Breakthrough and growth across China's security brand

In recent years, China's security market has plenty of sunshine and rain, which is a good season for the growth of brand jointing. With the rapid development of the industry, China's security brand is also facing an overall improvement. From 2010 to 2012, China's security brand will enter a stage of comprehensive improvement and leapfrogging. The curtain slowly opened and a higher-level brand battle began.

The development of the security brand is undergoing three decades of development, and the overall scale of China's security industry has significantly improved.

After 30 years of sharpening, China's security brand began to shine.

Entering the 21st century, the security industry has ushered in an unprecedented period of golden development, the technology has continued to mature, and the fields of application continue to expand. Especially in recent years, the Beijing Olympic Games, the Shanghai World Expo, the Guangzhou Asian Games, the Shenzhen Universiade, the safe city, the smart city, and the construction of the Internet of Things have stimulated the growth of the security industry. It can be said that China's security market is full of sunshine and rain, which is a good season for the growth of brand jointing. We have seen that a group of powerful companies has rapidly emerged as the leader in the development of the industry. In the market competition, the brand effect of the security industry is also increasingly prominent.

But at the same time, we also saw that a group of Fortune 500 companies and domestic giants in home appliances, IT and telecommunications companies have entered the security industry. A group of security companies that want to use capital to become bigger and stronger have listed on the market, and security companies have continued to be acquired. News. These, while bringing new opportunities for the security industry, have also brought new challenges.

More and more people are paying attention to the security industry. More and more companies are paying attention to the banner of the brand. China's security industry is entering a stage of rapid acceleration, and China's security brand is also facing an overall improvement.

The curtain slowly opened and a higher-level brand battle began.

The long-term brand road has been searched for over the years. The security market has established international brands such as Honeywell, Panasonic, Sony, Samsung, GE, BOSCH, Tyco, JVC, Hitachi, LG, and Axis. , firmly occupy the high-end market, earning an enviable profit, but also aroused the brand awareness of our national security companies, set an example for us.

Since the birth of China's security industry, the pursuit of brands by companies has not stopped. But the road to branding is not always smooth, even full of thorns.

In the Chinese security market, the brand battle has gone through three stages:

The first stage (1995-2000): The brand's enlightenment or budding stage. Before 1995, China's security market was basically dominated by foreign brands. At that time, domestic security companies mostly represented foreign brands, and domestic brands were basically blank. After 1995, some users gradually began to "recognize brands," and the Chinese national security brand began to sprout and grow, but it was still only "Little Lotus was exposed."

The second phase (2001-2003). After 2001, the security market entered the "brand start-up phase." Many companies began to recognize the importance of the brand, have a sense of brand, and began to invest funds to promote and establish their own brand.

The third phase (2004-2007). The security market began to enter the "brand acceleration phase." As most companies are aware of the importance of the brand, and began to pay attention to brand building, some companies have promoted and promoted the brand and even “paid” a lot of money. During this period, a number of well-known brands have emerged. In the market competition, brands with low reputation and no visibility have obvious disadvantages, and the input-output ratio of brand publicity is very obvious. This highlights the importance of the brand battle. After this stage of baptism, there are few companies that do not pay attention to brand promotion, but some companies can only look at the brand because they have only passion and no financial resources.

In 2008-2009, due to the impact of the global financial crisis, some companies had to tighten their fur hats for the winter and their enthusiasm for the brand had subsided for a short time.

In 2010, with the economic recovery, the brand battle in the security industry was revived and new features emerged.

The indications are that after several years of accumulation and precipitation, China's security brand will enter a stage of comprehensive improvement from 2010 to 2012.

High-flying birds fly over the sea in recent years, the security industry has emerged a large number of well-known brands, such as Hikvision, Dahua, World Albert and so on. Why can these brands stand out and stand on top of the security brand pyramid?

Hikvision entered the security industry at the end of 2001. Due to tightly grasping the development trend of video compression cards and embedded digital video recorders, Hikvision quickly developed into a leading company in the video surveillance industry and became a global player in less than a decade. Top 50 security industry. After strengthening the back end of the video surveillance industry chain, it also changed due to the need to fully enter the front end of the video surveillance industry chain.

Tianjin Tiandi Weiye is another successful brand case in the security industry. As early as 2003, Tiandi Weiye took the lead in putting forward the “security and security industry” and positioned itself as a “security solution provider”. At that time, many people did not understand or even understand what “industrialization” was. However, today, “industrialization” has become the trend of security industry development. Most mainstream companies, including many well-known security companies at home and abroad, are advancing with the times and have turned to become industry solution providers.

