Lighting Systems
  • Toshiba
Market Participants

  • Acuity Brands Lighting
  • Adata
  • Advanced Lighting Technologies
  • Advantech Lighting Solutions /
  • Aixtron
  • Albemarle
  • Association
  • ATG Electronics
  • AU Optronics / Lextar Electronics
  • AU Optronics / Lextar Electronics
  • Avances Lumínicos Plus S.A. de
  • Black Dog LED
  • Bridgelux
  • C.V
  • CE Lighting
  • Cree
  • Crep Optoelectronics
  • CV High Power LED Streetlights in
  • Daystar
  • Echelon
  • Emcore
  • ENDO
  • Epistar
  • Everlight
  • GE Lighting Solutions
  • General Electric Lighting
  • Mitsubishi / Verbatim
  • NaturaLED
  • Rambridge
  • Ringdale ActiveLED®
http://www.prnewswire.com/news-rele...n-by-2020-radiant-insights-inc-520473552.html

I have a hoard of illegal incandescent light bulbs deep enough to provide me with brilliant cheap soft white light for the rest of my life, and into the next generation of our family.
 
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Ubermensch

Platinum Contributor
Speedway Pass
Jul 7, 2008
1,034
3,920
Chicago
I have a hoard of illegal incandescent light bulbs deep enough to provide me with brilliant cheap soft white light for the rest of my life, and into the next generation of our family.

The target market is commercial users.

Large orders.
 
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David Kotevski

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LED lighting market is projected to grow over 45% per year by 2020. The market was estimated at $13 billion in 2014 and is likely to cross over $63 billion by 2020. Next generation lighting attains a complete substitute of luminous filament bulbs with LED lighting that lasts longer and is more efficient. These lightings also have low cost of operation significantly. Philips is the market leader for LED lights and it mainly focuses on higher margin activities. General competitive stress has severely impacted the overall industry; as a result the price declining is majorly because of economic scale.

Next generation lighting achieves a complete replacement of incandescent filament bulbs with LED lighting that is more energy efficient, lasts longer and has a significantly lower cost of operation.

Philips is to sell its lighting business. The Dutch electronics group Philips has attracted bids from several private equity groups for the majority of its lighting components business, up for sale as it focuses on higher-margin activities. Philips, the market leader has been the first casualty as the profit margin on the individual LEDs is eroded because of overproduction in China. The achievement in price declines is because of economies of scale, and general competitive pressures have drastically affected the market. Philips is set to sell its lighting business soon.

Epistar is working on 200mm technology. Philips, OSRAM, and Samsung have been actively exploring GaN on silicon technology. Market shifts provide entry points for new competitors. They create significant opportunities for participants to achieve rapid increase in market share. Shifts in market share are anticipated as vendors move up the value chain to increase returns on investment.

For More Information On "Global LED Lighting Market Research Reports" visit -http://www.radiantinsights.com/research/led-lighting-market-shares-strategies-and-forecasts-worldwide-2015-to-2020

There is a move by vendors to provide more pieces of the LED light. In this way they seek to control their margins. Vendors primarily compete with other providers of LED lighting on the basis of product performance, as measured by efficacy, light quality, increased lumen output and reliability. Product cost combined with an acceptable level of quality is always a competitive issue.

LED vendors seek to offer LED lighting products that achieve a lower total cost of ownership and enhanced product quality. The channel looks for a broad product portfolio. Those vendors with a broad product portfolio have access to strong retail channels. Channel strategy is further impacted by OEM relationships. A differentiated product design approach, proprietary technology and deep understanding of lighting applications aids the ability to compete in LED lighting markets.

LED lighting decreases labor costs of replacing bulbs in commercial situations. The LED bulbs are implementing new semiconductor technology. The 2015 study has 973 pages, 406 tables and figures. Worldwide LED lighting markets are poised to achieve significant growth as buildings and communities lead the way in implementing the more cost efficient systems. In some cases, the utility plants are providing funding and financing so that lighting users can make the shift to LED lighting.

