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Competitive Pricing Propels Panasonic

By Greg Scoblete -- TWICE, 7/21/2003

Sidebars:
Top 10 2.4 GHz Digital
Success Story: Panasonic Cordless Phone
Straightforward Formula Meant Success

Profiting from competitive pricing, strong distribution and a leading brand, Panasonic's 2.4GHz DSS single line cordless phone model KXTG-2215 racked up top dollar sales honors between June 2002 and June 2003, according to retail sell-through numbers from The NPD Group.

The KXTG 2215 was launched in May 2002 as the entry-level piece in the company's 2.4GHz DSS lineup. It had a suggested retail price of $59.95 and featured caller ID. Panasonic stopped selling the 2215 in April.

The model's success was due to a mix of factors including strong distribution, according to Wayne Borg, national product manager telecom, Panasonic.

"We had very good placement at major national retail outlets compared to competitive models," he said.

Competitive pricing coupled with Panasonic's strong brand recognition in the home phone market also helped spur sales, Borg said.

Finally, Borg noted the general shift in the cordless phone market toward 2.4GHz, coupled with the consumer's appreciation of the benefits that digital spread spectrum technology brings in terms of clarity and security helped propel the 2215 to top. "Even though there are still some people buying 900MHz cordless phones, consumers have embraced 2.4GHz and recognize that DSS gives them better clarity," he said.

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