Throughout the security industry, those well-known brands are basically able to assume the responsibility of leading the development of the industry's brand, they may have made some achievements in a certain area, or at some stage for the industry to create a miracle.

At the same time as the rapid development of the industry, CSST, Hikvision, Dahua, Suzhou Kodak, Yaan Technology, Blue Star, Dali Technology, Tongzhou Electronics, Dasci Intelligent, Yinjiang Stock have emerged. Infineon, Infino, Anjubao, Devi Video, Jieshun Technology, and a large number of listed companies formed a security “listing tribe”, which not only caused great concern to the industry, but also caused investors to pursue and attract more people. Know the security industry, and began to understand and focus on the security industry with unprecedented enthusiasm. From this point of view, the significance of listing these companies goes far beyond the listing itself. Because they dusted and polished the big brand of "security industry."

The rapid development of the security industry has also aroused the attention of local governments and gave them strong support. In 2008, when he was appointed Secretary of the Hangzhou Municipal Party Committee, Wang Guoping specifically wrote “Hangzhou should start the 'quality of security', Hangzhou to create 'brand' instructions, and played an important role in the development of Hangzhou security industry and the establishment of the brand.

Up to now, many “China Famous Brands” have emerged in the security industry, including Tian Li Wai Yip, Li Lin, Jia Le, and other “Chinese Famous Brands” such as Li Lin, Shi Dai Guan, Hui Rui Tong, Hai Wan, Jin Ji Jia, etc. have also emerged. The end of the Chinese security industry, there is no "Chinese well-known trademarks" and "Chinese famous brand" history.

They have explored and accumulated valuable experience for us during the process of creating a famous brand.

At the same time, due to the entry of IT, home appliance and other corporate giants, Changhong, TCL, Skyworth and other veteran "China Famous Brand" has added a bright color to the security industry.

Intangible assets - brand effect Diamonds are long-lasting. An indispensable brand is an intangible asset. This intangible asset relies on the accumulation and precipitation. It takes a few years or even decades of diligence and sweat to build a brand.

We have seen that the awareness of the "trademarks" of most security companies has now been strengthened because trademarks must be registered. However, some companies do not have enough brand awareness, and some even have misunderstandings in their understanding.

"Trademarks" are an important part of "brands," but "brands" are not "trademarks." "Brand" is a symbol of an enterprise's product or service. Brands cover such areas as goodwill, products, management, and corporate culture.

The product has the value of the product and the brand has the value of the brand. When a consumer purchases a product, the benefits of the product are obtained; if the consumer buys something with a brand value, it will gain the benefits of brand value.

Products can bring benefits and value to consumers. Brands can bring consumers credibility and emotions.

The brand is the embodiment of the core value of a product or company and is the guarantee of quality and reputation.

Brands can go beyond the product life cycle and continue the vitality of the company.

Sometimes the brand is like a brilliant diamond. Once a brand has a loyal customer base, it means having a stable market. The product can be improved and replaced, but the brand can be "diamonds are long-lasting, one forever."

The successful creation of the brand helps the extension and expansion of the company's industrial chain. Hikvision will build "hikvision" into the first brand in the field of video compression cards and DVRs. After the brand enters the hearts of the people, it will naturally extend the brand to the front of the video surveillance industry chain. This is the brand's irresistible penetration.

However, we also see that some companies in the brand building process, due to lack of experience, took a lot of detours, some originally in the industry is very good, promising brand, a few years later has become dim, almost out of the market Forgotten, people sigh with regret.

With the development of the market, the security industry has undergone a transition from "doing product to service" and "from selling price to selling value". Brand building and establishment are particularly important. To be sure, "service" and "value" will give the security brand a richer meaning.

One of the many brands and single brands is more prosperous than ever. It is not a day's work to build a brand. The brand brings hope to the company and the brand changes the fate of the company.

Looking at the security industry, most companies currently adopt single-brand strategies such as Hikvision, Dahua, etc. Some companies also adopt multi-brand strategies such as CSST and Hanbang.

Relatively speaking, the single-brand strategy is suitable for small-scale, weak-capital enterprises, which is rather like raising children, and has a thin home base. They can only concentrate on raising a child and can no longer afford it. Large-scale and strong enterprises , raising a few more often is not a problem. However, if you concentrate on raising one, you will certainly be stronger and stronger.

