The founder Vitek launches new brand | Предприниматель

The founder Vitek launches new brand

With Andrew Vitek Derevyanchenko gets margin , and Maxwell gives him the sales growth .

There is a joke among competitors that Golder Electronics is the second leg . The first leg was the company Vitek, has turned into the most successful brand of small electronics and technology in Russia , the second leg is a trademark of Maxwell, appeared on the Russian market in September 2009 . Mark Maxwell offers consumer products at low prices , which once started with Golder Electronics.

As noted by Derevyanchenko , the basic principle of marketing has always been a correlation between production and market demand . Owner Golder Electronics, once received a good income from trading import video , audio and home appliances in 1999 decided to establish its own brand . He picked a good time , as due to the crisis, demand for expensive Japanese and European vehicles plummeted. In addition, he served as a good example of colleagues on the market . Back in the mid-1990s, the market of Southeast Asia gave rise to new brands that produce some of the Russian distributors . Then there Vigor, Scarlett and VES Electric. After analyzing the successes and mistakes of competitors Derevyanchenko decided to launch the development of their own models and submit them to the Chinese market.

Already in 2000 the market of Russia were first irons, kettles and vacuum cleaners from the company Vitek ( name of the company came from the Latin word vita – life and technica – appliances). Electric Vitek can be purchased at an average of $ 15-20 . Now the cost has risen to $ 30. After waiting three years, while revenues grew consumers Derevyanchenko decided to move prices higher . Then Golder Electronics started producing products with ” innovation component ” – for example , vacuum cleaners equipped with a function perfuming the air , irons with electronic control system and stereos with vertical loading discs .

Higher revenues from sales of these products will allow owners of Golder Electronics to invest more money in advertising, product development and the search for new sales channels . By 2009, Vitek has worked with about 200 dealer companies throughout Russia and federal chains of consumer electronics and appliances. Company Vitek was on a par with Panasonic, the market was small appliances Russian share of 3.8 %. About the same percentage owned by the French and the German manufacturer Moulinex – Rowenta. The range of products has reached 350 , while sales for the year amounted to about $ 200 million Derevyanchenko Then bought a Hong Kong company that has received orders for the development of engineering models Vitek.

In this case, the company’s managers Golder Electronics wanted to go back to the lower price segment , as the rise in technology has led to a slowdown in sales growth. But the Derevyanchenko was against it , because he knew that the solvency of the Russian population grew, and in such a situation is pointless to lower prices . But when the market situation has changed , he quickly changed his mind. At the end of 2008, sales techniques Vitek dropped significantly , and regional dealers demanded supply of cheaper options . According to the commercial director of Samara “Vesta Electronics ” Sergei Semenov , in 2009, his share of his company in the market of low-cost technique was 70 %.

Then Derevyanchenko decided to focus on cheaper products , such as hair dryers, irons and kettles, the cost of which should be lower than the cheapest of its products by 20 %. In search of a name for the new brand was organized three focus groups with five large cities , among which were both Moscow and St. Petersburg. Then the participants considered several foreign-language titles , but in the end everything came together on the name Maxwell. Derevyanchenko not hide the fact that the name was chosen because Maxwell consonance with the names of foreign companies. For example , Maxwell House – a coffee or Maxell – manufacturer of batteries and CDs.At the price lists Golder Electronics brand Maxwell appeared in September 2009 . Six months later, Maxwell sales were $ 600,000 monthly. But Derevyanchenko does not stop there and plans to increase sales to $ 1.5-2 million per month . Maxwell range can be extended up to 100 names , but now it includes blenders , coffee makers , juicers , scales , hairdressing machines .

According to the commercial director of one of the dealers of Vitek, Maxwell can increase sales if it is to invest more money in advertising . He believes that the success of the brand has brought Vitek is good publicity in its niche . Over the period 2000-2009 . investments in advertising increased 37-fold , that is, up to $ 15 million, but the owner of the Golder Electronics has no plans to promote a new brand because it considers it inappropriate to invest in the advertising of the brand that consumers low commodity prices .

According to him , the main thing – the right to organize the sale. At Maxwell is a very powerful marketing channel that allows you to sell anything. He realized it only after it decided in 2006 to launch a new brand of professional grade cookware Röndell. Engaged in the promotion of this brand dealers Vitek, and revenue from sales of kitchen appliances is $ 3.5-4 million per month .

Eugene Nazarov , the owner of the brand Vigor agree that Golder Electronics has the most close-knit network of sales channels among all its competitors. And the appearance of the brand Maxwell only contribute to its loading , in addition, the demand for low-cost technique is always there. But , according to the assessment of the ” GfK – Rus” selling inexpensive household appliances in Russia last year decreased by 24% compared to sales in 2008.

Despite this , sales of Maxwell continues to grow. According to Sergei Semenov of “Vesta Electronics “, Derevyanchenko can develop Maxwell, even when all the competitors gradually fade . He believes that low-cost technology is very important to strike a balance between quality and price, in this case, even the advertising is not required. And Maxwell has a very good lineup and reasonable prices. Just believe and representatives of networks of “El Dorado ” and ” M. Video “, which recently began selling a new brand of Golder Electronics.

Products Maxwell would have appeared on the network and “The World ,” if it were not for the bankruptcy of the network, and “Technosila” if not for a change of ownership . Derevyanchenko believes that the EUMC has successfully managed a second time to take the same niche. And indeed the trademark does not require a lot of resources – responsible for it two managers in Moscow and one in Hong Kong, which oversees the development and production models (central office Golder Electronics has only 200 employees). And to the question of how much profit profit brings Maxwell, Derevyanchenko smiles , saying that profits enough that competitors could not subside quietly .

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