Kenwood Electronics announced it’s implementing a “no exceptions policy,” for unauthorized sellers of its products on the Internet.
A reason for the stricter enforcement is that consumers are not just shopping on the Internet, but they are shopping on the mobile Internet—on their smartphone while they are in a retail store.
So Kenwood said it will clamp down on transshippers. “We can reduce the dealer getting shopped on the Internet and losing a sale to [a retailer] selling just a few dollars below him,” said SVP consumer electronics Keith Lehmann.
The manufacturer is also putting more video demos online that consumers may see on their smartphones and it’s stepping up its social networking program. It plans to build up its visibility on Facebook and then direct consumers to retailers. It’s also planning more in-store point of purchase tools.
“It’s a program that’s overdue,” said Lehmann.
Kenwood said it’s had a banner year in 2010, winning the top 3 market share placements in every product category in car electronics including in-dash navigation, CD receivers, speakers and amplifiers.
Although the CD receiver market is declining, Kenwood said it actually saw higher sales in 2010 than in 2009.
Source: Kenwood Electronics