New York – Denon will use
its 100
th
anniversary as a platform to expand its share of the
$1,000+ A/V receiver (AVR) and premium-headphone markets, promote a bolstered
entry-level AVR lineup, drive step-up Blu-ray player sales and boost support
for authorized online retailers.
Phil
Cohn, senior sales and marketing VP, told TWICE during a press briefing Monday
that the brand will revamp its authorized online dealer policies to “partner
with the right people” whose Web sites meet a content “benchmark,” he said. The
benchmark is designed to “highlight the technology, performance and usability”
of Denon products, and the brand will make such content available to its online
dealers for their use, Cohn said.
The
brand is “reviewing all aspects” of its authorized online dealer policies,
which already include MAP pricing, but “not necessarily” to expand the brand’s
roster of authorized online dealers, he added. About 11 dealers, fewer than the
competition, are currently authorized to sell online, and most are Progressive
Retailers Organization (PRO Group) dealers, he noted.
The
company will promote its 100
th
anniversary, which occurs in October,
throughout the year with brochures, in-box thank-you cards, merchandising,
advertising, and a
that’s already up and running, Denon said. The program includes 100
th
-anniversary
products that “represent our heritage” and will be announced at the CEDIA Expo,
Cohn said. The celebration will “engage channel partners and end users” and
will include in-store consumer events, Cohn added.
The
campaign will highlight a 100 years of firsts, including the first
professional disc recorder in 1939, the first sales of stereo records and
stereo systems in Japan in 1951, the invention of the first PCM recorder in 1970,
the first consumer-use CD player in 1982, and first audio component with Dolby
Digital/THX 5.1 decoding.
Although
Denon’s 2010 initiatives include an expansion of its AVR market share, the brand
already won top dollar sell-through share in AVRs in 2009 through the specialty
channel, Cohn said in citing NPD Group statistics. Denon’s 2009 dollar share
hit 35 percent, and in $1,000 to $1,499-plus AVRs, it hit 40.9 percent, he
said. In $1,500-plus AVRs, Denon’s share hit 45 percent in specialty channels.
Denon
also hopes to boost its share of the entry-level AVR market with the launch of
a $249-suggested AVR, which features HDMI 1.4a inputs and outputs that support
all mandatory 1.4a 3D formats. It also features Dolby Pro Logic IIz and
iPod-dock connection. The company never had an AVR priced below $300 before,
said Jeff Talmadge, product development and systems integration director.
