Acer shines in Thai notebook market

By Tony Waltham, Bangkok Post
Wednesday, June 20, 2007 12:08 PM

Acer Computer is seeing strong growth in Thailand this year and expects notebook sales volume this month to exceed 35,000 units, including sales at Commart, where the company expects to sell a minimum of 15,000 units, according to managing director of Acer Computer Thailand, Harry Yang.

The leading supplier of notebook PCs for 10 consecutive quarters in Thailand, Acer had a 42 percent market share for its notebooks in the first quarter of this year, according to IDC figures, and the company recently rolled out 22 new models in two distinctive notebook designs--the Aspire Gemstone and TravelMate Profile.

The Taiwanese notebook manufacturer also joined with Channel [V] Thailand earlier this month to announce the ''[V] ACER Unwired Campus Tour 2007'' program, which enters its fourth year by introducing the new Aspire Gemstone notebook to the student segment. It will feature a concert tour featuring 40 artists at universities nationwide between now and August 2007.

Yang said in an interview that Acer had always tried to meet the needs of students in Thailand for notebooks, and that it had strong relationships with Thai universities, a channel that the company had pioneered with Rangsit University and which now includes ABAC, Chiang Mai University, Khon Kaen University and Bangkok University.

Acer provided notebooks at special prices for students and sometimes purchases were subsidized by the universities themselves, he said. Acer also provides service centers on campuses while the universities facilitate notebook use with Wi-Fi hotspots, provide lockers with chargers, while power points that can be used to recharge notebooks are located conveniently next to seats.

Yang also noted that Acer had helped to pioneer the unwired campus concept and he said the company continued to invest in having a strong service and support network.

Acer's after-sales service network here was backed up by over 200 engineers and comprised 13 service centers nationwide, with locations at all major IT sales centers, such as those at Seacon Square, Pantip Plaza, Zeer Rangsit and IT Mall, Yang said.

In addition, Acer had a further 110 authorized service centers and the company had just opened an Acer showroom on the 4th floor of Central World, which was purely a technology showcase with no sales activity, he added.

In the first quarter of 2007, Acer's notebook revenues had grown by 37 percent on an 80 percent increase in sales volume, he said, noting that IDC's 42 percent market share figure translated to a 38 percent share of the commercial market and a 50 percent share of the consumer market.

For notebooks, HP was in second place with 25 percent of the Thai market, Toshiba was in third place with 11 percent, while Lenovo and ASUS were ''fighting for fourth place''.

Yang pointed out that unless a vendor was No. 1 or No. 2, it was hard to make any money selling notebook PCs in the country.

With 11 years in Thailand at the helm of Acer, Yang has made Thailand the largest market for Acer notebooks in the region, including China. Malaysia was in second place while Australia was third, he said.

Speaking before last week's Commart, he said that the company would present 30 models at the show but he noted that the units on promotion there were also to be offered at the same prices at Acer's shops throughout the country.

Many of these notebooks would be the new Aspire Gemstone or TravelMate Profile models introduced following Intel's launch of the Centrino Duo and Centrino Pro platform last month.

The Aspire Gemstone, aimed at the consumer market and students, features a shiny jet-black frame encasing a satin-finish sub-layer with the Acer logo floating above like a shimmering holographic projection. Designed by the company that designs BMW cars, opening the cover reveals a light grey ceramic-like interior surface in striking contrast to the black exterior.

The TravelMate Profile models come with a slim and sturdy cover made of magnesium alloy and 20 times stronger and much lighter than plastic. They feature enhanced security with a biometric fingerprint reader.

New notebook models in both ranges come with Microsoft Windows Vista preinstalled.

Some 60 percent of Acer' sales revenue here is derived from the sale of notebooks, while 30 percent comes from desktop PCs and 10 percent is from the sales of LCD displays, where it is also a market leader selling 30,000 units a month. The company also markets servers, where it focuses on the education market, and trails in fourth position after IBM, HP and Dell, Yang noted.

In addition to establishing a strong after-sales service and support infrastructure, Acer has introduced several innovative sales strategies, including extended warranty and insurance for customers against the theft or loss of a notebook with Bangkok Insurance.

The company also recently teamed up with with KasikornBank (KBank) to provide K-Dealer Financing to more than 400 Acer Official Partners (AOPs) countrywide, where each AOP is allowed to borrow up to 20 million baht (US$578,000) in unsecured loans for up to 180 days in order to improve their financial status and cash flow and create a sustainable business.


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