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          China Daily Website

          Turkish delight at China's fascination with its home appliance manufacturer

          Updated: 2013-12-09 07:35
          By Liu Lu ( China Daily)

          Turkish delight at China's fascination with its home appliance manufacturer
          Beko's washing machine production line in Changzhou, Jiangsu province. [Photo / Provided to China Daily]

          "We are well aware how overcrowded the Chinese market is and that people are overwhelmed with all sorts of messaging. But we will not pursue market share by lowering prices," Ambrosi says.

          Beko is not an entry-level brand, he says. It is pitched at the mid- to high-end market in China, with target buyers it calls the "smart generation" - people who would like to purchase modern, innovative and environmentally friendly electronic goods.

          Taking Chinese habits into consideration, Beko has adapted designs and introduced technological innovations to comply with the latest and most stringent energy standards recently implemented in China.

          Last year, one of Beko's three-door refrigerators was given an "Innovative Product" award by the China Household Electric Appliance Research Institute because of its ability to store rice without preventing the loss of taste.

          This year, the same award went to its new line of washing machines in China, the EcoMore Premium series, for having different seasonal washing programs for spring and summer clothing and fall and winter clothing.

          In addition to technological innovations, offering quality at much lower prices is also part of the secret of the company's success in the competitive Chinese market. Many of its high-end products incorporating innovative technologies cost less than 3,000 yuan, which for the majority of people is no doubt attractive when they consider products by the likes of Germany's Siemens, Japan's Panasonic and China's Haier Group.

          "We look at the competitive landscape in great detail," Ambrosi says. "But we are much more focused on our target consumers. We are confident that if we dedicate ourselves to listening to them and continue to care about them, we will have an advantage over other products on the market."

          Ambrosi says he is confident in the Chinese market, but his company will not expand blindly. It will devote itself to optimizing distribution channels and building an after-sales service network.

          The company has also made specific plans for a select number of smaller Chinese cities through which to expand its penetration. It has set up sales points in Sichuan, Liaoning and Zhejiang provinces.

          "It is part of our distribution expansion strategy that relies on close collaboration with local trade customers and distributors," he adds. "At the same time, our marketing efforts will be very much aligned with this plan in order to maximize our effectiveness in those specific markets.

          "Overall, we are still a relatively small player compared with earlier entrants in the Chinese market, but we are ambitious and committed to succeed in the long run."

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