Better products with lower prices,DJI has taken control of civilian drone markets.Without any doubt,this company has established its dominance in this industry and leaves all the other opponents far behind.
In a testament to DJI`s dominance,this comany represents about 66% of the market in the$ 500-$2000 price range,the second-place firm 3D Robotics,which takes about 15 percent of the market has stopped producing overall drones in 2016 and moved to focus on software,the other 2 big companies,Parrot & Yuneec each captured about 6 percent in the market both announced layoffs in 2016.Another noticeable company Lily which attempted to build a smart feature-packed drone,went bankrupt in 2016.In China,the former second biggest drone company,ZeroTech,went out of business without any warning in the early year.
Well,since drone industry is a promising sunrise industry, So, why the discrepancy? Numerous companies can not even sustain.As far as i am concerned,reasons come down to several points.
First,technical accumulation,DJI has been in this industry for 11 years,1500 people working on research and development,their dominance in the industry has a lot to do with their speed at which they are able to bring new ,advanced stuff to the market like Mavic,Spark and so on.While,due to the lack of core technology and patents,many followers just copy DJI,since too many companies popped into this arena trying to get a slice of action,as a result the weeker are swept out.Secondly,price deduction,DJI has cut its price by at least 50% since the early 2016,which was a disaster to all the other drone companies, on the other way around,it helped DJI keep up expanding its market shares.Thirdly,small nitche market,to be honest,consumer drones belong to model plane which are made merely to entertain,not kind of necessity,greatly influenced by market demand.
Understandably,only with core technology and have a better understanding of market trends,can you always be the ahead of the game.