Single brand has a single brand of worry, multi-brand has more brands.

The original white goods leading company Kelon Group adopts a multi-brand strategy, which includes several brands including Kelon, Rongsheng, Warburg, and Combien. Among them, "Kelon" and "Rongsheng" are "China Famous Brands"; "Huabao" It was the acquisition of the brand; in order to occupy the low-end market, Kelon later created the "Cornby" brand. For Kelon, any brand is reluctant to give up, such as the acquisition of "Warburg", "Warburg" has a certain reputation in the market, abandoned pity. Kelon is thus the first and only one in the Chinese home appliance industry to raise the banner of multi-brand operations. But because of this, it also caused Kelon to fall into the pain of choosing a difficult brand strategy.

There are many successful companies operating under a single brand, such as Haier and TCL, and they always adhere to a single brand strategy.

The successful cases of multi-brand operation are also numerous, such as Procter & Gamble, Ingersoll Rand, etc.

Western companies are known for their specialization, but brands are often diversified. Ingersoll-Rand has brands such as ClubCar, IngersollRand, Schlage, ThermoKing and Trane, all of which are very successful.

But one thing is that Ingersoll-Rand's multi-brand is not in one industry, but in different industries and fields. Of course, there are also companies that successfully operate multiple brands in one industry and area, such as Procter & Gamble. Procter & Gamble Company has successfully operated about 300 brands, of which 12 brands have annual sales of more than 1 billion US dollars. Only P & G in the shampoo field successfully created "Rejoice", "Haifei Silk", "Pantene", and "Ika". Many brands, such as “,” “Run,” and “Saoxuan,” have become models for multi-brand operations. Another example is Tyco Security in the industry, whose brands are: americanDynamics, Kantech, SoftwareHouse, CEMSystems, DSC, Bentel, Sur-Gard and others.

Even with the acquisition, the integration and processing of brands by different companies are also different. After Honeywell acquired C&K and ADEMCO, they decided to give up the two influential brands, C&K and ADEMCO. The brand was unified as "Honeywell"; after CSST acquired several security companies, it basically retained its original brands, including Hong Tian Zhi, Hang Yi, Ming Jing, Horn, Xiang Shi, and Koson.

Multi-brand strategy can adopt different brands for different markets, and different products can adopt different brands. The multi-brand strategy has two most prominent features: First, different brands target different target markets; second, the brand's operations are relatively independent. Multi-brand strategy can better position different market segments, emphasizing the characteristics of each brand, attracting different customer groups, thus occupying more market segments. For example, the company has two brands: For Legrand in the mid- to high-end market and Shidean in the mid-market, the two brands cover different market segments to meet the needs of different customers. If a single brand is adopted, different products suitable for high, medium and low markets can be launched. However, sometimes the brand “range” is difficult to clearly define, and it is even easy to cause ambiguity.

But overall, in the security company, the single brand strategy is more common now, and multi-brand operation is relatively less. There are not many companies that can successfully operate several brands at the same time. This shows that the overall strength of security companies is still relatively weak, most of them do not have the power to operate multiple brands. Ingersoll-Rand is able to successfully operate multiple brands because its annual turnover is as high as $14 billion, which is not the same.

Multi-brand investment, not every company has the power to control. The sales revenue of Procter & Gamble in 2010 was 78.9 billion U.S. dollars, advertising expenditure was 9.3 billion U.S. dollars, and advertising expenditure accounted for more than 12% of turnover.

Brand Selection Helps Safeguard Brand Growth Plants need irrigation and care to grow better, and brands need to be nurtured and supported to grow better. In order to promote the implementation of the brand strategy of security companies and promote the brand strategy of security companies, in recent years, many media and organizations including “China Public Security” have conducted a variety of brand selection activities. The selection activities evoked the brand awareness of the vast number of security companies and effectively promoted the growth of the security brand.

In January 2006, the "China Security Famous Brands" sponsored by China Public Security Magazine, CPS ZhongAnNet, and the International Security Brand Lab announced that Hikvision, Dahua, Tiandi Waiye and Skyworth Qunxin had participated in the competition. Among the 183 security companies that emerged, they were named "China Security Famous Brands."

