Get Connected Magazine : January/February 2014 by Get Connected Magazine

JAN/FEB 2014

gcmagazine.co.uk

T H E M AG A ZI N E O F T H E E L E C T R I C A L G O O D S I N D U S T RY

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THE BRITISH EMRAS The latest sponsors and supporters

GUEST COLUMN Beko Brand Manager George Mead “...the electrical industry has really woken up to the benefits of energy efficiency in the past few years”

SPOTLIGHT ON... The year of the mobile revolution

That’s real Britannia With exceptional quality, durability and innovative features across our entire range, Britannia is rightly a name the trade trusts. That’s because besides great margins, we offer a range of retailer benefits that no other company can match. Unlike other manufacturers, we employ our own drivers to ensure first-class delivery and our own service engineers for seamless aftercare; though with the build quality of an authentic Britannia, customers can look forward to years of trouble-free operation. It’s this craftsmanship and attention to detail that sells, but remember only the Britannia badge on the outside guarantees Britannia quality inside.

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ICIA

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Another series of energy price rises: bad news for the nation’s households, but an opportunity for kitchen appliance retailers

ICIA

THE GREEN ROOM

The message from television manufacturers is clear: this year’s models will be bigger, flatter, smarter…

TV IN 2014

Real margins, real innovations, real service

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Contents

Contents 04 06 16

GENEVA MODEL M WIRELESS

Editor in Chief: Marlinda Conway Telephone: 01420 886 33 marlinda@gcmagazine.co.uk

Creative Director: Will Dobson will@gcmagazine.co.uk

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Magazine Advertising Sales: Brian Shilling Telephone: 01892 677 741 brian@gcmagazine.co.uk

Advertisement Production Administration: Will Dobson Telephone: 01342 850 456 artwork@gcmagazine.co.uk

Sharon Maslen Telephone: 01892 677 742 sharon@gcmagazine.co.uk

Subscriptions & Circulation: (GCCD) Telephone: 01420 886 33 circulation@gcmagazine.co.uk

Editorial & Publishing Director: Terry Heath Telephone: 01420 886 33 terry@gcmagazine.co.uk

Production and Print: Blackmore Press, Shaftesbury, Dorset www.blackmore.co.uk

23 24 25 26

Annual subscription rate (inc. postage): UK £88; Overseas £108.

29 © Copyright 2014 Mud Hut Publishing Ltd. All rights reserved. Mud Hut Publishing Ltd. Greyfriar Cottage, Winchester Road, Chawton, Alton, Hampshire. GU34 1SB www.gcmagazine.co.uk No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, without the prior permission of the publisher. Get Connected is published by Mud Hut Publishing Ltd., Greyfriar Cottage, Winchester Road, Chawton, Alton, Hampshire GU34 1SB.

Editorial Comment The Word

In and around the industry

The British EMRAs

GC names the latest EMRA sponsors and supporters

The Product Gallery The Green Room

Go Green in 2014….

Guest Column

Beko Brand Manager George Mead writes about eco-efficiencies in white goods

George Cole Gets Connected

What next for digital radio?

Spotlight on...

Mobile shopping technology

TV in 2014

What’s in it for retailers this year?

From the Bench

Alan Bennett on Local TV

Backchat

A 2-minute interview with Karl Thomas, Product Director (Philex) and Director/ Founder (i-box)

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Editorial Comment

Comment The early days of 2014 have delivered cautiously optimistic economic statistics. No quick bounce-back for the UK, but the slow, difficult climb out of a long, deep financial trough does seem to be gaining traction. No comfort for the retailers and manufacturers in our industry who did not survive; but encouraging for those still standing – as long as they are fully committed to new ways of doing business in a sector that will never be the same again.

2014

is Get Connected’s tenth anniversary year, so this magazine has lived half its life in the shadow of severe economic conditions. We have, since our launch, encouraged retailers and manufacturers to embrace change, to take control of new consumer buying patterns rather than fall victim to them, and to use phenomena such as the Internet rather than fight against the inevitable. Practising what we preach, Get Connected has embraced the Internet as a fast, accessible, responsive and interactive way to communicate, share and comment upon our industry’s news. Thanks to all of you who have welcomed our new website, launched at the beginning of this year. Having an instant source of industry news – whether on smartphone, tablet, laptop or PC – is clearly what our readers want alongside the print version of Get Connected. And many are particularly appreciative of the links with social media Get Connected has sites that allow them to embraced the Internet as instantly augment, share, a fast, accessible, responsive and provide and comment upon news and information as it interactive way to communicate, happens. share and comment upon our But technology by itself is not the complete picture. industry’s news. Just like the bricks-andmortar retailer who uses connected technology to enhance the total offering, but knows great products and great service are still the essentials, Get Connected is still committed to the principle of high quality original content, delivered in an accessible format, and faster than the competition can manage. The commodity is the same. The means of delivery has expanded. Thanks also for the great industry response to the Electrical Manufacturing and Retailing Awards – the EMRAs, for which Get Connected is the trade media partner. A particular welcome to the latest sponsors and supporters who have joined EMRA since the beginning of the year (see page 15 for more details). The EMRA Awards night will be held on May 15th at the home of English Rugby – Twickenham Stadium. So there’s still time to enquire about sponsorship opportunities or to enter for an award. Visit www.EMRA-online.co.uk for full details.

