Already Struggling In The TV Market TCL Now Wants A Bigger Share Of The Appliance Market
Currently TCL is building a new $1.2 billion appliance plant in Hefei, China, they are also planning to launch appliances in the USA in what some observers claim will be a difficult task due to the Companies “poor marketing” in Western markets like Australia.
Recently the Chinese management sacked a local PR Company who was getting traction for them in Australia, they were replaced by an International PR Company who not only missed out several media consumer electronics Companies when launching their new 4K TV but have failed to syndicate any press releases this year.
The Chinese Company is banking on the fully-automated production line will be capable of pumping out 3 million washers and refrigerators annually by next year, and it will increase its capacity to 8 million units by the time it’s completed in 2017.
TCL said the plant will be the largest appliance factory in Asia and was conceived to meet rising worldwide demand for white goods.
“TCL has seen major growth in white goods, and this will allow the brand to keep up with this demand and also enter new markets a senior Company executive said at the weekend.
Despite operating the world’s largest LCD-panel factory, China Star Optoelectronics Technology (CSOT) the Company has failed to get traction for their TV’s in Australia.
Unlike Samsung, LG and Hisense who are engaging in high profile marketing and advertising TCL is relying on Harvey Norman who has positioned the brand as a “cheap” bottom end brand for consumers who don’t want to pay the asking price for an LG, Sony or Samsung TV.
During a visit to a Harvey Norman store recently a sales executive openly said that the TCL 4K TV was a “cheap” brand TV.
In the Australian market TCL will struggle to get traction in the appliance market especially from arch rival Haier.
They will also have to compete up against Electrolux who are merging with GE, Samsung and LG as well as Whirlpool.