LED lamps lower the overall cost of lighting. LED lighting costs are less than costs with incandescent lights. LED lamps offer up to 50,000 hours of illumination with a fraction of the energy used by traditional incandescent bulbs. LED bulbs generate 90% less heat than incandescent bulbs. LED bulbs extend time between bulb replacements. The bulbs are used to achieve a near zero-maintenance lighting system.

LED lighting products are coming to market rapidly. Suppliers carry up to 150 different LED bulb and lamp styles to fit the various needs of consumers and businesses.

LED PAR lamps dominate the ENERGY STAR qualified product list, so back in 2012 IEE partnered with TopTen USAand Ecova to develop recommendations for top performing PAR38 and PAR30 LED lamps. The team developed an evaluation protocol that starts with the lamps found in ENERGY STAR's list, to which we applied product criteria screens and testing to a subset of lamps to determine the 10 top performers. Efficiency along with aesthetics, payback period, and dimming performance were key criteria to the ranking.

The emergence of cost-competitive LEDs has caused a "paradigm shift" in the lighting industry that has changed everything. The LED lighting industry rapid technological change has been brought by enormous changes in the regulations affecting lighting. Short product lifecycles are a result of new manufacturing and materials science that are the result of companies trying to improve the economies of scale to make price points more attractive to customers.

According to Susan Eustis, leader of the team that prepared the study, "Frequent product introductions have characterized the LED lighting industry. There is a highly competitive pricing environment with the current price point of $6 per light in 2015 about to decline further, creating competitive changes in the lighting markets. Technology innovation creates market characteristics that increase the need for continuous investment in research and development. Partners remain core to vendor positioning."

Sales of LEDs that outpace incandescent bulbs in North America are expected to soon completely eliminate incandescent bulbs. The LED lighting market is anticipated to grow 45% per year through 2020 LED lights at$13.6 billion in 2014, are anticipated to reach $63.1 billion by 2020. Market forecasts are based on indications that LEDs are leveraging economies of scale to achieve price points attractive to users. Markets appear to be moving toward 100% LED replacement of existing technology including incandescent bulbs. The reason is the declining price points, the increased interest by the channel in pushing LEDs to consumers. LEDs provide the best lighting solution. The phase out of incandescent lights has begun, the onset of LED command of the market is upon us.

This LED lighting shipment analysis is based on consideration of the metrics for the total number of lights installed with a likely penetration analysis. Interviews with distributors, vendors, and users provide means for triangulation of data to achieve an accurate look at the market. Interviews include contact with distributors and analysts worldwide,

Market Leaders

  • Cree
  • Epistar
  • Everlight Electronics
  • GE Lighting Solutions
  • GYLED
  • Lighting Science Group
  • Lite-On Technology / Ledtek
  • Mitsubishi / Verbatim
  • Osram / Sylvania
  • Philips
  • Samsung
  • Solid State Lighting Systems
  • Toshiba
Market Participants

  • Acuity Brands Lighting
  • Adata
  • Advanced Lighting Technologies
  • Advantech Lighting Solutions /
  • Aixtron
  • Albemarle
  • Association
  • ATG Electronics
  • AU Optronics / Lextar Electronics
  • AU Optronics / Lextar Electronics
  • Avances Lumínicos Plus S.A. de
  • Black Dog LED
  • Bridgelux
  • C.V
  • CE Lighting
  • Cree
  • Crep Optoelectronics
  • CV High Power LED Streetlights in
  • Daystar
  • Echelon
  • Emcore
  • ENDO
  • Epistar
  • Everlight
  • GE Lighting Solutions
  • General Electric Lighting
  • Mitsubishi / Verbatim
  • NaturaLED
  • Rambridge
  • Ringdale ActiveLED®
http://www.prnewswire.com/news-rele...n-by-2020-radiant-insights-inc-520473552.html

That it very true, would you say it could be profitable to import light bulbs and sell door to door with free installation as a extra, would just hire a door to door team and goto the warm lead myself ?
 
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Ubermensch

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That it very true, would you say it could be profitable to import light bulbs and sell door to door with free installation as a extra, would just hire a door to door team and goto the warm lead myself ?