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Marlinda Conway Editor in Chief

Terry Heath Editorial & Publishing Director

Will Dobson Creative Director

James McIntosh Consumer Consultant

George Cole Consumer Electronics Consultant

Database independently audited by Firgrove Consultancy. Average net 10 issues: 5,927 Mar 2012 – Feb 2013

The Word : Industry News

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Industry News January experiences record shop price deflation

verall shop prices reported deflation for the ninth consecutive month in January, accelerating to 1.0% from 0.8% in December, the deepest level since December 2006.

Food inflation slowed to 1.5% from 1.7% in December, while non-food deflation accelerated to 2.7% from 2.3%. Deflation in the electricals category decelerated to 1.8% in January from 3.5% in December.

ao.com aims for £1.2 billion valuation Online electrical retailer ao.com, formerly known as Appliances Online, is reported to be aiming for a £1.2 billion valuation when it floats on the London Stock Exchange later this year. The figure is three times the market capitalisation estimated when the company appointed advisers to assist with the flotation in September last year. According to reports, several investors told the FT that the retailer is now aiming to achieve a valuation of £1 billion to £1.2 billion, compared with the £300 million estimated in September. ao.com’s turnover reached £260 million for the year to March 2013 but is expected to rise to £400 million this year. Pre-tax profits were £7.2 million.

16% of UK SME e-retailers planning physical stores One in six UK SME online retailers are planning to combine clicks with bricks to boost sales in 2014 as online competition grows. A study by Royal Mail revealed that 16% of SME e-retailers expect to either open a physical store or to look for space within a store to increase sales in the coming year. 15% are also planning to expand by using online marketplaces to sell their goods. The Royal Mail said that, in total, 40% of the UK’s SME online retailers are planning to start trading from new channels in the coming 12 months.

Retail administrations down 6% on prior year New research by business advisory firm Deloitte shows that the number of retailers falling into administration in 2013 dropped by 6% compared with 2012. According to the report, 183 retailers entered administration in 2013, compared with 194 in 2012 and 183 in 2011. There was, however, an increase of 11% in the last three months of the year compared to the fourth quarter of 2012.

Lee Manning, restructuring services partner at Deloitte, said a high street “rebalancing” was reflected in the figures. “A year ago we were about to see HMV, Blockbuster and Jessops enter administration, but I would not expect as many high profile retail casualties this time round.” Manning added that this does not mean demand is increasing, “more that the clearout will benefit those still standing in 2014.” he said.

Hughes Electrical invests £1 million in new Great Yarmouth store The Hughes Electrical Group is investing over £1 million to build a new 5,500 sq ft state-ofthe-art store in Great Yarmouth. The outlet will be open for business early next year. Managing director Robert Hughes said the new store would enable the company to respond to the demands of customers who want easy access by car with free parking outside the store in order to collect items ordered online. “They also want to see a wide range of products on one level. Our new Great Yarmouth store will offer all of this which, sadly, our current store cannot,” he said. Hughes had been in discussions for some months regarding the development but

waited until after the Christmas trading period before making the final decision, in order to see how its existing store in the centre of Great Yarmouth performed. “Regrettably,” said Robert Hughes, “business was disappointing and we also had to take into account the fact that annual sales are now 20% lower than what was achieved a decade ago, despite the quality of our staff and customer service and the loss of key competitors such as Bennetts and Comet.

This sales performance is in stark contrast to our other stores.” He added that the company has been trading in the area for over 90 years and is totally committed to Great Yarmouth and its success. “In our opinion, such a big financial commitment is necessary if we are to be able to continue to serve our many customers for decades to come.” The retailer expects all contracts involved in the building and fitting out of the new store to go to local companies.

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The Word : Industry News

UK retail growth expected to hit six-year high UK retail is predicted to grow by 2.4% in 2014 with total spend reaching £324 billion. But despite this being the highest growth for six years, pickup will remain slow, held back by high personal debt levels, inflation and negative headwinds from other parts of the global economy. According to a new report by global business analytics firm SAS and retail analysts Conlumino, while UK consumers are feeling slightly more secure, the majority of the population still has a bleak outlook when it comes to personal finances, expecting essential living costs to rise sharply in the next six months. Only when disposable income begins to grow again is the recovery expected to really take hold. The report, entitled ‘Retail in 2014: Trends and Winning Strategies’, shows the home

will be one of the weakest performing sectors, reflecting the reluctance of shoppers to make big purchases in nonessentials. The home entertainment sector will experience the most significant fall in size over the next 12 months due to the continued shift towards digital distribution and, in particular, subscription services. “Over the next year we will see a shift from careful consumption to considered consumption as shoppers put perceived value rather than price at the core of purchasing decisions,” said Conlumino managing director Neil Saunders. “Demand is becoming more polarised, which means it is crucial for retailers to develop strong, tiered ranges with subbrands such as low, medium and high value product ranges that stand out in their own right.”

