Appeal to buyers with special booth allotment
In a nutshell, the 2007 Consumer Electronics Show (CES) represents a challenge, as well as an opportunity, for Korean firms scheduled to participate at the world's largest consumer electronics exhibition this January. Weighing down on their aspirations are the dollar's bearish predisposition, as well as aggressive pricing strategies implemented by other Asian contenders.
CES 2007 epitomizes the frontline of this competitive landscape. The latest in product innovation is frequently introduced at this venue - providing a glimpse of future trends that will dominate the industry. The event also presents an exceedingly effective way to gain exposure and access to corporate buyers and distributors. Obtaining direct industry and consumer feedback is also an invaluable component that exhibitors are able to use as they fine-tune their products for global markets.
In observance of the prospective benefits offered by participating at CES, the Korea Trade-Investment Promotion Agency (KOTRA) will be organizing a 'Korean Pavilion' as a means of supporting Korean electronic firms. The forthcoming CES 2007 exhibition will be held January 8-11 at the Las Vegas Convention Center. In an exclusive interview with the Korea IT Times, Mr. Jeong-oh Ham (Director General of KOTRA's IT & Electronics Marketing Team) revealed that KOTRA has implemented a number of improvements designed to better appeal to overseas buyers.
In addition to an increased emphasis on the overall design of the 'Korean Pavilion', Mr. Ham indicated that booth allocation has been arranged by item category. Specifically, within the Korean Pavilion, firms supplying related items will be situated adjacent to each other. This is expected to make it much more efficient for prospective U.S. buyers. Especially, as the number of Korean booths has greatly expanded.
Noticeable vehicle-related technology
Mr. Ham noted that one of the distinguishing characteristics of the Korean Pavilion - at CES 2007, is the prevalence of Korean companies in the vehicle-related technology sectors. Product offerings such as navigation, audio, DVD Multimedia Players are more prominently represented this year. Other major exhibiting categories encompass computer components and peripherals, robotics and cutting-edge home appliances with integrated IT capabilities.
Moreover, he commented that it is remarkable that a number of exhibitors are employing a Blue Ocean Strategy, rolling out products that currently have no existing competitor base. Inquiring minds will have to wait until January to find out.
However, products such as a wearable necklace air cleaner, integrated TV's for the kitchen, and a myriad of other IT products will be showcased at the 'Korean Pavilion'. As a result of China's aggressive pricing strategy, smaller Korean IT firms have had to greatly reduce their product life cycle intervals, Mr. Ham said, referencing several years' trends at CES.
This is compounded by China's exceptional ability to quickly replicate competitors' products. As such, some smaller Korean companies' product life cycle is no more than three months, he points out.
Mr. Ham commented that: "Our companies frequently use a Hit and Run strategy, where rapid product introduction enables smaller Korean firms a short period to introduce their product and then quickly revise"
He also pinpointed that China is somewhat lacking relative to Korean companies in terms of design ability and Korea is also ahead of China in terms of Final Touch (i.e., user experience). Mr. Ham mentioned that among our companies, CRESYN (www.cresyn.com) is making inroads into CES for the first time and has attracted significant attention from foreign buyers. Artificial intelligence manufacturer WOW Technology (www.wow-pen.com) has also garnered great expectations for this year's exhibition.
Strategy for network construction
With regard to KOTRA's marketing strategy for CES 2007, Ham said they are committed to making strong efforts for on-the-scene business development, which can support our smaller Korean IT participating companies quite effectively. The Korea Pavilion was increased from 75 booths (8,000 square feet) last year to a total of 99 booths (9,900 square feet) this year.
