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Market is customer demand

Based in Shenzhen, the manufacturing centre of “World Factory”, we, Cosmos Digitech Co., Ltd. have become one of the most successful manufacturers of digital photo frames in the world with monthly production of more than 100k/month, total sales of more than 1 million since October 2007 and customers who are No. 1 dealers of DPF in USA, Canada, Australia, Netherlands, Belgium, etc.

One good idea not only brought us an incredible success but also triggered a boom in the business area of digital photo frames in the world.

In June, 2006 when I first looked into digital photo frame market, more than a dozen of Chinese manufacturers including Panda, Action, Uni-V, etc. were already producing digital photo frames. But a careful study of their products gave me a clear idea that all of these Chinese manufacturers were trying to produce cheaper products with more functions compared to Philips’ model, a typical way of thinking for poor people who always feel “the more, the better”. As a result, the most important function of photo display was not good enough. Let alone other added functions such as MP3, MP4, etc. Worst of all, 32 buttons of the remote controller and menu after menu, could make you crazy before you learn how to use the machine. Consequently, order quantity of 3k was considered to be a big order at the time.

This gave us a chance in a hundred years! We started development of our first model with only photo display function without MP3, MP4 and remote controller. We tried to produce a 7” digital photo frame that would be beautiful, cheap, good quality and easy to use for everybody. Our model was aimed at European market at FOB price of US$45 so that retail price could be less than US$100 in Europe. The price was a big surprise in October trade show in Hong Kong and we came back to the factory with total 60k orders including one order for 20k.

It is absolutely right to say that the most important thing for manufacturing industry is to find out what customers actually need and we will do our best to look at things from the angle of end-users and introduce better products to the market.

This article was written by Wallace Ma, the marketing director of Cosmos Digitech on 29 October 2007.

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