Presented by

• Mr. Lertchai S. 441-9147

• Mr. Sarawut L. 452-9185
• Ms. Benjangkamas V. 461-9111
• Ms. Kittima K. 461-9131
• Ms. Porntip W. 461-9156
• Ms. Savidchaya L. 461-9177
Agenda
• The objectives of the presentation
• Company background
• Current market situation
• SWOT analysis
• Competitor analysis
• Competitive positioning
• Consumer analysis
• Marketing strategy
• Financial projection
Objectives
• To understand the procedures of new
product launching in a systematically way
• To identify marketing strategy of new product
how it launches
• To identify the key success factor of
launching new product in the market
• To describe the business trend and market
circumstances of digital camera in Thailand
Market Situation
• Develop from a film camera since 1991 by Kodak
(Professional Digital Camera System)
• Apple launched in 1994 for consumer-level market, and
followed by Kodak and Casio in1995.
• Intense Competition nowadays
• Market Size is expected to grow by 30 %
- 450,000 cameras in 2004
- 585,000 cameras in 2005
• More than 20 brands in the market
• Its Life Cycle around 5-6 months or 2 quarters
Current Market Situation
• Year 2004, demand of 1M pixel camera have
decreased as the price of 3M and 4M pixel are
reduced
• Price of 3M pixel drop to Baht 7,000 -9,000
• Price of 4M pixel drop to Baht 13,000 – 17,000
• It can be said that the growth rate pf 4M – 5M
pixel increased whereas those of 3M pixel
decreased
Product Segmentation
Resolution Price Market Share
(Unit)
1-2M pixel < 5,000 10%

3M pixel 12,000 – 14,000 50%

4M pixel 14,000 -19,000 23%

5M pixel 22,000 -27,000 10%

Prosumer 32,000 -39,000 5%

Digital SLR 48,000 – 100,000 2%

Source: GfK Report
Average Price of Digital Camera
Resolution Average Price (Baht)

1M pixel and lower 10,325

2M pixel 7,280
3M pixel 12,666
4M pixel 16,548

5M pixel 20,805
6M pixel 30,241

Source: GfK Report

Market Size & Value
(Jan.-Apr. 2004)

160,000 2,500,000 100% 4 1

90% 15
13
140,000 1,993,120
80%
2,000,000 15
120,000
70%
37
100,000 +134% 1,500,000
60%

50%
80,000
52
133,726 40%
850,560 1,000,000
60,000 29
+186% 30%

40,000 20%
500,000
46,817 10% 17 15
20,000
0% 2
Unit 0 0Baht YTD 03 YTD 04
YTD 03 YTD 04
< 1M < 2M < 3M < 4M < 5M < 6M 6M+

Source: GfK Report

 Market Contribution
(by Segmentation)
100% 1 1 2
5 5 7 9 10 11 11 12 12 15 15 14
90% 11 10 15
9 9 8 8 8 10 13
80% 14 14 16
17
70%

60%
55 56 56 56 59 56
50% 59 57
57 52 52 54 51
40%

30%

20% 21 21 21
22 19 21
20 18 18
10% 17 17 14 13
8 6 5
4 4 3 2 2 1
0% 1 1 1 1
Apr'03 May'03 Jun'03 Jul'03 Aug'03 Sep'03 Oct'03 Nov'03 Dec'03 Jan'04 Feb'04 Mar'04 Apr'04

< 1M < 2M < 3M < 4M < 5M < 6M 6M+

Source: GfK Report

Market Share By Brand–Thailand
(Year 2004)
PENTAX 3%

Others Sony
31% 30%

Canon Samsung
12% Fuji 15%
12%

Source: Fuji Co.

DSC Market Share By Resolution
–Thailand (Year 2004)
< 1M Pixel
1% <2M
6M+ 1%
< 6M <3M
2%
15% 13%

< 5M
17%

<4M
51%

Source: Fuji Co.

