HDTV, the “Green Zone” display of CE industry recycling and energy conservation efforts, and the Innovations Awards area of SinoCES should be among the most popular areas for SinoCES attendees to visit.
CE retail sales in China should spike upward now, especially HDTV and home entertainment items, as the Summer Olympics here approaches but expect a sales lull after the Games.
And small- to medium-sized CE manufacturing plants that make products for overseas suppliers are being hit hard by higher energy, raw material and labor costs.
Who did I get all this info from today at SinoCES? TWICE — to be completely accurate, TWICE China, a joint venture of our parent company Reed Business Information and International Data Group. Turnabout is fair play, after all. Typically, TWICE bylines appear in TWICE China. For instance, in the June 20 edition, stories by Alan Wolf, Joe Palenchar, Colleen Bohen and yours truly appear.
After a couple of visits to the United States by TWICE China’s staff to our New York offices and CES in Las Vegas, I finally visited TWICE China on their turf, SinoCES. The publication is headed by Orient Zhu, pubisher/president; Vincent Zhou, editor-in-chief; and the editorial staff, with the help of its project manager, and my interpreter for our conversation, Mandy Li.
I felt right at home when I first met with Orient at the TWICE China booth due to the familiar colors of the logo and that TWICE China is the official daily of SinoCES, just like TWICE is the long-time official daily of International CES in Las Vegas.
Orient invited me to visit the TWICE China daily workroom at the show, and I didn’t envy their daily deadlines, especially with a little jet lag setting in.
In the few minutes I did interrupt their editing and reporting, Vincent and his editors said that higher manufacturing costs in China is an overwhelming issue. “There are higher costs for employees, materials and energy everywhere. This impacts small and midsized companies,” Vincent told me. When I asked what may happen if the situation continues, he said, “Some will increase prices, others will leave the market.”
Vincent and his staff also confirmed what everyone else had told me in my visit that CE sales in China are strong this year. They are up in double-digits for medium-sized cities like Qingdao and up in general nationwide.
As for second half retail sales in China, Vincent reiterated, “After the Olympics there will be a low time for retail here. But all in all, due to the Olympics and the greater opportunity to sell more HDTVs and home entertainment systems”, due to more HDTV programming during and after the Games, retailers here should expect stronger sales in the calendar year.
Soon after that I bid my farewell before Vincent, Orient and their staff could try to assign me a story for their daily.
My best wishes to Orient, Vincent, Mandy and the rest of the TWICE China staff and my thanks for their time and insights on the Chinese CE market.