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Industry action by electricals sector could boost UK economy The UK electricals sector is to collaborate on new ways of working through a new initiative delivered by resource efficiency body WRAP and underpinned by the organisation’s new report, ‘Switched on to Value’. WRAP’s Sustainable Electricals Action Plan is being developed to bring together retailers and manufacturers of electrical and electronic products to explore and take action on opportunities that could boost the UK economy, such as encouraging the trade-in of used TVs, which alone could grow UK GDP by around £800 million per year. WRAP said it is estimated that UK householders have at least £1 billion worth of electrical and electronic equipment in their homes which is no longer used and the UK market value for trading pre-owned equipment could be worth up to £3 billion. The organisation is encouraging retailers adopt a trade-in model.

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The Word : Industry News

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Fagor parent Mondragon Corporation’s President resigns Spanish co-operative Mondragon Corporation has announced that its President, Txema Gisasola, has resigned and that it would open “a period of reflection” to plan its future. The move came two months after Mondragon’s white goods manufacturing business Fagor Electrodomésticos filed for bankruptcy.

“Txema Gisasola has resigned as President of the General Council, for personal reasons,” Mondragon said in a statement. “In the current situation of economic crisis, Mondragon Corporation believes it is necessary to undertake this period of ‘collective analysis, reflection and debate’ in order to tackle confidently the challenge presented by the global

New Loewe GmbH appoints MD Former Apple and Hewlett Packard executive Peter Orre has been appointed as the new Managing Director at New Loewe GmbH by the owners of parent company Panthera GmbH. Panthera GmbH is a group of investors comprising Munich-based entrepreneurs Constantin Sepmeier and Stefan Kalmund, former Apple and Bang & Olufsen executives and the Executive Board of Loewe AG, which in January reached an agreement to acquire significant parts of Loewe. As previously reported by GC, Loewe was granted permission to carry out a self-administration insolvency process early in October 2013 after filing for creditor protection in July. The company said the new owners want to bring the Loewe brand to a wider, younger, design- and tech-savvy base of customers throughout Europe, Russia and China. Matthias Harsch, who as CEO of Loewe AG has already laid important foundations for Loewe’s turnaround, will become co-owner of Panthera GmbH with responsibility for international expansion and the development of strategic partnerships.

Philips transfers remaining 30% stake in TV joint venture Philips is to transfer its remaining 30% stake in TP Vision, the television joint venture with TPV Technology, to a fully-owned subsidiary of TPV. The company said the signing of definitive agreements is expected to take place in the first quarter of 2014, with completion expected in the second half of the year, subject to regulatory and TPV shareholder approvals. The brand licence agreement with Philips will remain in place, with an annual royalty of 2.2% of sales payable by TP Vision to Philips. The minimum annual royalty has been reduced from €50 million to €40 million. The agreement includes a €50 million transaction-related payment.

FOR THE

economic crisis,” the statement continued. “The Corporation completely reasserts its trust in the Cooperative Model, as a driving force for generating wealth, and is firmly committed to the future of the community it is part of.” Mondragon said that Gisasola, in his farewell, vindicated the principles of “solidarity, effort,

Cevital Group in position to take over Fagor Brandt Shortly before this issue of GC went to press, the Algerian industrial conglomerate Cevital Group was reported to be poised to take over Fagor Brandt and leading the bids to purchase the French business, which filed an application for insolvency in November 2013. The news followed Fagor Brandt’s mid December announcement that all French manufacturing sites had reopened and production had been resumed. Should the deal go ahead, the Cevital Group, founded by Forbes 500-ranked billionaire Issad Rebrab, will retain the major factories in Orleans and Vendome and the French commercial offices in Paris, securing over 1200 jobs, but will not acquire the sites at Vendee la Roche and Aizenay. Production will be moved out of these sites to other factories.

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Cevital will also take ownership of Fagor Brandt subsidiaries in Switzerland, Singapore and the United Kingdom, together with assets abroad. Further offers for the purchase of Fagor Brandt have been received from Variance Technology, a French industrial business specialising in plastics, which would retain the Vendee la Roche and Aizenay manufacturing sites, and a bid has been made by Selni, a manufacturer of components for home appliances, which would retain the factory at Vendee La Roche sur Yon. The latter two bids would secure 200 jobs and are conditional to agreement with the buyer of the rest of the Group. A further announcement is expected to be made after the next hearing in Paris on 13th February 2014.

