Archived posting to the Leica Users Group, 2000/01/26
[Author Prev] [Author Next] [Thread Prev] [Thread Next] [Author Index] [Topic Index] [Home] [Search]Leica's best bet for a fast turnaround is to recapture market share in the camera business. Price, product and promotion are the only cures. They have, for the most part, the product. Now they need the price and promotion to fall into line. It is becomming harder and harder to be a high margin manufacturer. Leica needs to move toward higher volume manufacturing/sales. I believe this is where they are headed, and I am hopeful for their future. --> One problem is that the people who make it happen, the dealers, have a lot of other options that bring in just the same profits and, most probably, more, as they switch entry level customers to higher level models of competing brands that are far easier to sell, from a sales floor perspective. What factors make such easier to sell ? Antbody reading this has a personal opinion that would tend to go the same direction. Market responsiveness and appropriate reaction time are two of the less obvious factors. While Nikon designs, markets and SELLS containers full of wonderful Nikon EF400sv, while Konica designs "tomorrow's" point and shoot, design wise, the Konica Z-up 120VP, meeting enough world demand to be taken off the corporate website for now, and it probably shifted sales from more expensive models, Leica comes out with a Leica C1 "interesting collectible", that has very little to offer to a would be photographer looking for a simple dependable camera that makes "clear photos": the World is NOT a museum, especially not at retail sales ! Just the Leica C1's ludicrous micro-viewfinder, even worse than the Minilux's, is cause enough for concern about the sanity of the product managers at Leica ! Then they ask twice what it's really worth, market wise, with laughable specs, actual performances notwithstanding ! Where's the meat, Mr Leica ? Where's the meat ? What about a world-class Z3X -- three -- ... that banks on Leica optics' technology and newer manufacturing technologies and INSTANTLY gets ANY salesperson to propose it as an obvious "top dog" option, with some half-decent chance of scoring a sale rather than risk letting go of the precious customer to the across-the-street gray marketer for some "mystique" ? ! ? At times, one would think Leica responds to aristos and wanna-be's who need something to show they're still relevant but not to the market at large. While the competition drives van loads of new and easy-to-sell PROFITABLE models that owe that very "saleable" quality to intelligent and strategic product design based on marketing and consumers' real PHOTO needs rather than some antiquated "classic" worldview, witness the bad shape Leica is in just for that. It either sells or doesn't ! A warehouse full of "the world's best lenses" doesn't pay for the workforce's grocery and other bills ! That's all called "market forces". Leica needs a new product manager and a new marketing team who can manage to get past the M-line, and yesteryear's glories, put it on the line if need be [ ! ], revamp the bread-and-butter price points' offerings: Leica COULD make unquestionable winners by overcoming just that very "mystique" of past customers who simply aren't about to let go of a 5, 10 year old Leica M that works just fine to buy enough stuff to make Leica roll on its own ... quarter to quarter, or die out ! As proposed by others, LINE EXTENSION is one approach: one other such "factor". Leica slide scanners, Leica VIDEO pro- jectors (consumer levels then prosumer) are good ideas. How about entering the after-market lens sales with Leica "second tier" designs targeted for Nikon, Canon SLR bodies? How about Leica competing Sigma on Sigma's turf ? Or Cosina? Or Tamron ? Less pristine designs that would still make sense to the average Joe "checking out neat stuff" for his low priced plastic SLR ? My final word: V-A-L-U-E to present day shoppers. Leica wins a sale or looses a sale: that's as basic as it gets: REALITY. Let's never forget: incense darkens all idols ! Andre Jean Quintal