Logitech 2014 Annual Report Download - page 176

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Remotes
Our retail Remotes category comprises our Harmony remotes.
During fiscal year 2014, retail sales of Remotes decreased 6% and units sold decreased 23%, compared to
fiscal year 2013. The decrease in Remotes was primarily concentrated in our high-end and low-end products,
partially offset by increases in our mid-range product lines. New products such Harmony Ultimate and Harmony
Smart Control contributed to 58% of total retail sales of Remotes for fiscal year 2014. The higher decline in units
sold reflected our strategic shift away from the low-end products.
During fiscal year 2013, retail sales of Remotes decreased 21% and units sold decreased 37%, compared to
fiscal year 2012. The decrease was concentrated in the low and mid-range remotes, which decreased 39% and 66%,
respectively. The high-end remotes decreased 7%; however we launched Harmony Touch in October 2012, our first
new high-end remote in over four years. The significant decrease in units sold, relative to retail sales, primarily
reflects the transition away from selling low end remotes to mid to high-end remotes.
Non-Strategic
This category comprises a variety of products that we currently intend to transition out of, or have already
transitioned out of, because they are no longer strategic to our business. Products currently included in this category
include TV camera, Digital Video Security, TV and home speakers, Google TV products, and Keyboard/Desktop
accessories.
During fiscal year 2014, retail sales of this category decreased 57% and units sold decreased 64%, compared
to fiscal year 2013.
During fiscal year 2013, retail sales of this category decreased 46% and units sold decreased 37%, compared
to fiscal year 2012.
OEM
During fiscal year 2014, OEM sales and units sold remained flat compared to fiscal year 2013.
During fiscal year 2013, OEM sales decreased 24% and units sold decreased 12%, compared to fiscal
year 2012. These declines were primarily due to lower sales in pointing devices and the keyboard/desktop category.
Video Conferencing
During fiscal year 2014, video conferencing sales decreased 12% compared to fiscal year 2013. The decrease
was primarily due to a combination of a changing industry landscape caused by a shift to less expensive, cloud-based
video conferencing solutions, an evolving Lifesize product line and challenges in execution experienced in all
geographic regions.
During fiscal year 2013, video conferencing sales decreased 7% compared to fiscal year 2012. The decrease
was impacted by the slowdown in the overall video conferencing industry, together with the competitive environment
in fiscal year 2013 and lower demand related to new product launches.
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