Locally-made Television dominating Bangladesh market: Survey

[Bilal9]

• BSS
• 22nd November, 2021 08:25:08 PM

Locally-manufactured products are dominating country's television-market, holding 52 per cent of its total market share whereas, just a decade ago, Bangladesh was almost fully dependent on imported television to meet its demand.

Of the 52 per cent, "Walton" holds a lion share of 25 per cent while Minister, Vision, Jamuna and other local manufacturers occupy the rest percentage, according to a survey, conducted by Marketing Watch Bangladesh (MWB), A Dhaka University based non-profit organisation.

However, home-made products will be able to occupy 70-80 per cent of total market share very soon, if the grey market can be brought under control through taking proper action and formulating rules and regulations as it has been reaming as a concerning issue for whole industry.

The findings of the research were unveiled today at a press briefing held at the conference room of Dhaka University Marketing department.

The grey market products-holding estimated market share of 20 per cent-consist of counterfeit (sticker-based) overseas products and brands coming through unauthorized channels by false declaration which make the active players in the industry very much uncomfortable and a bit scared.

Currently, "Walton TV" is the market leader in the industry, holding more than 25-26% market share while the market is highly fragmented, competitive, and saturated as a wide range of international brands have also penetrated the market and made the market intensely competitive along with some counterfeit (sticker-based) overseas sub-par brands.

Among all the international and local players, "Samsung" is highly likely to emerge as a potential competitor in the upcoming years because of its special focus on R and D and competitive advantage of TV production in the domestic plant.

Among the local brands, "Vision" is likely to do well in the upcoming days due its strong distribution networks, although its current market share is not up to the mark.

The research team was consisted of Marketing department chairman and also co-founder of the MWB Prof Mizanur Rahman and another MWB co-founder Associate Prof Md Nazmul Hossain.

The researchers came to the result after conducting direct interviews of 2439 television users from eight divisions while 2273 feedback from the websites of five Television company and 496 feedback from a closed group 'Electronics Product Review Bangladesh' were taken for sentiment analysis.

The television industry in Bangladesh has seen a rapid growth since the last two decade and the tendency of purchasing television has increased at a large scale in both rural areas and urban cities, for affordable price.

 

[Saiful Islam]

Hats off to the Bangladeshis for supporting their very own.

 

[mb444]

• BSS
• 22nd November, 2021 08:25:08 PM

Locally-manufactured products are dominating country's television-market, holding 52 per cent of its total market share whereas, just a decade ago, Bangladesh was almost fully dependent on imported television to meet its demand.

Of the 52 per cent, "Walton" holds a lion share of 25 per cent while Minister, Vision, Jamuna and other local manufacturers occupy the rest percentage, according to a survey, conducted by Marketing Watch Bangladesh (MWB), A Dhaka University based non-profit organisation.

However, home-made products will be able to occupy 70-80 per cent of total market share very soon, if the grey market can be brought under control through taking proper action and formulating rules and regulations as it has been reaming as a concerning issue for whole industry.

The findings of the research were unveiled today at a press briefing held at the conference room of Dhaka University Marketing department.

The grey market products-holding estimated market share of 20 per cent-consist of counterfeit (sticker-based) overseas products and brands coming through unauthorized channels by false declaration which make the active players in the industry very much uncomfortable and a bit scared.

Currently, "Walton TV" is the market leader in the industry, holding more than 25-26% market share while the market is highly fragmented, competitive, and saturated as a wide range of international brands have also penetrated the market and made the market intensely competitive along with some counterfeit (sticker-based) overseas sub-par brands.

Among all the international and local players, "Samsung" is highly likely to emerge as a potential competitor in the upcoming years because of its special focus on R and D and competitive advantage of TV production in the domestic plant.

Among the local brands, "Vision" is likely to do well in the upcoming days due its strong distribution networks, although its current market share is not up to the mark.

The research team was consisted of Marketing department chairman and also co-founder of the MWB Prof Mizanur Rahman and another MWB co-founder Associate Prof Md Nazmul Hossain.

The researchers came to the result after conducting direct interviews of 2439 television users from eight divisions while 2273 feedback from the websites of five Television company and 496 feedback from a closed group 'Electronics Product Review Bangladesh' were taken for sentiment analysis.