Samsung and CPW collaborate on new European store concept Carphone Warehouse has signed an agreement with Samsung to operate over 60 Samsung standalone stores across Europe. The move follows the successful opening in 2013 of three standalone outlets operated by Carphone Warehouse in Spain. The new stores will be rolled out in the next three months in seven European markets: UK, Ireland,

Germany, Spain, Portugal, Sweden and the Netherlands. All will have a premium look and feel and sell Samsung’s full range of mobiles, tablets, laptops and wearables. The companies also said there is potential to expand the relationship, with Carphone Warehouse acting as Samsung’s preferred partner across Europe and operating the majority of dedicated Samsung stores.

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competitiveness, technological innovation and commitment to the community” as cornerstones of the essence of Mondragon’s co-operatives and mainstays for the future. The new President of the General Council will be appointed when establishment of the new framework project for Mondragon has come to an end.

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The Word : Industry News

The revival of Grundig The presence of the Grundig brand of appliances on the UK market evokes a feeling of nostalgia – Creedence Clearwater Revival’s Bad Moon Rising belting out from the old Grundig reel-to-reel tape recorder; the recollection of a trusted name in consumer electronics, renowned for its quality and the production of products that people were proud to own. This major revival of the Grundig brand in the UK, in the form of kitchen appliances, is attributed to Beko, which launched a collection comprising cooling, laundry and dishwashing products at the backend of 2013 via Currys stores and www.currys.co.uk. So, Euronics retailers in the independent channel have the benefit and exclusivity of Beko’s Blomberg brand – and the perceived quality that German names induce – and the UK’s last standing, veritable multiple has exclusivity of the Grundig brand. Beko acquired Grundig in 2004 in partnership with Alba, after the German

company had been through a long series of difficulties that led to its insolvency in 2003. Beko later obtained a 100% stake in the firm. Grundig’s exceptional reputation for quality and reliability in consumer electronics survived during the arduous times prior to its acquisition. The brand has a heritage spanning almost 70 years and is well trusted throughout Europe. Nowadays its aim is to develop appliance solutions that “respond to the demands of contemporary living”, paying particular attention to the usability of products. According to Beko, Grundig’s intuitive design means that products are easy to use, with varied programming solutions that can intelligently manage energy consumption and deliver high levels of functionality. All appliances come with a five year warranty, demonstrating the brand’s confidence in product reliability and sturdy build design. The new collection has already received international acclaim, having gained 6 Red Dot Design Awards.

The Grundig Range

Dixons completes disposal of Pixmania Dixons Retail has completed the disposal of PIXmania S.A.S, its European pure-play e-tail arm, to German listed industrial holding company mutares A.G. The transaction, first announced in September 2013, involved Dixons providing approximately €69 million, which has been ring-fenced to support mutares' business plan to build on PIXmania’s pure e-commerce operations and for ongoing funding of the business.

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Rev Logistics launches in the UK with exclusivity for Manta TV brand Rev Logistics, a distributor of products including tablets, TVs and mobile phones, has launched in the UK and is targeting the independent electrical retail channel. The company is the exclusive distributor of the GoClever android tablet and mobile phone range and in December last year signed an exclusive distribution rights agreement with Polish TV manufacturer Manta. The Manta TV range will comprise LED TVs from 15”

to 50” with built-in Freeview, with a proposal in place for Freeview HD, Smart TV and 3D options. Adrian Fry, sales director at Rev Logistics, said the brand is a new opportunity

for traditional electrical retailers and it will not be sold to any of the major retailers or online giants. To support the launch of Manta, Rev Logistics has employed a dedicated team of knowledgeable, approachable sales staff, which Fry said are willing to go the extra mile to deliver quality service levels. For further information, telephone: 01202 810373 or e-mail: adrian.fry@revlogistics.co.uk

SHORTCUTS Gorenje UK Ltd has showed its support for Warrington Town Junior Netball Club by providing tracksuits for members of the club’s 11 teams in a £2,500 sponsorship deal.

Sky is to launch its biggest year of entertainment with a major new marketing campaign which, for the first time, gives everyone a chance to sample entire episodes of Sky shows online. The multi-million pound campaign highlights the range and quality of comedy and drama coming up on Sky in 2014 and is the largest ever launched for the company’s portfolio of entertainment channels. To watch the first episodes from some of Sky’s biggest shows, viewers can visit the brand new YouTube channel Sky First Episodes.

Amica’s newly developed App for its new brochure is available for android devices via the Google Store and IOS devices via the iTunes store, so the brand’s line up of built-in and freestanding appliances can now be viewed either online through a new page-turning brochure on the www.amica-international.co.uk website or off-line on tablets and smartphones.

John Lewis is planning to open a 45,000 sq ft ‘at home’ store in Horsham in the autumn of 2015. The outlet will be the third co-located site for a John Lewis ‘at home’ and Waitrose supermarket. The first combined scheme opened in Ipswich in October 2012 and plans for a second co-location in Basingstoke were announced earlier this year.

