JVC 2006 Annual Report Download - page 18

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Americas
In the fiscal year under review, although we achieved robust sales of “Everio” hard disk
camcorders and DVCs, bolstered our lineup of HD-ILA hybrid projection TVs and
expanded sales channels for these products, and saw growth in the LCD TV market,
sales in the Americas remained unchanged from the previous fiscal year due to such
factors as lower sales stemming from contraction in the CRT TV market, the streamlining
of our DVD recorder offerings, and shrinkage in the audio market.
In fiscal 2007, JVC will bolster its channel strategies for each product. As for HD-ILA
hybrid projection TVs, the Company will raise the percentage of sets sold through ware-
house clubs as a key step in the rebuilding of display operations. Turning to video cam-
eras, which performed well in fiscal 2006, JVC will establish a strong position for these
products at leading and local mass market retailers to further expand sales.
Performance and Future Strategies by Region
Europe
In fiscal 2006, the European economy as a whole showed signs of improvement, and
the consumer electronics industry expanded roughly 6% from the previous year on the
back of growth in such products as flat-panel TVs and digital audio players. However,
there was double-digit, year-on-year contraction in all of the markets in which JVC
excels, including video cameras and home audio products. Although the Company
recorded major growth in sales of video cameras and LCD TVs, this was not enough to
offset such factors as a decline in sales of conventional audio products and CRT TVs
stemming from market shrinkage and the streamlining of DVD recorder offerings.
Accordingly, sales for the region fell 14% from the previous fiscal year.
In fiscal 2007, we will focus our sales activities in Europe on LCD TVs. We aim to
boost sales by strengthening our H/L strategy and increasing the percentage of sales
generated via buying groups and independent retail chains. In addition, we will work to
generate growth in sales of video cameras through the development of partnerships with
pan-European dealers and new sales channels, concentrating on “Everio” hard disk
camcorders.
16 Victor Company of Japan, Limited
Promotional bus tour for HD-ILA hybrid
projection TVs and “Everio” camcorders
JVC billboard in New York’s Times Square The Perfect Experience studio in New York
Outdoor advertising campaign in France
for “Everio” camcorders
Meeting for key dealers in Europe JVC Benelux B.V. sponsors MF1 driver
Christijan Albers