I know some operations have successfully sold LED's to residential consumers, much as you describe.

However, I think you're better suited targeting property owners like @SteveO along with guys that @MKHB knows and other "non-Wall Street" type commercial players (unless you have an in).
 

Tapp001

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I know some operations have successfully sold LED's to residential consumers, much as you describe.

However, I think you're better suited targeting property owners like @SteveO along with guys that @MKHB knows and other "non-Wall Street" type commercial players (unless you have an in).

Independent, multiple unit owning landlords might be a good target market as well. Electricity prices in my area have skyrocketed, and anything promising to save landlords on utilities should be an easy sell.
 
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David Kotevski

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Independent, multiple unit owning landlords might be a good target market as well. Electricity prices in my area have skyrocketed, and anything promising to save landlords on utilities should be an easy sell.

Another thing would be the quality of lights. Would the same generic ones you would see on the wholesale sites beable to compete with well known brands if asked ?
 
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Ubermensch

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Independent, multiple unit owning landlords might be a good target market as well. Electricity prices in my area have skyrocketed, and anything promising to save landlords on utilities should be an easy sell.

Good point.

An LED conversion will lower energy prices AND - in most cases - the utility will cut the customer a check, just for doing the upgrade.

Another thing would be the quality of lights. Would the same generic ones you would see on the wholesale sites beable to compete with well known brands if asked ?

As with all things, quality varies.

I wouldn't try selling a piece of junk to a commercial end-user.

Utilities only provide rebates if the technology in question meets specific criteria: DLC Approval, UL-Rating, etc.

LED's typically have 50,000 - 100,000+ hour lifespans.

Warranties range from 3 - 10+ years.

In some cases, highly educated customers will insist upon a specific fixture from a specific (well-known) manufacturer.
 

Vigilante

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I have said previously that some may have the wrong impression of @Ubermensch.

This thread proves it. He's not wrong about this. People are always in search of modern day gold mines.

He posted one here for you, for free.

And all the way around this, there are going to be people getting rich mining the gold, and all of the collateral things that will happen around the industry and the convergence of new energy and new technology.

My original post in this thread was tongue-in-cheek (while true) but I didn't mean to marginalize the original post.

People in search of current gold prospecting should pay attention to what he is saying about what is happening in the energy and related industries.

Weed through the bullshit that his fanboys surround him with some times, and you'll find there's a reason you should be paying attention.
 
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jazb

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I think we discussed this before, but there is absolutely huge potential for this.

Either way, it will involve getting on the phone. you can sell LED lighting to wholesalers or direct to tradesman and builders. could have a heap of electricians buying their lights from you regularly. or perhaps some builders who will fit your lights for their housing projects.

...Or getting on the phone to building owners (b2b) and convincing them to dump all their old fluorescent crap and switch to your LED's. so this would be bulbs, panels, high bay, low bay etc. there is possible secondary market for the old lights as well.
if you can show the owner how much they will save on their bills then they will do it ( provided the ROI is good enough).

or you can use direct mail marketing -> go b2c and convince home owners to switch to LED's. if they call you, give them a visit and show them where they will save money. you can hire the electrician to fit them all and make money of that as well (you take your cut).

lots of ways to exploit it, because at the end of the day, you will save people money and help the environment too.

If your plan is good enough, you might be able to convince a manufacturer to invest/partner with you.... (ie. giving you inventory and money to get it up and running)
 

Ubermensch

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I believe it. I just spend over $160 on light bulbs the other day for a basement suite switching to LEDs.

Would you mind sharing - in this thread - the specific products that you purchased?

I can then let you know what "bottom of the marketplace" prices are, and we can see how profitable selling to a guy like you would be.

Heck, if you can do 50% margin on a $160 sale, that's $80 in profit per house.

Get a team doing decent numbers, and combine it with another product, and you have a winner.
 

Ubermensch

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Set up agreements with suppliers of LEDs, hvacs, window films etc (things that save energy)

Prospect commercial landlords and middle man the services?

Is that how this works @Ubermensch ?

The key is constantly networking with those within the construction and energy business.