In December 2009, CPS ChinaNet, China Public Security Magazine, and International Security Brand Lab jointly held the first "Top Ten Most Influential Brands in China's Security" selection, which was divided into cameras, DVRs, matrices, and building intercoms. There are 10 categories of video servers, access control systems, monitors, optical transceivers, and burglar alarms. A total of 286 companies participated in the selection. After fierce competition, Hikvision, Dahua, Tiandi Albert, Infinituo, ZTE Liwei, Jingyang, Yaan, Wanjiaan, U.S. Bell, Hanbang, Tongzhou, Blue Star, Anjubao and Guan Lin, Hui Ruitong, Horn, and Red Apple won the first "Top Ten Most Influential Chinese Security Brands."

From 2005 to 2010, China Public Safety Magazine, CPS ZhongAnNet, and the International Security Brand Lab jointly held the five “Top 100 Chinese Security Industry” awards, which attracted extensive attention and recognition both inside and outside the industry.

These selections not only attracted the attention of professional media in the industry, but also attracted the attention of the mass media. There were more than 100 planes such as CCTV, People's Public Security News, Shenzhen Special Zone Daily, Southern Metropolis Daily, China Trade News, Shenzhen Business Daily, and Shenzhen TV Station. Online media reported full coverage with full enthusiasm, which greatly enhanced the media exposure of security brands and raised public awareness of the security industry and security brands.

The growth of the brand has led to the birth of security brand selection activities. If there is no selection, well-known brands and non-well-known brands have no distinction and boundaries, consumers have no choice of coordinates and reference, well-known brands can easily be submerged in the vast sea of ​​brands. In the rapid development of the security industry, a number of brands with a certain reputation have emerged, which has spawned brand selection activities. The selection of well-known brands has in turn boosted the growth of the brand and allowed well-known brands to distance themselves from ordinary brands, thereby increasing the market reputation and market share of well-known brands.

According to the survey conducted by the Twelfth Five-Year Plan and security investigations, during the “11th Five-Year Plan” period, China’s security industry has achieved sustained and rapid development. In 2010, security companies reached around 25,000, employing 1.2 million people, and the industry’s total output value reached more than 250 billion yuan. The "12th Five-Year Plan for Development of China's Security Industry" proposes that by the end of the "Twelfth Five-Year Plan", China's security industry will achieve the goal of doubling the industrial scale. By 2015, the total output value will reach 500 billion yuan, with an average annual growth rate. Stay around 20%.

When we compare the security industry with other industries, it is not difficult to find that the gap is very obvious, especially the degree of brand concentration, which is the lowest in almost all industries. In 2010, the total output value of the security industry was more than 250 billion yuan, and the highest in a single company was only over 3 billion yuan. In the home appliances and communications industry, Haier’s sales in 2010 reached 135.7 billion yuan and Huawei reached 185 billion yuan. In other words, a Huawei company is almost equal to the output value created by our 25,000 companies.

In 2010, China's liquor industry achieved a total sales income of about 250 billion yuan, which is comparable to that of the security industry. However, the two giants Wuliangye and Maotai achieved 15.5 billion yuan and 11.6 billion yuan respectively, and the industry brand concentration is much higher than that of the security industry. .

According to the goal set forth in the “12th Five-Year Plan for Development of China’s Security Industry”, the total industrial output value will reach 500 billion yuan. If it is just splintership, there is no support from a number of big brands, which is obviously impossible to achieve. Only by nurturing large enterprises and large brands with a scale of more than RMB 1 billion representing the development level of the industry can the Chinese security industry have hope.

At present, China's security industry is in a critical period of brand promotion. What is the difference between brand promotion and stable brand growth? For example, in the past, corporate development was basically on a horizontal line, and brand awareness was almost the same. Everyone advertised in the media for brand promotion. However, with a little attention, it is not difficult to find that many of the more powerful companies are no longer keen on low-level advertising. Instead, they are seeking to name or sponsor some industry activities with high influence and high level of specifications, such as “China. Security Forum" and so on. This approach can effectively help companies enhance their image and distance from other brands, so that the company's brand gradient in the industry quickly move forward and pull up.

In the next few years, the brand concentration in the security industry will be greatly enhanced, and the market share of the strong brands will also be greatly increased. Brand enterprises must break out of the low-level market and achieve brand and strategic upgrades before they can take the lead in leading security in China. The important task of industrial development can only hope to form a large security industry.

Therefore, security companies should set their sights higher and must upgrade their brand strategy in order to grasp opportunities in the development of the industry, and ultimately become the strong and the winner. Only in this way can the Chinese security industry have hope.