Learn about actual and potential costs
How much should I pay for LEDs?
What is the average price of LEDs?
This procurement report includes pricing information to help you purchase LEDs. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.
Has the price of LEDs been rising or falling?
Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.
I’m not ready to purchase LEDs yet. Will I pay more if I wait too long?
We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.
What other costs are associated with purchasing LEDs?
Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for LEDs with a reduced risk of unexpected costs.
See how we display average pricing information, trends and market data.
Find the vendor to meet your needs
Where can I purchase ?
Market share concentration is low, indicating a fragmented market. ProcurementIQ estimates there are 1,042 suppliers of LEDs in the market, the top four of which account for less than 30.0% of total market revenue. The intensity of competition among market players is high, with suppliers competing on the basis of... Subscribe to learn more.
Questions to ask potential suppliers
How can I gain leverage during negotiations?
Has import penetration adversely affected your operations? If so, how?
What incentive would I have in choosing your product over an imported product? What sets your product line apart from your foreign competitors?
How has the fluctuating value of the US dollar affected the demand for your products abroad?
Do you import your raw materials or source them from domestic suppliers?
How often do you experience defects with your products? To what degree are in-process inspections and process controls carried out?
What is your acceptable margin of error for the product(s) I am seeking to purchase?
How many recalls have you had? Were they voluntary or mandated? What problems created the need for the recalls? How have you handled these recalls?
What types of technical issues have you experienced with this product?
How much of your revenue comes from your five largest customers?
In what industries are the bulk of your LEDs used? How vulnerable are you to changes in demand inside this market?
What investments are you making in the company's future (e.g. new products, R&D, new plants, etc.)?
Have you had to increase your marketing expenditures to ward off increasing competition? What has that done to your profitability?
Are you experiencing fluctuations in demand as a result of the coronavirus outbreak? What measures are you taking to handle increased or reduced demand?
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Key elements for every RFP
What should my RFP include?
Buyers should explicitly state the amount for the award.
Buyers should describe the expected pricing model to be used (e.g. cost-plus).
Given the volatility inherent with inputs like aluminum, buyers should list desired price ceilings or rate hikes that can arise from fluctuating input costs.
Buyers should explain the schedule with which payments will be made.
For assistance in ascertaining a reasonable price and price range for LEDs, buyers can consult the Benchmark Price section of this report.
Buyers should consider price when making a supplier selection because product specialization is moderate.
Buyers should ask for a list of references from current and former customers.
Although importers can often provide lower prices, buyers should also consider sourcing from local suppliers because it will cut down on shipping costs and simplify communication.
For a detailed list of key selection criteria, buyers should reference the Buying-Decision Scorecard section of this report.
Buyers should communicate to prospective suppliers when award information results will be provided.
Buyers need to provide due dates for any ongoing or scheduled projects and maintenance work.
Buyers should provide general expectations with regard to response time and customer service.
Evaluate major factors to mitigate risk
How risky is the supply chain?
Buyers of LEDs face a moderate level of risk from the supply chain. LED suppliers rely on inputs from a variety of upstream manufacturers of goods such as chemicals, semiconductors, plastic and wires. Second tier suppliers, such as petroleum refiners, copper rolling, drawing and extruding firms and iron and steel... Subscribe to learn more.