That's what I do on a daily basis.

Certainly open to anyone reading this thread that's interested in getting in the business or already in the business.
 

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Hey,

maybe I am missing the points since I haven't any experience in the building / real estate sector yet, but what is the rational behind multiple unit owners buying energy-saving LED lights?
At least where I live, the tenants are paying the electricity bills themselves, not the owner of the units.
I am probably missing the point here and would love getting more insight into this.

Or is it about making the own units more attractive to potential tenants and buyers because they then become more energy-efficient?

Forgive a (business & forum) newbie this maybe silly kind of questions, please haha
 

Azure

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Hey,

maybe I am missing the points since I haven't any experience in the building / real estate sector yet, but what is the rational behind multiple unit owners buying energy-saving LED lights?
At least where I live, the tenants are paying the electricity bills themselves, not the owner of the units.
I am probably missing the point here and would love getting more insight into this.

Or is it about making the own units more attractive to potential tenants and buyers because they then become more energy-efficient?

Forgive a (business & forum) newbie this maybe silly kind of questions, please haha
Landlords do pay for wear and tear items including bulbs from my experience .

My country(Canada) recently banned incandescent bulb importation down to 40 watt bulbs. The demand for cfl and led is going to sky rocket. This is definitely a prime time to jump into the industry and ive been educating myself as to the finer details of the industry players here and trying to defeat myself in the market somehow.

Developing a wholesale connection for lighting equipment and BOTH sending out cold knock salesmen to residential consumers as well as leveraging the commercial real estate connection I have abd expanding on that is definitely something that I need to kick up a notch. Unfortunately Canada lacks comprehensive rebates that you see in USA(re, pace), however the market is ripe for picking and I fully intend on positioning myself to exploit this paradigm shift to my fullest benefit.
 
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Mineralogic

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Hey,

maybe I am missing the points since I haven't any experience in the building / real estate sector yet, but what is the rational behind multiple unit owners buying energy-saving LED lights?
At least where I live, the tenants are paying the electricity bills themselves, not the owner of the units.
I am probably missing the point here and would love getting more insight into this.

Or is it about making the own units more attractive to potential tenants and buyers because they then become more energy-efficient?

Forgive a (business & forum) newbie this maybe silly kind of questions, please haha

true, and now AMA has finally admitted LEDS can do damage to people including melatonin suppression

top is now in!
http://www.cnn.com/2016/06/21/health/led-streetlights-ama/index.html
 

Ubermensch

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Commercial buildings are the world’s leading energy consumers and are responsible for more than 40 percent of the pollution in the environment.
 

LightHouse

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We are changing out all 2x2 and 4x2 units with led fixtures that are 0 maintenance. It's only happening as new construction happens though.

We have not changed Abby outside lighting because the retro fit bulbs either work like shit or are too expensive.

If you really want to sell it easier to the LL, offer to handle all of the rebate work from the local power company or even factor it into the price add a line item.

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LightHouse

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I have a hoard of illegal incandescent light bulbs deep enough to provide me with brilliant cheap soft white light for the rest of my life, and into the next generation of our family.
Remind me to send you a picture of a $3 2700k led bulb that lasts 18k hours next to a normal $1~ incandescent. They literally look identical, same color, same lumens, way less energy use and resilient to vibration.

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Vigilante

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Remind me to send you a picture of a $3 2700k led bulb that lasts 18k hours next to a normal $1~ incandescent. They literally look identical, same color, same lumens, way less energy use and resilient to vibration.

Sent from my Nexus 6P using Tapatalk

No reason to bother. I would never need to buy one. However, it wouldn't be the same soft light. No matter. You're my friend. I will sell you some bulbs when you need them at a discount to the black market price.
 

EnergyGuy

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No reason to bother. I would never need to buy one. However, it wouldn't be the same soft light. No matter. You're my friend. I will sell you some bulbs when you need them at a discount to the black market price.
I have seen where customers such as restaurants and hotels that rely on lighting for their business as times have issues with LEDs. The savings of energy due to the heat displacement and new technology is indisputable. However there are at times I have understood difficulties with matching LED to older lights in terms of color and strength. I imagine an expert can match them. Does anyone have experience with that?
 
