According to LEDinside, the LED research division of TrendForce, the ASP volatility of LED light bulb has been continued into December 2012. Products from the US took the led as more new items were launched during the month. ASP for those LED bulbs targeted to replace the traditional 40W incandescent light bulb posted a mild 0.2% sequential gain to US$18.70. And those targeted to replace the 60W incandescent lamp posted a 3.9% drop to US$30.90 in the same period.
Aggressive pricing from Korean vendors helps to flourish the industry
The sharp ASP drop in the US market in December is a joint result of a further price revision and a competitive pricing from new products. LEDinside observes that new products from EcoSmart and Samsung both offered competitive prices in the US. Of which, Samsung has launched the 810 lumen 10.8W LED bulb for 60W incandescent bulb replacement in the European market. ASP of such item is only US$15 in the US market in December, a price range which is among the lowest of all major brands in the region. Since domestic competition intensifies as market matures, Korean vendors, who eye on the business potential in the European and US markets, thus launch aggressive pricing strategies in order to grab bigger share, LEDinside indicated. This strategy should help diversify the product variety and further intensify competition, in turn results in prosperity.
Along with the ban of sales of incandescent bulb from January 1, 2013 in all European Commission countries, corresponding impetus to drive the LED bulb replacement should be strengthened. As the debt crisis seems putting on a temporal breath, consumers should again grow their acceptance and consumption power for LED bulb, LEDinside believes. The whole LED market should materialize with more healthy competition and development, the firm noted.