Although many market forecasting institutions are not optimistic about the global economic performance next year, they have a positive view on the growth prospects of the Chinese market. Many emerging electronics markets (such as wind power, solar power, LED lighting, LED displays, electric vehicles, and hybrid vehicles) are forming a new industrial chain. These markets are effectively promoting the development of small-batch component distribution service markets.
Richard Huxley, Managing Director of RS Components Asia Pacific, said: “China will definitely be a growth market next year, and the growth rate will not be low. With the active R&D activities and the increase of small-batch production activities, the demand for small-batch components will be certain next year. There is a noticeable increase.Markets that are expected to have strong demand for low-volume components next year include solar power generation (demand for the wind power market is declining due to intense competition), automotive electronics, battery management, and power management."
He said that a clear trend we are seeing is that 100-150 light-bulk orders will have a huge increase in demand next year and it will grow very quickly, especially in the Chinese market, as more and more emerging market customers Starting to produce products or prototypes in small batches, they usually require hundreds of different types of components, while traditional large distributors (such as Avnet, Arrow, WPG and Future Electronics, etc.) will not place too much emphasis on such small orders. , and their number of authorized customers is also relatively limited, the components needed on the customer BOM list may only be several products that they authorize customers, so they are also difficult to service such customers. And our warehouse has more than 500,000 components of more than 2,500 suppliers available for customers to choose from, which makes it easy for such customers to provide a one-stop shopping solution to better serve such customers. This is also the greatest competitive advantage for catalog distributors.
Richard Huxley emphasized: "For us, in response to this trend in demand, it is very important for us next year to increase inventory levels in local warehouses in China."
The booming demand for low-volume components in China in recent years has also begun to attract large authorized distributors such as Avnet, Future Electronics, and WPG to engage in low-volume component distribution business. However, Richard Huxley does not regard them as a big competitive threat. He said: "I don't think they will have too much impact on our business. Their focus is on the high-volume demand market, because their architecture is mainly designed for high-volume distribution business."
RS Components is currently the world’s #1 distributor of electronic components catalogs. It now offers electronic, electromechanical and industrial components from 2,500 suppliers. It has 1.6 million customers worldwide and operates in 160 countries in 27 major economies. The country has offices including Europe, North America, Asia Pacific, Japan and Australia.
In the 2009 fiscal year, RS Components’ total revenue increased by 23%, of which European continent’s last financial year increased by 21%, North American market increased by 43%, Asia Pacific region increased by 29%, and international business growth rate was 29%. Richard Huxley pointed out in particular: "When the financial crisis of 2008, many of our competitors have dropped very badly, but we can still maintain the state without increasing."
The reason RS Components can achieve such good results in the market is inseparable from the company's differentiated development strategy. “Compared to our competitors, our three major characteristics are: First, RS is the largest or highest-level directory distributor in the Asia Pacific region. We have been in the Chinese market for a long time and have established a mature operation. Infrastructure.†Richard Huxley said, “Second, we have the widest product range in the industry (inventory more than 500,000 components covering the three major areas of electronics, electromechanics, and industry), and we stock Asia in our local warehouses in China. The widest range of components and parts, about 90-92% of orders we can handle on that day, to ensure that the goods can be delivered the next day.This is a very high level of service, and one of the biggest differences between RS and competitors. Third, we are also the largest directory distributor investing in China and Asia, and we have a large investment in employees, warehouses, and operational systems. We have a warehouse in the Waigaoqiao taxation area and 350 of the 1,000 employees employed in Asia. In China, this has enabled us to be closer to Chinese customers to better support our customers' needs.â€
Looking ahead to the global market next year, despite the economic difficulties in many European countries and the possibility of bottoming in the US market, the prospects for growth in the Asia-Pacific market now seem very clear. Richard Huxley also said: "The Asian market is expected to continue to grow next year. For us, the markets of Japan, China, Malaysia, Australia and Singapore will grow strongly next year."
