In 2013, the European debt crisis and a slowdown in the domestic economy had a direct impact on industrial consumption. Overcapacity and product backlogs became significant issues, and companies faced increasing cost pressures that could lead to cash flow problems or even closure. Small and medium enterprises (SMEs) are now going through a new phase of restructuring, and how they can stand out in such a competitive environment has become a hot topic.
In this new era of change, what adjustments have been made to our service model? One key shift is streamlining business processes and focusing on strengthening product advantages. The smart parking industry primarily operates through two models: project engineering and product services. While project-based contracts offer higher profitability and remain the core of the industry, product and service offerings also play an important role. However, due to technical barriers, non-industry players often struggle with system installation and commissioning, which has limited the widespread adoption of product-based solutions.
With cities investing heavily in smart city initiatives, smart industrial parks, and integrated intelligent infrastructure, the potential for project engineering has grown significantly. Companies are now allocating more resources to capture market share and gain a competitive edge. Industries such as real estate, office buildings, public institutions, hospitals, and residential communities all require efficient and intelligent management systems to improve operational efficiency and enhance their service image. This rising demand is driving the expansion of project-based developments, and in the near future, these projects will continue to be the mainstay of the industry.
During the development process, businesses must avoid blindly following trends and instead adapt to market dynamics. Technological advancements and changes in industrial structures have reshaped the landscape. As internet usage grows, consumer behavior is evolving, and personalized and customized solutions are gaining attention. The importance of online purchasing and tailored experiences is becoming increasingly relevant for the future.
For the smart parking industry, adopting DIY-style approaches can lead to technological innovations. By focusing on customer-centric services, companies can eliminate unnecessary steps, shorten processes, reduce costs, and provide affordable products and services. This transformation reflects the ongoing evolution of the smart parking sector.
However, price wars have raised concerns, especially regarding after-sales support. Larger enterprises dominate the market, while smaller firms are often left in the periphery. In the face of intense price competition, companies risk getting trapped in a cycle of declining prices, which can ultimately harm their sustainability. Although price competition is a natural part of industry growth, over-reliance on pricing strategies undermines long-term industry health.
According to Huang, a manager at COMA's marketing department, the average cost for a basic parking system ranges from $5,000 to $10,000 for standard manufacturers, while branded solutions may cost between $10,000 and $30,000. The wide price gap stems from factors such as R&D investment, production costs, project expenses, and after-sales support. Brands with strong capabilities tend to have higher costs, as smart parking systems are not just products but require continuous innovation, upgrades, and reliable support.
Currently, there are 100–500 domestic companies with their own brands, each having around 25 R&D staff. Only about 45% of them have a well-established marketing network, with leading companies like Jieshun covering just 65% of the market. This highlights the need for stronger brand strategies within the smart parking industry.
Although the domestic market is vast, it remains fragmented. Many smart parking systems are underutilized, whether it’s large-scale guidance systems or small residential parking management tools. Customer feedback indicates common issues such as unstable performance, poor function design, and inadequate after-sales support. Therefore, after-sales service will continue to be a crucial factor in future market competition.
The price mechanism has intensified competition, and some companies use sales tactics to offset the negative impacts of price wars. To thrive in this new round of reshuffling, businesses should focus on building strong brands, ensuring product quality, delivering reliable services, expanding their product lines, setting reasonable pricing, establishing comprehensive service networks, and enhancing their marketing capabilities. These steps will help companies survive and grow in an increasingly competitive environment.PVC UV Board,Marble Pvc Wall Panel,Pvc Marble wall Panel,Waterproof Pvc Marble Sheet
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