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Saturday, May 22, 2010

Haier Goes Higher

Although Chinese manufacturers have gained a questionable reputation in the international community for apparently lower quality standards, things are quite different now. Just like anything else, there are exceptions to this rule. With the implementation of stricter quality control measures and careful brand management, a relatively new player in TV industry is slowly but surely making its mark in this almost-impenetrable field.

There are factors that make Haier TVs stand out -- they are so well-fitted given the current economic climate and the ever-evolving taste of the average consumer.

Affordability: there never was any major debate on this. It’s a universal consensus that appliances made in China sell cheaper. When one checks the TV catalog of Wal-Mart, the largest American retail store network, a Haier with the same specifications as an LG, a Samsung, a Sony, and a Philips, sells for at least 15% below the next-cheapest rival. This is particularly important for people who are on a budget – which includes most of us. Viewing angles, net resolution, refresh rates – everything is the same. The edge of Haier on this particular facet primarily lies not on its technological edge over its rivals, but on the ability to deliver the same thing at a lower cost.

And then there’s branding. It is undeniable that this feature is something that really matters to us. Haier’s brand name does not sound Chinese. Thus, it allows them to conveniently break away from the unfortunate stigma that comes with being a Chinese brand. With this major obstacle taken care of, Haier can focus on the more important components of their enterprise, which leads us to the third major advantage: product quality and customer satisfaction.

The US is probably the most hostile market for Chinese-made goods. Ironically, based on recent consumer reviews in the community forums of most major US retailers, Haier TVs have gained higher satisfaction ratings – even beating better-established brands like Samsung. Haier’s customers get what they’re looking for even if Haier is not the most advanced. Just look at the borderless TVs from LG: why would you hit a fly with a cannonball?

Cost, branding and responsiveness to consumer demands: this is a lethal combination in this highly competitive market – and it seems that Haier is doing one heck of a job.

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