iPad craze spells profit for accessories makers
By Zhu Shenshen |
June 25, 2010, Friday
|
Print Edition
Print Edition
CASES, battery chargers, silicon protectors and other iPad accessories created a frenzy of interest at a recent electronics show in Shanghai, even though the new Apple tablet PC isn't yet available on the Chinese mainland and no date for its debut has been announced.
At least 20 exhibitors at the Electronics China Sourcing Fair, held in early June, showcase iPad accessories. Most of the gadgets, produced largely in the southern city of Shenzhen, are manufactured for export in what is proving a lucrative business for some Chinese electronics companies.
"Our leather (iPad) package costs 20 yuan (US$2.90) each, and the overseas retailers, our clients, sell the products at US$20 or even more," said one vendor who declined to be identified.
The iPad device, which debuted in the United States in April with a starting price of US$499, features Wi-Fi or 3G, Web navigating, electronic books and running applications that are created by others. The iPad, whose sales are expected to climb to 5.5 million units this year and 13 million next year, has a 9.7-inch screen, without a screen protection accessory and keyboard in the standard package.
Within 80 days since the iPad debut, Apple sold a total of 3 million iPads globally, which received a keen market response in the United States, Europe and Japan.
The market for iPod and iPhone accessories, including cases, headphones and chargers, totaled about US$3.7 billion worldwide in 2009, according to Piper Jaffray & Co. The iPad's debut will obviously boost the accessories market in 2010, analysts said, without hazarding an estimate of market size.
Cyoshin Japan Co, a Shenzhen-based firm that produces battery chargers and backup power for the iPhone in the Japanese market, started research and development on an iPad charger one month before the phone's debut in Japan on May 28, according to James Kan, president of Cyoshin.
Cyoshin showcases the iPhone backup power, under the brand of the Japanese carrier Softbank, which costs 4,000 Japanese yen (US$44). The iPad-related gadgets included a huge capacity 8,800-mAh (2 times of iPad battery capacity) mobile power backup and a 2-in-1 iPad charger and back-up power (1,400 mAh). No retail prices were available.
"We have got orders from Japanese IT retailers, and the products will be sold near the new iPads in the Japanese market," Cyoshin staff told Shanghai Daily during the exhibition.
The cases designed for the iPad, made of leather, silicon or a chemical material called PVC, feature customized pictures and logos.
"It's a booming business, though iPad is not here in China," said a staff member from Shenzhen Reflying Electronics Co. "We sell about 100,000 iPod/iPad cases each months to the United States, Australia and Europe."
An anti-scratch, anti-glare, dust-proof and waterproof screen protector was also on exhibit during the Shanghai fair, with a price tag of about 15 yuan.
The iPad will come to China one day, and many people already have bought the new Apple device from offshore sources, said the Reflying staffer.
On the other hand, Chinese electronics firms may find their profits from iPad accessories limited. Like other labor-intensive industries in China, they suffer from a lack of innovation and branding in international markets.
According to a Shanghai Daily survey, most made-to-order iPad accessory makers sold iPad cases at between 20 yuan and 25 yuan each, depending on volume. That's much lower than the retail price.
On the US Apple online store, the iPad case sold for up to US$59. US-based Belkin had several models with prices between US$39 and US$49.
Brand development remains a big issue for companies such as Shenzhen-based Colorskin. The company doesn't sell its products under its own brand overseas.
In Asia, companies often start out by manufacturing under foreign brands before they evolve into their own brand development, especially for those Taiwan firms such as ASUS and BenQ, analysts said.
"It's a long process," said Wang Ning, the China Electronic Chamber of Commerce. "The point is to have the brand awareness among Chinese firms."
Besides cases and chargers, other innovative iPad accessories have already been developed overseas, including iClothing - an iPad-compatible T-shirt and a little black dress to "store your iPad on the go."
At least 20 exhibitors at the Electronics China Sourcing Fair, held in early June, showcase iPad accessories. Most of the gadgets, produced largely in the southern city of Shenzhen, are manufactured for export in what is proving a lucrative business for some Chinese electronics companies.
"Our leather (iPad) package costs 20 yuan (US$2.90) each, and the overseas retailers, our clients, sell the products at US$20 or even more," said one vendor who declined to be identified.
The iPad device, which debuted in the United States in April with a starting price of US$499, features Wi-Fi or 3G, Web navigating, electronic books and running applications that are created by others. The iPad, whose sales are expected to climb to 5.5 million units this year and 13 million next year, has a 9.7-inch screen, without a screen protection accessory and keyboard in the standard package.
Within 80 days since the iPad debut, Apple sold a total of 3 million iPads globally, which received a keen market response in the United States, Europe and Japan.
The market for iPod and iPhone accessories, including cases, headphones and chargers, totaled about US$3.7 billion worldwide in 2009, according to Piper Jaffray & Co. The iPad's debut will obviously boost the accessories market in 2010, analysts said, without hazarding an estimate of market size.
Cyoshin Japan Co, a Shenzhen-based firm that produces battery chargers and backup power for the iPhone in the Japanese market, started research and development on an iPad charger one month before the phone's debut in Japan on May 28, according to James Kan, president of Cyoshin.
Cyoshin showcases the iPhone backup power, under the brand of the Japanese carrier Softbank, which costs 4,000 Japanese yen (US$44). The iPad-related gadgets included a huge capacity 8,800-mAh (2 times of iPad battery capacity) mobile power backup and a 2-in-1 iPad charger and back-up power (1,400 mAh). No retail prices were available.
"We have got orders from Japanese IT retailers, and the products will be sold near the new iPads in the Japanese market," Cyoshin staff told Shanghai Daily during the exhibition.
The cases designed for the iPad, made of leather, silicon or a chemical material called PVC, feature customized pictures and logos.
"It's a booming business, though iPad is not here in China," said a staff member from Shenzhen Reflying Electronics Co. "We sell about 100,000 iPod/iPad cases each months to the United States, Australia and Europe."
An anti-scratch, anti-glare, dust-proof and waterproof screen protector was also on exhibit during the Shanghai fair, with a price tag of about 15 yuan.
The iPad will come to China one day, and many people already have bought the new Apple device from offshore sources, said the Reflying staffer.
On the other hand, Chinese electronics firms may find their profits from iPad accessories limited. Like other labor-intensive industries in China, they suffer from a lack of innovation and branding in international markets.
According to a Shanghai Daily survey, most made-to-order iPad accessory makers sold iPad cases at between 20 yuan and 25 yuan each, depending on volume. That's much lower than the retail price.
On the US Apple online store, the iPad case sold for up to US$59. US-based Belkin had several models with prices between US$39 and US$49.
Brand development remains a big issue for companies such as Shenzhen-based Colorskin. The company doesn't sell its products under its own brand overseas.
In Asia, companies often start out by manufacturing under foreign brands before they evolve into their own brand development, especially for those Taiwan firms such as ASUS and BenQ, analysts said.
"It's a long process," said Wang Ning, the China Electronic Chamber of Commerce. "The point is to have the brand awareness among Chinese firms."
Besides cases and chargers, other innovative iPad accessories have already been developed overseas, including iClothing - an iPad-compatible T-shirt and a little black dress to "store your iPad on the go."
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