Therefore, for RS Components, the outlook for revenue growth for the next year depends largely on the company's performance in the Asia Pacific market. In order to get as much sales as possible in the fast-growing Asia-Pacific market, Richard Huxley frankly talked about the company's three major competitive strategies in the Asia-Pacific market next year. He said: "First of all, we will make use of local language websites and e-commerce services established in various countries in the Asia-Pacific region to further reach more customers and expand our business. Second, we will use free components and components such as Component Chooser and DesignSpark. Layout tools enhance RS's influence in the Chinese engineering community; third, continue to expand product categories and increase inventory levels in China.â€
For RS Components, the proportion of e-commerce business is currently increasing year by year. In the fiscal year of 2009, the Asia-Pacific e-commerce business accounted for 35% of the total RS Components business. Richard Huxley said: "I expect e-commerce business will continue to grow by 2% in 2010 fiscal year, reaching 37%."
At present, RS Components' order processing capacity in the Asia-Pacific region is usually 3,200 orders per day, of which about 40% are electronic orders, and the highest peak when processing 6400 orders a day. Richard Huxley said: "This is a considerable amount of processing power. Of course, for us, there is no limit to the number of orders placed on the Internet. The real bottleneck is the inventory of local storage warehouses."
He said that Chinese customers can now place orders and payments electronically on the RS Components website. They can use any Alibaba.com Alipay payment method to realize online real-time payment. We accept renminbi payments, and some of our competitors are still unable to do so.
He disclosed that we have now docked with the ERP systems of some key and large customers. Once customers have purchase requirements, their ERP systems will automatically issue an application to our order management system and be fully automated. This process does not require human intervention. At present, most of these customers are overseas, but China also has them.
In order to attract more Chinese engineers to use RS Components' catalog distribution services to purchase components, RS Components has launched the Component Chooser, which may be the world’s largest and most extensive electronic component search engine, providing users with an instant response, Consistent search and comparison tools, and included 260,000 kinds of semiconductors, passive components and electromechanical components provided by the world's leading suppliers.
Richard Huxley said: "We created the platform Component Chooser to provide customers with end-to-end online experience to meet their needs now and in the future. In the next few years, our customer service work will focus on the development of online platforms ."
At the end of August this year, RS Components launched its first revolutionary free PCB design tool, DesignSpark, which combines design information, user reviews and the latest free tools to accelerate the design process for engineers.
Richard Huxley said: "These two tools can help Chinese engineers quickly find the components they want on our website and quickly place orders and complete product design faster. We hope this simple marketing strategy can help us Business will grow further next year."
He revealed that in the first two months after the release of DesignSpark, a total of about 13,000 users downloaded our free PCB design tool DesignPark, which is very popular in the industry.
Richard Huxley, Managing Director of RS Components Asia Pacific, said: “China will definitely be a growth market next year, and the growth rate will not be low. With the active R&D activities and the increase of small-batch production activities, the demand for small-batch components will be certain next year. There is a noticeable increase.Markets that are expected to have strong demand for low-volume components next year include solar power generation (demand for the wind power market is declining due to intense competition), automotive electronics, battery management, and power management."
He said that a clear trend we are seeing is that 100-150 light-bulk orders will have a huge increase in demand next year and it will grow very quickly, especially in the Chinese market, as more and more emerging market customers Starting to produce products or prototypes in small batches, they usually require hundreds of different types of components, while traditional large distributors (such as Avnet, Arrow, WPG and Future Electronics, etc.) will not place too much emphasis on such small orders. , and their number of authorized customers is also relatively limited, the components needed on the customer BOM list may only be several products that they authorize customers, so they are also difficult to service such customers. And our warehouse has more than 500,000 components of more than 2,500 suppliers available for customers to choose from, which makes it easy for such customers to provide a one-stop shopping solution to better serve such customers. This is also the greatest competitive advantage for catalog distributors.
Richard Huxley emphasized: "For us, in response to this trend in demand, it is very important for us next year to increase inventory levels in local warehouses in China."
The booming demand for low-volume components in China in recent years has also begun to attract large authorized distributors such as Avnet, Future Electronics, and WPG to engage in low-volume component distribution business. However, Richard Huxley does not regard them as a big competitive threat. He said: "I don't think they will have too much impact on our business. Their focus is on the high-volume demand market, because their architecture is mainly designed for high-volume distribution business."
RS Components is currently the world’s #1 distributor of electronic components catalogs. It now offers electronic, electromechanical and industrial components from 2,500 suppliers. It has 1.6 million customers worldwide and operates in 160 countries in 27 major economies. The country has offices including Europe, North America, Asia Pacific, Japan and Australia.