 Digital Still Camera-Thailand
Top 10 Hit list By Pixels < 3M

Nikon 2100 Vivitar Brica 410

Others 4% 4% 13%
22% Fuji Film LQ1
19%

FujiFilm
Finepixa 205 5% Kodak CX6200 8%
Samsung X250 10% Cannon Shota60 6%
Kodak cx6230 4% Konica 220Z 5%
Source: GfK Report
 Digital Still Camera-Thailand
Top 10 Hit list By Pixels < 4M

Fuji Film Sony OSOP72 Cannon Shota70

Samsung 9% 8% 8% Samsung XV3 6%
14%
Samsung XVCA3 5%
Kodak cx6330 3%

Fuji Film
Sony OSCP 8 Finepixa 210 2%
Sony DSCP32 3% Others 30%
12%
Source: GfK Report
 Digital Still Camera-Thailand
Top 10 Hit list By Pixels < 5M

Kodak DX6490 Brica RT460

Cannon Shita80
4% 4%
Others 23%
25%

Casio EXZ4
10%
Samsung XV4 5% Pentax Optios4
Cannon Lixusi 5% Cannon Sony DSCF77A
Casio QVR40 7%
6%
Source: GfK Report Lixus400 5% 6%
 Digital Still Camera-Thailand
Top 10 Hit list By Pixels < 6M

Konica 2% Others
8% Sony DSCT1
Brica RT550 8%
28%
Sony DSCF717 4%
Canon PShots50
2%
Canon Lixus500
Cassio 8% 2%
Sony DSCV1 6% Sony DSXP 30 26%
Sony DSCP 92 6%

Source: GfK Report

Existing brands
• Pentax • Kyocera
• Sony • Olympus
• Canon • Konica Minolta
• Sumsung • Leica
• Nikon • Sanyo
• Kodax • HP
• Fuji • Brica
• Casio • Contax
• Panasonic • Sigma
• BenQ • Others
 High
Price Sony

Nikon

Canon

Kodak
Pentax Fuji
Kyocera Casio

14,000 B Panasonic

Olympus
Ricoh Samsung

Ben Q

Brica

Low High
3M
Source: GfK Report Resolution
3 Main Considerations in Buying
Decision
1. Brand

3. Price

5. Resolution
PENTAX SWOT Analysis
Strength
• Well-known camera brand due to Pentax has
their own lens manufacturer
• Good quality and good design product
(professional camera design)
• Strong distribution channel through leading
department stores
• Strong relationship with dealers and suppliers
• Synergy with CMG brand in term of promotion
PENTAX SWOT Analysis
Weakness
• Limited technical service center
• Low gross profit margin, then limited in a
marketing budget
PENTAX SWOT Analysis
Opportunity
• Increase in demand of 4-5 mega pixels digital
camera
• Increase no. of complementary product.
• High technology, price is lower, high purchasing
power
• High education, easy to communicate
PENTAX SWOT Analysis
Threats
• High competitors in the market (20 brands in
digital cameras)
• Dealer has more bargaining power
• Digital camera has a short time life cycle due to
rapidly change in technology
Competitor Analysis
Strength Weakness
• Strong brand awareness • Strict policy with
and brand image dealers
• After sales service • Low market coverage
• Variety of products to • One price policy
support each products • Less flexible in
(SONY Community)
adjusting price and
• Economy of scales in promotion
term of Advertising.
Competitor Analysis
Strength Weakness
• Know-how in lens • Inventory shortage
• High brand awareness
and well-known in
camera market
• Good image
• Good quality product at a
reasonable price
• Get support directly from
Japan
Competitor Analysis
Strength
Weakness
• Lower price than other
competitors • Limited channel
• Rapidly brand awareness distribution (camera
• Economy of scale in term shop)
of Advertising • Low quality
• Schneider lens
• Thai menu
PENTAX By CMG
Company’s Background
Central Marketing Group
• “To Pursue for excellent” CMG is the
important core business of Central Group
acting with a role to be a market leader of
many leading brands by employing the
new management to provide the concrete
benefits and profits to trade partners,
staff, shareholders and society.
Company’s Background
• established in 1947, by Mr. Tiang
Chirathivat a general merchandise
store in a wish to sell imported good
quality products from other countries.
• Central Group has defined business
into 5 core businesses. And CMG is the
fifth categories in Trading & Marketing
Business which managed by Mr. Pichai
Chirathiwat on Feb 2002.
Company’s Background
• CMG is covered the business area in
manufacturing, trading and marketing.

