Vtech 2003 Annual Report Download - page 10

Download and view the complete annual report

Please find page 10 of the 2003 Vtech annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 54

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54

Message from Deputy Chairman
VTech Holdings Ltd
8
The financial year 2004 will mark VTech’s entry into the
China market, starting with the Electronic Learning
Products (ELP), an exciting development that I believe
offers great long term potential to become an important
growth driver for the Group.
Over the past 12 months, our R&D teams in Hong Kong
and mainland China have developed a range of products
specifically for this market. Sixteen products are ready for
testing the market in the financial year 2004.They cover
all three major ELP categories: electronic infant toys,
electronic pre-school toys and electronic learning aids.
The initial range is to be sold in the affluent Pearl River
Delta area in large department stores.To support sales,
VTech plans to launch a comprehensive marketing
campaign, beginning with a TV advertising campaign in
July and August 2003 that will capture the strong
purchasing power of the summer vacation period.This will
be supplemented by magazine advertising, point of sales
displays as well as participation at trade fairs and sales
fairs held in the department stores. Later in the financial
year 2004, our products will target to launch in Beijing, the
Chang Jiang River Delta Area and the Sichuan province.
All of these products reflect the 20-year heritage of VTech
in ELP. We develop our products to be both educational
and fun, applying advanced technology to make them as
interactive as possible. In doing so, we ensure a range of
designs to meet the learning needs of children of
different age categories.
Our strong focus on education with Chinese contents is
especially suited to mainland China, where tradition and
the policy of encouraging one child per family lead to a
great emphasis on children's education. VTech has strong
brand equity in global markets and in mainland China and
there is currently no dominant brand for educational
products.We are therefore confident that VTech has a
strong competitive advantage to maximize the
opportunities presented by this emerging market.
Albert LEE Wai Kuen
Deputy Chairman
VTech enters
the China market
Distribution
in large
department
stores
16 new
products