Annual Report 2009
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Home Lighting

Home lighting is not only about ‘functional’ lighting – increasingly it is about the power of lighting to offer more ‘emotional’ scene-setting and ambience creation.

The growing importance of design is clearly noticeable in the interior of people’s homes. Customers increasingly want to be able to personalize their interiors in line with their needs. For example, bright white light for the home office and working spaces, more yellowish light for living rooms or bedrooms. For us, this means an increased focus on solutions that allow our customers to play with light, adapting it to their moods and wishes.

In 2009 we introduced a complete range of energy-efficient LED light bulbs for the home – another milestone in establishing leadership in solid-state lighting.

September 2009 saw the start of the phase-out of incandescent lamps within the European Union, a move that will significantly reduce energy consumption and carbon emissions.

We have developed a host of alternative solutions that help consumers achieve the desired ambience in their home while still cutting their electricity usage. These include – for the first time – an extensive selection of attractive LED light bulbs. Consumers no longer have to compromise on style, quality and contemporary home ambience in order to save energy.

Elegance and efficiency

The uniqueness of our LED lamp range lies in the combination of beautifully designed lamps for standard-type fittings and the quality of lighting that people want in their homes, whether for functional or ambient lighting. And the lamps last up to 25 times longer than incandescent bulbs while consuming only a fraction of the energy! They pay for themselves in as little as 18 months – meanwhile, the contribution to the environment starts right away.

In China and India we are using new, customer-centric approaches to make sure we fully meet consumers’ lighting needs.

In China we have opened 80 Philips-branded lighting stores that uniquely address customer demand for energy-efficient, value-added lighting solutions for the home. The interior layout is based on rooms in the home rather than product categories. We also have 800 Home Lighting Centers within multi-branded lighting shops, extending distribution even further. Both formats will be further rolled out in 2010.

In order to reach the Indian consumer, we have developed the customer-centric concept of Light Lounges – experience centers that show Philips solutions in home decorative lighting and offer consumers a unique ‘see, touch and feel’ experience. In addition to these special Light Lounges in shopping malls, on high streets and at stand-alone locations, we are also partnering with retailers to create shop-in-shop sales outlets. By year-end 2009 we had 28 Light Lounges and 125 shop-in-shop outlets in 28 cities across India, with many more planned for 2010.

In 2009 we unveiled the first-ever OLED-based interactive lighting concepts for both consumer and professional applications – the next phase in the solid-state lighting revolution.

An OLED (organic LED) is an extremely flat, lightweight panel. When switched off, it resembles a mirror. But as soon as current is applied, the whole panel lights up, dispersing a gentle glow of light. OLED technology is complementary to, not a replacement for, point-source LED technology and is now entering the stage that it can be turned into meaningful applications.

Beyond illumination

“Our OH…LED! concepts demonstrate a new light ambience, novel design possibilities and unique interactivity of light and human gesture,” says Rudy Provoost, CEO of Philips Lighting. “Economic and environmental concerns are driving all of us to make the move to cleaner, more energy-efficient solutions as quickly as we can. What’s particularly exciting is that LEDs and OLEDs offer the possibility to create new lighting designs and experiences that weren’t achievable in the past. With these new concepts Philips is adding a whole new dimension to lighting and the way it can enhance people’s lives.”

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This is an interactive electronic version of the Philips Annual Report 2009 and also contains certain information in summarized form. The contents of this version are qualified in their entirety by reference to the printed version of the Philips Annual Report 2009. The printed version is available as a PDF file on this website. Information about: forward-looking statements, third-party market share data, fair value information, IFRS basis of presentation, use of non-GAAP information, statutory financial statements and management report, reclassifications and analysis of 2008 compared to 2007.
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