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Linsar white goods range now available in the UK TV company Linsar has announced that its new white goods range is now available in the UK, with products backed by a 3-year or 5-year warranty as standard. The collection comprises two washing machines, a fridge freezer and two British-made dryers, a vented model and a condenser model, and is aimed specifically at the independent electrical retail channel. For further details contact Linsar on 01202 723 330.

Almost half of all ‘showroomers’ go on to buy from a competitor A new study from user experience design agency Foolproof shows the extent to which high street retailers are losing out to digital, with more than a quarter (27%) of all UK shoppers in the run-up to Christmas 2013 using their mobile devices in-store to check prices elsewhere on goods they were about to buy. 44% of these showroomers went on to buy from another retailer, either in-store or online – a 22% increase on 2012 – while 56% bought from that same retailer, either in-store or online. The research also revealed that 16% of people went into a store just to checkout something they planned to buy online. Read the full story at www.gcmagazine.co.uk

Vibe Technologies looks for independent retail partners Audio equipment manufacturer Vibe Technologies, whose product collection ranges from Bluetooth and mobile audio accessories to headphones, has introduced a retailer recruitment drive, specifically targeting the independent channel. Managing Director Daryl Street said: “We will have a heavy amount of marketing support in 2014, with an aim to support independents and establish the Vibe brand. “We have a full range of audio products and every price point from £9.99 to £499.99, with many products totally unique in the marketplace.” Street said the Vibe business had been built on innovation and it is important to build good, strong foundations with independent retailers. “The company’s British engineering and design ethos help set it apart from many other manufacturers in the audio category,” he said. www.vibeaudio.co.uk

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The Word : Industry News

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Conventional household “smart” appliances involved in global cyber attack A global cyber attack involving more than 750,000 malicious email communications coming from more than 100,000 everyday consumer gadgets, such as homenetworking routers, connected multimedia centres, televisions and at least one refrigerator, has been discovered by security firm Proofpoint. The company said it believed it may be the first proven Internet of Thingsbased cyber attack involving conventional household smart appliances. The attack that Proofpoint observed and profiled occurred between 23 December 2013 and 6 January 2014 and featured waves of malicious emails, typically sent in bursts of 100,000 three times per day, targeting enterprises and individuals worldwide. More than 25% of the volume was sent by items that were not conventional laptops, desktop computers or mobile devices; instead, the emails were sent by everyday electronic household gadgets. David Knight, General Manager of

Proofpoint’s Information Security division, said: “Many of these devices are poorly protected at best and consumers have virtually no way to detect or fix infections when they do occur.” Proofpoint said that while IT experts have long predicted security risks associated with the rapidly proliferating Internet of Things, this is the first time the industry has reported actual proof of such a cyber attack involving common appliances, but it will likely not be the last. Michael Osterman, principal analyst at Osterman Research, commented: “Internetenabled devices represent an enormous threat because they are easy to penetrate, consumers have little incentive to make them more secure, the rapidly growing number of devices can send malicious content almost undetected, few vendors are taking steps to protect against this threat, and the existing security model simply won’t work to solve the problem.” Read the full story at gcmagazine.co.uk

Moves Invision UK has appointed Kelly Smailes to its product management team as sales and marketing co-ordinator and David Bunnage to its team of regional sales managers. Whirlpool UK’s Ian Railton (pictured) has been promoted to General Manager, Northern Europe, responsible for the Nordics, UK and Ireland. Darren Harrison, former Head of Service for Northern Europe, has been promoted to Market Director UK. Ian Knight, former Channel Manager Retail, replaces Harrison.

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UK Warranty, the joint venture between Leedsbased specialist insurer UK General and domestic appliance service and support provider Pacifica Group, has appointed Nicola Sumner and Jon Negri as new board members as part of growth plans for 2014, in which the company is predicting a 50% increase in turnover. Assurant Solutions has announced the promotion of Andy Morris (pictured) to the role of chief marketing officer of its European businesses, subject to regulatory approval, following its recent acquisition of the Lifestyle Services Group. He succeeds Cassio Stavale, who was appointed chief of business transformation following the acquisition of LSG.

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Fire at Coolectric facility destroys all stock A fire at the Coolectric warehouses and offices in Newport Pagnell on Wednesday 15th January destroyed all stock and severely damaged offices and buildings. Sixty firefighters and officers were called to the blaze in Renny Park Road, the cause of which Buckinghamshire Fire & Rescue Service confirmed was accidental. No-one at the scene was injured.Mark Bristow, Managing Director of Coolectric, Liebherr’s appointed importer, said the entire stock of 7,000 consumer and commercial refrigeration units in the warehouse had been completely destroyed and he was working with Liebherr factories to replenish stocks as soon as possible. New premises were quickly sourced to store and distribute the new stock as it arrived in the country.