• At present, CMG is divided into two groups:

1.Factory Group is manufacturing
products under international licenses and
own brands
2.Trading and Marketing Group is
distributed both imported and domestically
manufactured products throughout the
country.
Company’s Background
• CMG has 5 categories of products :
1. Apparel
2. Cosmetics
3. Watches
4. Electrics
5. Miscellaneous
Company’s Background
• When electrical appliances and cameras
was imported under the name of “Central
Trading Store”, it is a critical step in
expanding various types of their
business.
• DSC Brands in Photographic
Department
1. Pentax
2. BenQ
Marketing Plan
Sales Objective:
To achieve sales 50 MB for new model.
Product
• There are 6 new upcoming models, launching on
this October
• The selling points are Resolution and Design
Optio S50
Specification : 5 Mega Pixels
3X Optical zoom
2.6X Digital zoom
1.8 inch LCD Monitor
Price : 14,000-15,000 Baht
Target Group : Mass
Availability : Early October
Optio S5i
Specification : 5 Mega Pixels
3X Optical zoom
4X Digital zoom
1.8 inch LCD Monitor
Price : 17,000-18,000 Baht
Target Group : Working Women
Availability : Early October
Optio X
Specification : 5 Mega Pixels
3X Optical zoom
8X Digital zoom
2 inches swiveling LCD
Price : 15,000-20,000 Baht
Target Group : Gen X, Gen Y
Availability : Mid October
Optio SV
Specification : 5 Mega Pixels
5X Optical zoom
4X Digital zoom
1.8 inches LCD Monitor
Price : higher than 18,000 Baht
Target Group : Mass
Availability : End October
Optio MX4
Specification : 4 Mega Pixels
10X Optical zoom
10X Digital zoom
1.8 inch swiveling LCD
Strange design, Hi Tech
Price : >30,000 Baht
Target Group : Working men
Availability : End October
Optio 750Z
Specification : 7Mega Pixels
5X Optical zoom
8X Digital zoom
1.8 inch swiveling LCD
Classic Design
Price : >30,000 Baht
Target Group :
Availability : Early October
Distribution
4 main distribution channels:
• Modern Trade : Power Buy, Mega Universe,
Super Sport, etc.
• Photo Shop : Big Camera, Photo Hut,
World Camera
• IT Shop : Data IT, IT City
• Others : King Power, Internet
Promotion
• Budget 4 % from sales forecast
(Sales Forecast 2004 is 135 MB.)

• Marketing budget 1.5 MB for new

model
Promotion
Activities Oct. Nov. Dec. Jan.05 Feb. Mar.

-Camera Magazine
Advertising -IT Magazine
-Thairat

-Trade -Premium -Trade -Price Off

Sales Promotion Promotion
Promotion -Premium

-Press release
PR
Promotion

Advertising (Media Plan)

• Camera Magazine Budget .15 MB
New Product Testing
• IT Magazine Budget .15 MB
New Product Testing
• Newspaper Budget .32 MB
Thairat
Promotion

Sales Promotion (directly to dealer)

• Premium (CMG brand)
• Trade Discount

Event Budget .6 MB
• Com Mart

PR
What next?
• Market Size is expected to grow by 30 %
- 585,000 cameras in 2005
• Growth rate in 4-5 MP
• No. of >6 MP will increase
• Decline in 2-3 MP
What next?
• Two technologies of image censor:CCD
and CMOS
• CMOS which is the revolution of CCD
(Charge-Coupled Device, invented by Bell
Labs, 1960)
• New CMOS: Higher resolution
• New CMOS: Require less power
consumption
TVCF
Thank You