In recent years, under the condition of weak market demand, the price of belt conveyors has been significantly reduced despite low levels, low production volume, and low efficiency, resulting in generally low economic benefits for enterprises in the belt conveyor industry. There are very few enterprises in the industry that carry out technological transformation for tape machine manufacturing. The level of the three major components of the tape machine, namely the roller, drum, and reducer, is still relatively low. What influences the price of tape machines.
一、The unreasonable lowering of prices by users is the main reason for the infinite reduction in prices.
    Firstly, most users generally regard belt conveyors as a simple device, and some users even consider belt conveyors as structural components. They believe that this type of equipment can be made with drawings. Anyone can do it, it's the same, even without drawings, it can be replicated. Based on this idea, their attitude towards ordering is to infinitely lower the price, the lower the better.
    Secondly, users have significant immediate benefits from saving investment. Many technological transformation investments have regulations linking them to self consumption after compression. So, investment was made in compressing general equipment. The price of belt conveyors is primarily based on their selection of compression projects.
   Once again, due to the difficulty in satisfying users with the manufacturing quality of some host factories, it has led to the misconception that whoever makes the tape conveyor is the same and there should not be too much difference. The price war has forced the host factory to surrender and win the bid at a low price, while low-cost manufacturing inevitably brings about no difference in products for enterprises of different scales. So, when users bid, the key focus is on large-scale enterprises winning bids at low prices, small-scale enterprises supporting at low prices, and small and large enterprises jointly losing; Some minor projects were given to small-scale enterprises by users at lower prices without any concern. During project acceptance, there is basically no difference between the products of large and small enterprises when placed together. Users are even more convinced that their views are correct.
    二、Enterprises engage in disorderly competition, pursue market expansion unilaterally, and are willing to sacrifice their interests, falling into a vicious cycle of price competition and getting deeper and deeper. Although it is possible to occupy the market by lowering prices, expanding sales revenue, and other methods. However, the root of the price dispute over tape machines is not rational, but rather irrational. The investment in factory buildings and equipment can be disregarded. The labor cost did not increase significantly with the increase of production. Some companies propose to only focus on the market and not profit, relying on low prices to occupy a new user field. However, the second phase project of this user did not consider the price sacrifice of the first phase project supplier, and instead chose a new supplier, causing the company to lose money while failing to achieve the goal of occupying the market.
    Some companies have incentivized sales personnel to lower prices by attaching or increasing rewards based on sales revenue or the amount of contracts signed. Some companies have made long-term investments in manpower, material resources, and financial resources during project tracking. Although winning the bid at a low price can make up for some of the investment, if the bid is not won, the investment cannot be recovered. On the other hand, some companies believe that as long as they have cash flow, they can tolerate even a slight loss, especially for large projects where there is more room for price reduction. This not only increases the absolute value of bidding for large projects, but also increases the percentage of relative quantity.
三、The contradiction between market supply and demand in recent years is also an objective reason for the decrease in the price of tape machines. Due to the technical characteristics of tape machine products, the number of manufacturing enterprises for this product continues to increase.
四、The wrong understanding of belt conveyor products is also a reason for reducing prices.
     Many users compare tape machine products with other equipment in engineering projects and find that the product has more structural components and fewer processed parts; There are more simple items and fewer complex items; There are more common metals and fewer precious metals; It is concluded that such products are not much more expensive than steel, as they are more commonly used outdoors and less commonly used indoors. Many small businesses consider tape machine products to be easier to produce. When developing products, investment is relatively low, as long as there are orders. The requirements for processing equipment are low, the requirements for enterprise site are low, and the requirements for personnel quality are low. Therefore, it was quickly determined that it is easier to establish a factory to produce tape machines. Once a factory is built and technical problems are encountered, external collaboration can also be used to solve them.
    五、Small scale enterprises taking shortcuts to enter the market have played a role in fueling low price competition. Overall, in bidding, the product prices of large-scale enterprises are higher than those of small-scale enterprises.
    六、There is still demand for low-quality and low-priced tape machines. Some users do require lower quality and more affordable belt conveyors.(Taken from the internet)