In commercial trade, “price” is inevitably treated as a core key point. Everyone hopes to buy products with high cost-performance ratios and good value for money. For streetlight contractors, they pay great attention to the price of LED streetlights, sometimes even more than the quality of the LED streetlights. However, focusing solely on the low price of LED streetlights is misleading. We remind outdoor streetlight buyers to take responsibility for outdoor streetlight projects and not to be deceived by low-priced inferior products. The market always determines price based on value.
The combination of LED streetlight pricing, like most products, generally consists of: raw materials, accessory costs + labor costs + packaging and transportation of finished products + rental, cumulative depreciation costs of machines + taxes + corporate profit = sales price. When we usually talk about discounts, what we often mean is a reduction in corporate profit. In a market economy, for the same specifications and qualities in LED streetlights, the costs of raw materials, labor, transportation, and packaging across companies are relatively close, even identical. Assuming an LED streetlight product with a selling price of 1000 yuan, if the corporate profit accounts for 10%, that is, 100 yuan, then the discount offered by the company comes from this 100 yuan. No matter how much the company discounts, it cannot exceed 100 yuan; the costs would already be 900 yuan. Selling below 900 yuan would make it impossible for the company to survive.
If a manufacturer of LED streetlights tells you their sales price is below 900 yuan for a product with market costs of 900 yuan, I can almost guarantee they won’t be offering a discount from corporate profit. They would typically adjust costs based on the 900 yuan. The market price is 1000 yuan, with the average market cost being 900 yuan and corporate profit at 100 yuan. At this point, if the company wants to maintain a profit of 100 yuan while keeping the sales price below the market cost of 900 yuan, there is only one possibility: their costs must be less than 900 yuan. This also means we are talking about cutting corners and inferior quality. I will stop here, trusting you understand what I intend to convey: any selling price below the average market cost is merely an alluring price for inferior products that should be avoided.
Returning to the composition of LED streetlight pricing, aside from business operating costs, the price fundamentally consists of: fixtures including light sources + hot-dip galvanized poles + power supplies + underground cages + labor, packaging, and transportation. The LED streetlight head consists of an outer shell, reflector, lens (shade), source chip, etc. Different specifications, brands, and styles lead to varying prices. In regards to poles, factors such as thickness, material, and height all influence pricing, as does the type, brand, and quality of controllers. My point is that the composition of LED streetlight prices is determined by actual usage needs, and differences do exist across brands and qualities. Previously, someone inquired about LED streetlight prices, and with a specific configuration, I could prepare at least three different price options. Naturally, the same configuration at different prices depends on brand quality, which again leads to the inferior products that claim low prices. They may claim to streetlight engineers, especially inexperienced purchasers, that they can offer the same configuration at 30% less than competitors, and therein lies the issue. A counterexample: If the light source is from a generic brand and has an actual power output 20% lower than advertised, then the light source cost is reduced. If the pole is not fully hot-dip galvanized, it is cheaper, and if the thickness of the pole is less than standard industry thickness, it can be reduced again, and if the power supply is a generic, non-intelligent constant current, this further lowers the price. Thus, cheap products are made in this way. By skimping on raw materials and employing low-quality components, the selling price can indeed be lower than the industry’s average cost. However, this is irresponsible towards outdoor lighting projects, and manufacturers like these are not responsible to streetlight contractors. In 15 years of streetlight development, we have adhered to a principle: we would rather not do business than produce inferior goods that damage our brand.
The composition of LED streetlight prices is determined by actual usage needs. Additionally, avoid products that appear significantly cheaper; often, low price means poor quality. Beyond LED streetlights, solar streetlights, solar lawn lights, solar-wind hybrid streetlights, solar courtyard lights, and other outdoor lighting fixtures also follow this principle. Price is crucial, but purchasers should not focus solely on low prices while neglecting quality.