ARGOS CREATES NEW DIGITAL ROLES AS LONDON HUB OPENS FOR BUSINESS Argos has opened a ‘Digital Hub’ in London with a view to attracting new talent for its digital team. The retailer said the office, located above its Vauxhall Bridge Road store, will focus on creating more agile and flexible ways of working and attracting new talent into the business. It will also be used as a satellite for teams involved in the firm’s major infrastructure projects. Roles currently being recruited include Product Managers, Development Managers, Digital Designers and Testers. Developers are also being sought and further roles will be recruited over the coming months. Argos Digital Director, Bertrand Bodson, said: “We want to unleash the entrepreneurial spirit I know to be at the heart of our business and which has meant that nearly 50% of our business now originates in a digital channel.”

Visit gcmagazine.co.uk for the stories behind the news… NEW SURVEY SHOWS THAT BRITONS “KEEP

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BRITONS SEE THE HIGH STREET AS

IMPORTANT SHOPPING DESTINATION

JOINT VENTURE BY LEADING EUROPEAN

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CI(H) APPEALS FOR BETTER MARGINS FOR

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DIXONS COMPLETES TRANSACTION BETWEEN

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NEW REPORT CLAIMS HIGH STREETS NEED

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NATIONAL PLANNING FRAMEWORK FAILS

TOWN CENTRES AND HIGH STREETS

The Word : Industry News

COMPAN¥ £INAN€IAL$ Electrolux

posted

billion and sales for the year

KRW 201.10 trillion in 2012

losses amounting to SEK 987

totalled $18.8 billion, up from

to KRW 228.69 trillion

million for the fourth quarter

$18.1 billion. Net earnings

in fiscal 2013. Operating

of 2013, around a third more

for the year rose from $401

profit increased from KRW

than analysts had predicted.

million to $827 million.

29.05 trillion to KRW 36.79

In the comparable quarter of

trillion. Samsung said its

2012 the company reported

performance was lifted by

BSkyB

profits of SEK 242 million.

posted

adjusted revenues up 7.6%

Q4 2013 sales fell from SEK

to £3.751 billion for the six

29,185 to SEK 28,891 million.

months ended 31 December

Full-year 2013 profits fell

the success of smartphones and tablets as well as robust demand for TVs.

Currys & PC World parent

Dixons Retail

reported UK & Ireland likefor-like sales up 5% in the period from 1 November 2013 to 4 January 2014, and a particularly strong postChristmas sale period. Internet-led sales grew by 23%. The Group traded

2013. Operating profit at

Argos and Homebase parent

ahead of its competitors

the firm fell 8% to £595

Home Retail Group said it expected

in Northern Europe, with like-for-likes up 2%, and

the same period last year.

to achieve full-year Group

was up 3%, driven by the

In the last 12 months, 3.8

benchmark profits towards

wholesale business, although

million paid-for subscription

the top end of the current

retail like-for-likes fell 8%.

products were added and HD

range of market expectations

passed the milestone of 5

of £90m to £109m, as a

million customers. Total net

result of a strong trading

fluctuations.

product growth across the

performance in the 18 weeks

company’s TV, telephony,

from 1 September 2013 to 4

Whirlpool Corporation

broadband and other services

January 2014.

more than 70% to SEK 672 million on sales of SEK

million. EBITA was flat, at

109,151, down slightly from

£813 million, compared to

full-year 2012 revenues of SEK 109,994. Electrolux President and CEO Keith McLoughlin said earnings declined due to headwinds in the European market

in Greece total sales growth

Sony

while sales at Homebase

posted thirdquarter sales & operating income of ¥2,412.8 billion and a net profit of ¥27 billion in the three months to the end of December, but forecast a net loss of ¥110 billion for

earnings of $181 million,

rose 4.7% to £464m. An

its financial year ending 31

up from $122 million in the

approximate 50 basis point

March, as opposed to the ¥30

gross margin decline at

billion profit forecast last

and significant currency

grew by 873,000 during the

reported fourth-quarter net

Argos grew 3.8% to £1,808m,

than analysts had predicted.

Samsung recorded

same period last year. Sales

Like-for-like sales at

second quarter, 100,000 more

rose from $4.8 billion to

a net profit of KRW 30.5

Argos, driven principally

October. The company also

$5.1 billion and operating

trillion (£17bn) for its 2013

by the sales mix impact

announced 5,000 job cuts

profit from $258 million to

fiscal year, up from KRW 23.8

from growth in electrical

along with the intent to sell

$354 million. Full-year 2013

trillion a year ago, despite

products, was partially offset

off its VAIO PC business and

operating profit increased

a fall in fourth-quarter

by a reduction in the level of

split its TV division into a

from $869 million to $1.2

earnings. Sales rose from

stock clearance activity.

separate subsidiary.

Get Connected Jan-Feb.pdf

20/01/2014

16:42

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JAN/FEB 2014 GET CONNECTED

The Word : Industry News

Big Red Sales sponsors retra’s 2014 Super Centre shows Repping company Big Red Sales is to sponsor industry body retra’s Super Centre meetings around the UK for the second year running. John Reddington, Director of Big Red, promised to “build upon the success of 2013” and said he would “look forward to even bigger and better meetings in the next twelve months.”

