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NMG Launching Private-Label CE Line, Expands Tablet Assortment With D&H


The Nationwide
Marketing Group (NMG) will
launch a value-priced private-label CE
line this fall that could eventually encompass
TVs, Blu-ray and DVD players,
Android tablets, soundbars and
gaming accessories under the exclusive
Allegra Electronics brand.

The buying organization for independent
dealers is also expanding its tablet
assortment through a new partnership
with D&H Distributing.

The private-label program, directsourced
from Chinese OEM Eternal
Asia (EA), is designed to provide
member dealers with a promotionally
priced, albeit tier-one-quality, line that
will allow them to compete with Best
Buy’s Dynex brand and other openingprice-
point products.

The initial rollout, set for November,
will include three LED TVs, two LCD
models and two BD players. The TVs
will feature A-plus-grade panels with
60Hz and 120Hz refresh rates, and
super-slim 1.8-inch-thick bezels in 26-
inch, 32-inch, 40-inch and 55-inch
screen sizes.

A 3D SKU is planned for early 2012,
although IP capabilities will be reserved
for a forthcoming selection of
DVD players, due out in January.

The TVs are priced to deliver upward
of 20 to 25 points of margin, but
at $299 for the 32-inch model, can still
provide 12 to 15 points if used as price

“A private-label opportunity puts the
control back with the dealers — they
can advertise it however they want
without worrying about other retailers,”
explained electronics merchandising
VP Doug Schatz.

EA is reportedly the 23rd largest
company in China, with 14 production
facilities, and produces components
for tier-one brands in addition
to finished goods. The manufacturer
will ship container-sized orders to the
U.S., where Nationwide distribution
partner SED International will provide

Although Allegra will launch with no
name recognition, consumers are lessbrand-conscious about TVs that
are less than 50 inches and $500,
observed Mike Decker, the group’s
electronics merchandising senior
VP. He said additional products will
be introduced following the initial TV
test this fall.

NMG CEO Robert Weisner added
that Nationwide remains supportive of
its main video vendors LG, Mitsubishi,
Samsung and Toshiba, which together
represent about 90 percent of the
group’s TV volume.

The new partnership with D&H
expands Nationwide’s tablet assortment
from Acer and Asus, which will
continued to be supplied by distributor
SED International, to also include
computers, peripherals and accessories
from Hewlett-Packard, Lenovo
and Toshiba.

CE merchandising VP Doug Schatz
said computers are a major category
for the group’s rent-to-own dealers,
and can be an important adjunct to all
members due to their shorter lifecycle,
which provides repeat business. Tablets,
which along with smartphones
are showing the greatest CE growth
this year, can also drive traffic and
bring in a younger customer, he said.

Schatz called the new alliance with
D&H “a natural partnership,” and described
the distributor as a low-cost,
best-in-class provider. D&H will also
provide Nationwide members with
tablet, peripheral and accessory bundles
to help boost category margins,
along with special pricing and consultation,
noted D&H senior VP Jeff

Schatz and Davis added that they
will continue to support HP, which is
exiting tablets and smartphones only,
and that the brand, whether spun off
or acquired by another PC manufacturer,
remains the No. 1 name in personal

The announcements were made at
last month’s Nationwide’s PrimeTime!
buy fair and dealer conference, which
was held here at the Gaylord Texan.