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Oztrepreneur

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( provided the ROI is good enough).
I guess this is the key. Homeowners may be hesitant to fork out the cash up front, if it only returns itself over a multi-year timeframe(immediate loss vs. long term gain). This is where selling comes into play.
 

xavi22

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LED lighting market is projected to grow over 45% per year by 2020. The market was estimated at $13 billion in 2014 and is likely to cross over $63 billion by 2020. Next generation lighting attains a complete substitute of luminous filament bulbs with LED lighting that lasts longer and is more efficient. These lightings also have low cost of operation significantly. Philips is the market leader for LED lights and it mainly focuses on higher margin activities. General competitive stress has severely impacted the overall industry; as a result the price declining is majorly because of economic scale.

Next generation lighting achieves a complete replacement of incandescent filament bulbs with LED lighting that is more energy efficient, lasts longer and has a significantly lower cost of operation.

Philips is to sell its lighting business. The Dutch electronics group Philips has attracted bids from several private equity groups for the majority of its lighting components business, up for sale as it focuses on higher-margin activities. Philips, the market leader has been the first casualty as the profit margin on the individual LEDs is eroded because of overproduction in China. The achievement in price declines is because of economies of scale, and general competitive pressures have drastically affected the market. Philips is set to sell its lighting business soon.

Epistar is working on 200mm technology. Philips, OSRAM, and Samsung have been actively exploring GaN on silicon technology. Market shifts provide entry points for new competitors. They create significant opportunities for participants to achieve rapid increase in market share. Shifts in market share are anticipated as vendors move up the value chain to increase returns on investment.

For More Information On "Global LED Lighting Market Research Reports" visit -http://www.radiantinsights.com/research/led-lighting-market-shares-strategies-and-forecasts-worldwide-2015-to-2020

There is a move by vendors to provide more pieces of the LED light. In this way they seek to control their margins. Vendors primarily compete with other providers of LED lighting on the basis of product performance, as measured by efficacy, light quality, increased lumen output and reliability. Product cost combined with an acceptable level of quality is always a competitive issue.

LED vendors seek to offer LED lighting products that achieve a lower total cost of ownership and enhanced product quality. The channel looks for a broad product portfolio. Those vendors with a broad product portfolio have access to strong retail channels. Channel strategy is further impacted by OEM relationships. A differentiated product design approach, proprietary technology and deep understanding of lighting applications aids the ability to compete in LED lighting markets.

LED lighting decreases labor costs of replacing bulbs in commercial situations. The LED bulbs are implementing new semiconductor technology. The 2015 study has 973 pages, 406 tables and figures. Worldwide LED lighting markets are poised to achieve significant growth as buildings and communities lead the way in implementing the more cost efficient systems. In some cases, the utility plants are providing funding and financing so that lighting users can make the shift to LED lighting.

LED lamps lower the overall cost of lighting. LED lighting costs are less than costs with incandescent lights. LED lamps offer up to 50,000 hours of illumination with a fraction of the energy used by traditional incandescent bulbs. LED bulbs generate 90% less heat than incandescent bulbs. LED bulbs extend time between bulb replacements. The bulbs are used to achieve a near zero-maintenance lighting system.

LED lighting products are coming to market rapidly. Suppliers carry up to 150 different LED bulb and lamp styles to fit the various needs of consumers and businesses.

LED PAR lamps dominate the ENERGY STAR qualified product list, so back in 2012 IEE partnered with TopTen USAand Ecova to develop recommendations for top performing PAR38 and PAR30 LED lamps. The team developed an evaluation protocol that starts with the lamps found in ENERGY STAR's list, to which we applied product criteria screens and testing to a subset of lamps to determine the 10 top performers. Efficiency along with aesthetics, payback period, and dimming performance were key criteria to the ranking.

The emergence of cost-competitive LEDs has caused a "paradigm shift" in the lighting industry that has changed everything. The LED lighting industry rapid technological change has been brought by enormous changes in the regulations affecting lighting. Short product lifecycles are a result of new manufacturing and materials science that are the result of companies trying to improve the economies of scale to make price points more attractive to customers.