The television industry in Bangladesh has seen a rapid growth since the last two decade and the tendency of purchasing television has increased at a large scale in both rural areas and urban cities, for affordable price.

Excellent news.... Walton really has been a pathfinder company that has ushered in a dawn of consumer goods manufacturing in the country that is opening up opportunities for others as well. They are literally dragging everyone upwards..

Now we must concentrate on making some needles as per our resident indian nutjob...

 

[Bilal9]

Excellent news.... Walton really has been a pathfinder company that has ushered in a dawn of consumer goods manufacturing in the country that is opening up opportunities for others as well. They are literally dragging everyone upwards..

Now we must concentrate on making some needles as per our resident indian nutjob...

Yes - Needles should be in the list of locally value added goods, but only a handful of companies globally (Half a dozen or less) have cornered that global market. It is a highly automated production process with proprietary machinery and quality control. I have posted on this many years ago.

Unfortunately, there is almost zero market for third rate needles. You either make the best of the best or you don't. For both household and industrial needles.

Any 3rd world country can set up needle-making plants, does not mean their needles will sell.

https://schmetzneedles.com/ is one of the most famous German makers.

https://organ-needles.com/english/ in Japan is another one.

I respect @bluesky bhais opinion, but to invest in a capital intensive industry like this in Bangladesh (as opposed to labor intensive, which is our forte of value addition) is risky and not profitable enough - unless Bangladesh govt. says tomorrow that it will stop import of all sewing needles from overseas. And then - again, we will only have a captive market for needles for a few years, until Garments industry leaves for cheaper shores in say 15~20 years.

Ditto for sewing machines, which are made in China at costs lower than that if we produce in Bangladesh. There are myriad reasons for this....

These investment decisions are made by hard-nosed local business-people who put their money on-the-line and at-risk, and they will only do it when there is ample prospect of profit. It has little to do with technological capability or mental aptitude.

At some point, Organ-Needles or Schmetz may have transferred production to Bangladesh - but they have not. Though we are the second largest apparel exporter country in the world.

Why would they, since Bangladesh govt. has not increased tariff on needle imports and encouraged local production? It is Bangladesh govt. policy that is at fault. Half-educated BCS ahammuks in our govt. are clueless on what to encourage using tariff policy.

BTW Organ Needles has facilities in Vietnam, Shanghai and Chongqing. Don't know about Schmetz. Tariff policies in those countries helped establish this industry there.

@bluesky bhai is correct that we have a bunch of uneducated gadha idiots in govt. who have not created a tariff structure to encourage local investments in making of industrial inputs for apparel. The tariff revisions that encouraged the growth of the local motorcycle and cellphone industries are ample evidence that this will work. However these were "happy accidents" that Hasina is now taking full credit for. More needs to be done.

 

[bluesky]

Yes - Needles should be in the list of locally value added goods, but only a handful of companies globally (Half a dozen or less) have cornered that global market. It is a highly automated production process with proprietary machinery and quality control. I have posted on this many years ago.

Unfortunately, there is almost zero market for third rate needles. You either make the best of the best or you don't. For both household and industrial needles.

Why only needles? BD companies must produce all kinds of sewing machines or ask foreign companies to build factories on our soil.

But, as far as I know, producing varieties of needles itself is a difficult job. I am not sure, but the steel for needles is difficult to produce without knowing the constitution of the needles. By random check, I got the following information from the wiki, and producing this thing is not like a plastic toy. The raw material is an alloy of many metals.

"The majority of sewing machine needles are made of various grades of hardened steel coated with either nickel or chromium, though certain specialty needles are coated with titanium nitride on top of chromium".

"Titanium nitride is a reflective golden-colored ceramic material which reduces abrasion allowing the needle to stay sharper longer and last many times longer than other varieties. The titanium does not make the needle any stronger in regards to bending, however, and such needles will bend and snap just as easily as any other".

"Nickel plating is the least expensive and least durable form of plating. Chrome plating lasts longer and gives better abrasion resistance. Titanium nitride on top of chromium is the most expensive and is superior in performance to both chrome and nickel".

 

[Abu Shaleh Rumi]

Hats off to the Bangladeshis for supporting their very own.

