Promote Industry Recovery, Get Ready!
2023 is a challenging year, and we appreciate your continuous cooperation and support, which has allowed us to grow and thrive. As we enter the fourth quarter, the market remains cautious and sluggish, facing challenges such as inflation, exchange rate fluctuations, the Russia-Ukraine conflict, geopolitical changes, economic stagnation, market inventory surplus, and consumer confidence issues.
In the third quarter of 2023, MEAN WELL’s order (Link) and sales (Link) were both at their lowest points since the outbreak of the pandemic. However, the Chinese region has started to climb from the trough, with order proportions exceeding 50%, indicating a gradual market recovery. We firmly believe that the trough will pass, and a rebound is imminent. Now is the best time to come together and promote the core values of the SDG Group through the following directions:
- Promote “Power Supply Standardization”, ensuring that system engineers from every corner of the world can find suitable products directly from MEAN WELL’s standard product line when they need power supplies (Virtual Expo, Link), and quickly obtain samples and services through our global distribution network.
- Expand the “Industrial Value Network”, integrating the products and layouts of the PowerNex Group and the SHARE WELL Group to create a second growth curve (Link).
- Promote the MEAN WELL APP （iOS、Android）to enable target customers to quickly access all the latest products and information; Promote the sharing economy and encourage more partners to join us through SDG Share+ （iOS、Android）to realize SDG Group's goal of sustainable development.
- Accelerate the launch of new products, including LRS-N2, VFD series, SHP-30K, and other upcoming releases. These new products will cover a range of diverse application markets. We recommend strategically positioning these products in customer projects as soon as possible.
- Through the end-of-August supplier executive meeting, we strive to secure various forms of supply chain support to ensure the smooth operations of MEAN WELL. We will continue to monitor the Danger List and execute the Alpha plan, ensuring a stable supply with a 30-day lead time for MEAN WELL.
- Regarding the allocation of SDG points for the 2024 new fiscal year and the calculation method for MDF, as well as the partner evaluation mechanism, our sales representative has explained individually over the phone. Please utilize the fourth quarter to exert extra effort and strive for good performance.
- MEAN WELL continues to expand its overseas investments, enhancing the production capacity of plants in India and the Philippines. The Suzhou Smart Park is progressively increasing innovative investment projects, laying the groundwork for sustained growth in the future.
Looking ahead, although there are many variables and challenges in the market and supply chain, MEAN WELL, as a global leader in standard power, is well-prepared. We recommend that you maintain an adequate inventory, strategically position the new products and 3+N products, as well as the peripheral accessories provided by SHARE WELL/PowerNex, leveraging the power of the industrial value network to offer customers a broader one-stop shopping service.
For more information about the development of MEAN WELL and the SDG Group, our sales representative will contact you to explain in detail.
Let us come together and spearhead the journey to recovery!
SDG Group CEO of Greater China: Alex Tsai