According to Susan Eustis, leader of the team that prepared the study, "Frequent product introductions have characterized the LED lighting industry. There is a highly competitive pricing environment with the current price point of $6 per light in 2015 about to decline further, creating competitive changes in the lighting markets. Technology innovation creates market characteristics that increase the need for continuous investment in research and development. Partners remain core to vendor positioning."

Sales of LEDs that outpace incandescent bulbs in North America are expected to soon completely eliminate incandescent bulbs. The LED lighting market is anticipated to grow 45% per year through 2020 LED lights at$13.6 billion in 2014, are anticipated to reach $63.1 billion by 2020. Market forecasts are based on indications that LEDs are leveraging economies of scale to achieve price points attractive to users. Markets appear to be moving toward 100% LED replacement of existing technology including incandescent bulbs. The reason is the declining price points, the increased interest by the channel in pushing LEDs to consumers. LEDs provide the best lighting solution. The phase out of incandescent lights has begun, the onset of LED command of the market is upon us.

This LED lighting shipment analysis is based on consideration of the metrics for the total number of lights installed with a likely penetration analysis. Interviews with distributors, vendors, and users provide means for triangulation of data to achieve an accurate look at the market. Interviews include contact with distributors and analysts worldwide,

Market Leaders

  • Cree
  • Epistar
  • Everlight Electronics
  • GE Lighting Solutions
  • GYLED
  • Lighting Science Group
  • Lite-On Technology / Ledtek
  • Mitsubishi / Verbatim
  • Osram / Sylvania
  • Philips
  • Samsung
  • Solid State Lighting Systems
  • Toshiba
Market Participants

  • Acuity Brands Lighting
  • Adata
  • Advanced Lighting Technologies
  • Advantech Lighting Solutions /
  • Aixtron
  • Albemarle
  • Association
  • ATG Electronics
  • AU Optronics / Lextar Electronics
  • AU Optronics / Lextar Electronics
  • Avances Lumínicos Plus S.A. de
  • Black Dog LED
  • Bridgelux
  • C.V
  • CE Lighting
  • Cree
  • Crep Optoelectronics
  • CV High Power LED Streetlights in
  • Daystar
  • Echelon
  • Emcore
  • ENDO
  • Epistar
  • Everlight
  • GE Lighting Solutions
  • General Electric Lighting
  • Mitsubishi / Verbatim
  • NaturaLED
  • Rambridge
  • Ringdale ActiveLED®
http://www.prnewswire.com/news-rele...n-by-2020-radiant-insights-inc-520473552.html


I'm looking at other ways to exploit Pace and Hero financing here in California. I'm not sure if they have affiliate commissions for getting homeowners or commercial building owners to upgrade their home or building when they finance through a site I own. I also want to look into marketing these green renergy upgrades to homeowners and get paid by these green companies for doing so..
 

OldFaithful

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I'll have to finally chime in here because there is 1 aspect of this that bothers/concerns me.
Sales of LEDs that outpace incandescent bulbs in North America are expected to soon completely eliminate incandescent bulbs.
illegal incandescent light bulbs

This is exactly my issue. Our gov has created laws banning the incandescent bulb, 1 step at a time. Just look it up. The gov should not be picking the winners & losers in this market, or any other for that matter! The cost/benefit of the product and the choices of the customer should be determining which products survive & which fail! If the producers of alternative lighting can produce a product that the customer values, they will get the business & they will grow. No regulation from the gov is necessary.

When the gov tries to circumvent the preferences of the customer and force a product out of existence, the product(s) whose monopoly is being established will be susceptible to future failure. They are leaning on the long arm of the law to support their industry. Look for future changes in the regulation to dynamically affect the producers and lead to market instability. Meaning...regulations will likely change/grow and force other players out too. Regulation will be required from now on to maintain stability/control of the market because the customer will always be looking for a product that better suites their preferences.