FOR ALL THE LATEST INDUSTRY NEWS

VISIT OUR NEW WEBSITE

RKW plans for future growth Midlands-based RKW has announced that it has exchanged contracts on the purchase of the former Royal Doulton/ Wedgwood Global Distribution Centre in Stone, Staffordshire. The £20m distribution centre will become the Global Fulfilment centre for RKW and will create 260 new jobs. RKW is part of European distributor of electrical and housewares products Sutton Venture Group and has a

portfolio of major brands, including Morphy Richards housewares, Tower, Akai, Carmen, Pifco, and Warmlite, and has over 3,000 product lines. It recently purchased the Tower brand from Russell Hobbs and intends to extend the brand’s portfolio. Managing Director Rob Sutton said RKW is making a significant investment in the future of the business. “From humble beginnings we have achieved phenomenal

successes and we are now ensuring we have the infrastructure in place as we plan for future growth. “It was essential the business consolidated its operating bases to remain efficient, and the new 250,000 sq ft facility will ensure we continue to accommodate the demands of our customers.” RKW said the new distribution centre will be one of the most advanced in the country and will be operational in spring 2014.

Dyson does away with the fuss of filters...

Beko launches KeepyUppy Challenge Beko, which enters its second season as The Official Home Appliance Partner of The FA Cup, has launched a new national challenge to encourage families and communities to become active, through a Keepy-Uppy competition. The Beko Keepy-Uppy Challenge will bring The FA Cup to local towns participating in forthcoming rounds of the competition, from now until the final at Wembley during May this year. Residents and schools in each town will be able to meet FA Cup Legends, have their photograph taken with The FA Cup and participate in the Keepy-Uppy Challenge to win exclusive prizes. Beko will make a donation to its charity partner Barnardo’s for every video entry received.

Dyson is launching a vacuum cleaner that completely eliminates filter maintenance and promises no loss of suction throughout the lifetime of the appliance. After 6 years of experimenting, 10 years of dust testing and 2,000 prototypes, the new filter-free Dyson Cinetic™ will arrive in stores in three versions: the Multi floor, £419; Animal, £459 and Animal Complete, £469. Dyson said the launch is one of its most significant advancements in technology since the very first Dyson DC01. Commenting on the development, James Dyson said the cyclones are so efficient there is “no washing and nothing to replace.” There are 54 cyclones in total in the new appliance. Investment in the Cinetic™ amounted to £7.5 million.

Exclusively Housewares gears up for 13th event The 13th edition of leading housewares trade show Exclusively Housewares is promising to be one of the best shows ever, according to the organisers. Show director Simon Boyd has confirmed that plans for the 2014 event are well underway. The show has a full line up of exhibitors and is planning ahead for expansion in 2015, which will

include the introduction of an additional hall dedicated to small domestic appliance exhibitors. Speaking about the 2014 show, Boyd said: “We have already researched and identified key overseas retailers we feel would be of particular interest to our exhibitors and approached them about attending the show in June. Plans for our industry networking summer party are well underway

JOHN LEWIS SPONSORS GLASGOW 2014 COMMONWEALTH GAMES

STOP PRESS…

John Lewis has announced it is to sponsor the Glasgow 2014 Commonwealth Games, building on the success of the department store’s support of the 2012 London Olympics. As ‘Official Department Store Provider’ of the 2014 Games, the retailer will provide white goods and bedding for the Athletes’ village. Glasgow 2014 merchandise is also available to buy on johnlewis.com and, later in the year, dedicated Glasgow 2014 shops will open within John Lewis shops in Glasgow, Edinburgh and Aberdeen. The retailer’s sales of London 2012 official merchandise exceeded expectations by 25%, while sales of its own-brand celebratory range ‘Celebration of Britain’ were 44% higher than expectations. 14

GET CONNECTED JAN/FEB 2014

and the updated show website and full exhibitor listing is available for all our potential visitors to take a look at.” The 2014 Exclusively Housewares show will run at the Business Design Centre in London on Tuesday 10th and Wednesday 11th June. For further information: info@exclusivelyhousewares.co.uk or telephone 0121 237 1130.

Just as GC’s final news page was going to press, online domestic appliance retailer ao.com confirmed plans to raise £60 million by floating on the London Stock Exchange, putting an end to widespread media speculation (see page 6 of this issue). The retailer said it will make its stock market debut in March this year and will use the funds raised to grow its product range and evaluate European expansion opportunities, initially in Germany.

More big players join LATEST PARTNERS with Get Connected as sponsors of the British EMRAs are: BEKO

A major player in the white goods industry, and a household name across the country

D.A.D.