In the 2009 fiscal year, RS Components’ total revenue increased by 23%, of which European continent’s last financial year increased by 21%, North American market increased by 43%, Asia Pacific region increased by 29%, and international business growth rate was 29%. Richard Huxley pointed out in particular: "When the financial crisis of 2008, many of our competitors have dropped very badly, but we can still maintain the state without increasing."
The reason RS Components can achieve such good results in the market is inseparable from the company's differentiated development strategy. “Compared to our competitors, our three major characteristics are: First, RS is the largest or highest-level directory distributor in the Asia Pacific region. We have been in the Chinese market for a long time and have established a mature operation. Infrastructure.†Richard Huxley said, “Second, we have the widest product range in the industry (inventory more than 500,000 components covering the three major areas of electronics, electromechanics, and industry), and we stock Asia in our local warehouses in China. The widest range of components and parts, about 90-92% of orders we can handle on that day, to ensure that the goods can be delivered the next day.This is a very high level of service, and one of the biggest differences between RS and competitors. Third, we are also the largest directory distributor investing in China and Asia, and we have a large investment in employees, warehouses, and operational systems. We have a warehouse in the Waigaoqiao taxation area and 350 of the 1,000 employees employed in Asia. In China, this has enabled us to be closer to Chinese customers to better support our customers' needs.â€
Looking ahead to the global market next year, despite the economic difficulties in many European countries and the possibility of bottoming in the US market, the prospects for growth in the Asia-Pacific market now seem very clear. Richard Huxley also said: "The Asian market is expected to continue to grow next year. For us, the markets of Japan, China, Malaysia, Australia and Singapore will grow strongly next year."
Therefore, for RS Components, the outlook for revenue growth for the next year depends largely on the company's performance in the Asia Pacific market. In order to get as much sales as possible in the fast-growing Asia-Pacific market, Richard Huxley frankly talked about the company's three major competitive strategies in the Asia-Pacific market next year. He said: "First of all, we will make use of local language websites and e-commerce services established in various countries in the Asia-Pacific region to further reach more customers and expand our business. Second, we will use free components and components such as Component Chooser and DesignSpark. Layout tools enhance RS's influence in the Chinese engineering community; third, continue to expand product categories and increase inventory levels in China.â€
For RS Components, the proportion of e-commerce business is currently increasing year by year. In the fiscal year of 2009, the Asia-Pacific e-commerce business accounted for 35% of the total RS Components business. Richard Huxley said: "I expect e-commerce business will continue to grow by 2% in 2010 fiscal year, reaching 37%."
At present, RS Components' order processing capacity in the Asia-Pacific region is usually 3,200 orders per day, of which about 40% are electronic orders, and the highest peak when processing 6400 orders a day. Richard Huxley said: "This is a considerable amount of processing power. Of course, for us, there is no limit to the number of orders placed on the Internet. The real bottleneck is the inventory of local storage warehouses."
He said that Chinese customers can now place orders and payments electronically on the RS Components website. They can use any Alibaba.com Alipay payment method to realize online real-time payment. We accept renminbi payments, and some of our competitors are still unable to do so.
He disclosed that we have now docked with the ERP systems of some key and large customers. Once customers have purchase requirements, their ERP systems will automatically issue an application to our order management system and be fully automated. This process does not require human intervention. At present, most of these customers are overseas, but China also has them.
In order to attract more Chinese engineers to use RS Components' catalog distribution services to purchase components, RS Components has launched the Component Chooser, which may be the world’s largest and most extensive electronic component search engine, providing users with an instant response, Consistent search and comparison tools, and included 260,000 kinds of semiconductors, passive components and electromechanical components provided by the world's leading suppliers.
Richard Huxley said: "We created the platform Component Chooser to provide customers with end-to-end online experience to meet their needs now and in the future. In the next few years, our customer service work will focus on the development of online platforms ."
At the end of August this year, RS Components launched its first revolutionary free PCB design tool, DesignSpark, which combines design information, user reviews and the latest free tools to accelerate the design process for engineers.
Richard Huxley said: "These two tools can help Chinese engineers quickly find the components they want on our website and quickly place orders and complete product design faster. We hope this simple marketing strategy can help us Business will grow further next year."
He revealed that in the first two months after the release of DesignSpark, a total of about 13,000 users downloaded our free PCB design tool DesignPark, which is very popular in the industry.
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