I understand @Ubermensch's eagerness to be involved in this industry. There is a lot of wealth being transferred from 1 segment of the market to another. That makes an opportunity for some to snag a huge chuck of wealth in the process. See the changes coming and position to take advantage of the shift. (Now see, this has not been entirely about regulation, but also about business opportunity.) However...Rand would not be pleased.

The customer was forced into using the alternate product. The customer is denied the freedom to choose, and thus the freedom to make their lives the best lives for themselves. End of Rant.
 
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Tapp001

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I'll have to finally chime in here because there is 1 aspect of this that bothers/concerns me.



This is exactly my issue. Our gov has created laws banning the incandescent bulb, 1 step at a time. Just look it up. The gov should not be picking the winners & losers in this market, or any other for that matter! The cost/benefit of the product and the choices of the customer should be determining which products survive & which fail! If the producers of alternative lighting can produce a product that the customer values, they will get the business & they will grow. No regulation from the gov is necessary.

When the gov tries to circumvent the preferences of the customer and force a product out of existence, the product(s) whose monopoly is being established will be susceptible to future failure. They are leaning on the long arm of the law to support their industry. Look for future changes in the regulation to dynamically affect the producers and lead to market instability. Meaning...regulations will likely change/grow and force other players out too. Regulation will be required from now on to maintain stability/control of the market because the customer will always be looking for a product that better suites their preferences.

I understand @Ubermensch's eagerness to be involved in this industry. There is a lot of wealth being transferred from 1 segment of the market to another. That makes an opportunity for some to snag a huge chuck of wealth in the process. See the changes coming and position to take advantage of the shift. (Now see, this has not been entirely about regulation, but also about business opportunity.) However...Rand would not be pleased.

The customer was forced into using the alternate product. The customer is denied the freedom to choose, and thus the freedom to make their lives the best lives for themselves. End of Rant.

I agree that consumers and customers should mostly be in charge, and I personaly missed incadescent bulbs when they were banned and the only alternative were compact florescents. Ever tried to read at night an HFC bulb? I went back to candles. The problem with letting the market decide, though, is that the market only knows what's best 99% of the time. Incandescent bulbs were prety wasteful, energy wise, as evidenced by the fact that there is money to be made weaning people off them.
 

Vigilante

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You'll now have the do-gooder crowd come in here to espouse the benefits of the new bulbs.

Fortunately for me, it is literally irrelevant as I am not kidding about my light bulb stash. I did it in part a personal protest, and in part to avoid the mercury-laden disaster that was hoisted on unsuspecting consumers. I can't remember ever in my life an entire industry intentionally selling a product with hidden and harmful benefits (other than maybe cigarettes and alcohol.) I am sure there are others. Hazmat lightbulbs were nothing I was interested in.

Now it's just a fun quirk of mine. I enjoy being outside of the system that was forced on everyone else.

But I agree with Uber that there is money to be made in the conversion, and in new energy platforms. The consumer and commercial markets are radically different.
 

Tapp001

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You'll now have the do-gooder crowd come in here to espouse the benefits of the new bulbs.

Fortunately for me, it is literally irrelevant as I am not kidding about my light bulb stash. I did it in part a personal protest, and in part to avoid the mercury-laden disaster that was hoisted on unsuspecting consumers. I can't remember ever in my life an entire industry intentionally selling a product with hidden and harmful benefits (other than maybe cigarettes and alcohol.) I am sure there are others. Hazmat lightbulbs were nothing I was interested in.

Now it's just a fun quirk of mine. I enjoy being outside of the system that was forced on everyone else.

But I agree with Uber that there is money to be made in the conversion, and in new energy platforms. The consumer and commercial markets are radically different.

Yah, another reason to hate CFLs. I was working at Home Hardware when they came out, and once we once had a dumpster full of florescent lightbulbs (big ones). No one else but seemed to understand that all that stuff inside them was mercury. I have a couple I have no idea what to do with.

*edited for acronym correction
 
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Vigilante

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We too have a stockpile of incandescent light bulbs, hundreds. I wonder what the price on the black market might rise to...

It's a fun private anti-establishment protest.
 

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