Well, it has nothing to do with supporting deshi companies. Bangladeshi companies does make good cost to performance ratio TV, Fridge, AC, Oven, etc. They also offers easy instalments...

 

[Maarkhoor]

Hats off to the Bangladeshis for supporting their very own.

60 TO 70 % parts imported from China including chips, screens etc but still a good progress.

 

[UKBengali]

60 TO 70 % parts imported from China including chips, screens etc but still a good progress.

Not screens anymore.

All screens are designed and made locally, including 4K panels.

 

[Maarkhoor]

Not screens anymore.

All screens are designed and made locally, including 4K panels.

In that case best of luck....

But brother still doubt it...might be China provided manufacturing plants.

 

[Abu Shaleh Rumi]

Not screens anymore.

All screens are designed and made locally, including 4K panels.

Walton doesnt make display panels from scratch. They assemble them with parts and machineries sourced from various countries...

 

[UKBengali]

Walton doesnt make display panels from scratch. They assemble them with parts and machineries sourced from various countries...

They do indeed. @Bilal9 has posted many videos on this.

Yes the machines are sourced but both the design and manufacturing is done from scratch.

I do not have those videos to hand but check this out:

Walton declares 5-year guarantee for TV panels

Bangladeshi brand Walton has extended its replacement guarantee for...

www.unb.com.bd

There is no need for "clean rooms" if you are just assembling.

@Maarkhoor

 

[Tom-tom]

Excellent news.... Walton really has been a pathfinder company that has ushered in a dawn of consumer goods manufacturing in the country that is opening up opportunities for others as well. They are literally dragging everyone upwards..

Now we must concentrate on making some needles as per our resident indian nutjob...

Why is he so obsessed with needles? Has it got to do with any recreational habits ?

 

[Bilal9]

In that case best of luck....

But brother still doubt it...might be China provided manufacturing plants.

The equipment is almost all EU-sourced. The integrator and training provider was EU-based as well (Norway I believe).

 

[Bilal9]

60 TO 70 % parts imported from China including chips, screens etc but still a good progress.

Parts are sourced from where most economical, whether China, Japan and Korea. Screens are made locally.

Just like they do in China itself. Not all items such as SoC and Chipsets are available from China though SMD components are.

Walton have a brand-name and a reputation to protect.

Why are you looking down your nose at products made in a specific country??

Every country has good/bad manufacturers, depends on manufacturer itself, not specific countries.

I know of items made in China that far exceed quality levels of those from Japanese mfrs., and they are priced accordingly.

The day when you could say Chinese products are cheaper and therefore of low quality is over.

Why is he so obsessed with needles? Has it got to do with any recreational habits ?

He was illustrating the low level of industrialization in Bangladesh and using lack of production of needles as an example.

Bangladesh govt. folks, thanks to their own lack of foresight (and also because of Indian businessfolk banya lobbying) had kept the market of 160 Million people completely open to Indian imports by providing no tariff barriers to Indian products. For fifty years India made our market their captive market, which thankfully is coming to an end.

 

[Bilal9]

Walton doesnt make display panels from scratch. They assemble them with parts and machineries sourced from various countries...

Well that doesn't gel with what I know from interviews with Walton employees about their clean room.

Making LED/LCD screens from scratch means having a facility to assemble various layers of screens and light emitter back-ends. Walton HAS invested in that facility (clean rooms). These are the layers. Components of each layer are probably imported from the best suppliers overseas, which is fine. The value addition is in integrating all these layers into a single screen and controlling quality, which you have full flexibility of. The components of each layer are mass-market industrial items, which are not economical enough in the quantities needed to make in Bangladesh to make in Bangladesh locally. Someday they will invest in making these components too, if volume warrants. Right now this level of backward integration is fine and profitable.

Why is it so difficult to believe that Bangladesh can have a facility like this?

All you need is to invest in machinery for a clean room and train folks which I KNOW they have.

I am a little miffed at ''doubting thomas'' folks coming in here raising questions like this when they don't understand WALTON's scenario.

In that case best of luck....

But brother still doubt it...might be China provided manufacturing plants.

You are unaware about current industrial scenario in Bangladesh, especially electronics manufacture at Walton.