One of the UK’s most exciting and dynamic distributors

DOMESTIC & GENERAL

Leading warranty provider and proactive supporter of the electrical industry

GORENJE

Get Connected is pleased to announce

the latest confirmed partners in the British Electrical Manufacturing and Retailing Awards (the EMRAs), which will culminate with the Gala Awards Night and Presentations at Twickenham Stadium on May 15th 2014. The UK electrical industry and wider business community are putting together a world class team for this world class event. You can be part of it. LATEST SPONSORS OF THE EMRAS 2014:

An international brand widely respected for its iconic, groundbreaking design values and stylish innovation

WHIRLPOOL

A powerful name that has long been established as one of the world’s leading white goods manufacturers

There is still time for you to join this world class team, and be an integral part of the EMRAs celebration of British excellence at Twickenham Stadium on May 15th 2014. See the box below for contact details.

How you can be part of the EMRAs 2014

They’ll be at Twickenham on May 15th 2014 to celebrate the Best of British. There’s still time to join them.

By booking your individual place, or table(s), for a night of celebration, entertainment and networking at the British EMRAs 2014 on May 15th. Tables are going fast, so don’t leave it too long to contact Brian Shilling or Sharon Maslen (details in box on this page) or visit the EMRAs website.

SUPPORTERS

By becoming a sponsor. Join the winning world class team, and enjoy the benefits of great brand exposure before, during and after the event. (See contact details in box).

Coombs Property Developments, Crown Domestic Appliances, Daewoo, Kingsholm – the home of Gloucester RUFC, Oval Insurance and Posh Pig Promotions

As well as sponsorship participation from the major players listed here, the EMRAs has secured commitment from these supporters:

By entering for one of the EMRA Awards. It’s easy to enter, it’s free, and there are categories to suit all manufacturers and retailers. Who knows, it could be you on May 15th going onstage to receive your trophy as a champion in the home of champions. Just visit the EMRA website at www.emra-online.co.uk for a full list and explanation of categories and how to enter. The Six Nations, billed as “Rugby’s Greatest Championship”, is a great curtain-raiser for the big event of the year at Twickenham Stadium – the British EMRAs 2014. Be sure to be part of it.

To discuss sponsorship opportunities and table bookings contact: Brian Shilling

01892 677741 brian@gcmagazine.co.uk

Sharon Maslen 01892 677742 sharon@gcmagazine.co.uk

or visit www.emra-online.co.uk for further information

These are the latest supporters who, along with our sponsors, want to be present at the home of English Rugby Union, where legends are made, on May 15th 2014 for the British EMRAs. Bookings for tables are still being taken, but with less than three months until the event, please do take action now to avoid disappointment. See the box on this page for contact details.

The Product Gallery

The

Gallery TEAC SL-D930 BLUETOOTH SPEAKER WITH CD/RADIO TEAC’s new 2.1-channel Bluetooth speaker with CD/ Radio combines modern audio technology with a fun design inspired by the chrome-adorned classic American cars of the 1950s. The unit is available in red, black, white and silver and will be available mid March 2014 at a suggested retail price of £199.

○ ○ ○ ○ ○ ○ ○

Wireless connection from smartphones, tablets, and laptops via Bluetooth® 2.1ch speaker system with individual speaker chambers Top-loading CD player compatible with CD/CD-R/RW and MP3/WMA formats AM/FM tuner with 20AM/20FM preset stations (RDS for UK/EUR models) On/off timer with snooze, digital clock with 2-step dimmer and sleep timer High performance, power efficient Class-D amplifier Front headphone jack and AUX in jack

08142 4208 141 www.teac-audio.eu

GENEVA MODEL M WIRELESS Geneva’s newest model, the Model M Wireless, updates the original Model M with DAB radio and Bluetooth streaming. The unit offers one-touch control via the cabinet or a remote handset and has a clear LED display. It is finished in real wood and available in piano gloss red, white, black or premium walnut, with optional floor stand. ○

Touch-sensitive buttons on cabinet top

○

Digital clock/alarm

○

Four amplifiers (Class AB) with total 60 watt RMS output power

○

Digital audio processing (DSP) with proprietary algorithms

○

Bluetooth 2.1 A2DP for wireless audio streaming; analogue audio input for external audio sources; stereo mini (3.5mm/⅛ inch) connector

SERVIS HYDRODRIVE WASHING MACHINES Servis’ new A+++ rated 8Kg washing machines, W814FLHD and W814FGHD, save water and power by accelerating the wash process via a HydroDrive dual injection system. The appliances use up to 60% less energy than standard A-rated models and just under 12% less water. Available in white, silver and black. ○ ○ ○ ○

0843 523 6344 www.genevalab.com

○

12-minute programme washes 2Kg of lightly soiled items at 30 degrees 20-degree Eco option / 60-degree Allergy Shield wash (UK Allergy Seal of Approval) 15 programmes include Sportswear, Easy Iron and Mix Wash cycle Interactive control panel W814FGHD features full graphic LCD display and offers 22 wash level options

01753 834552 www.servis.co.uk

BELLING BUILT-IN PYROLYTIC OVEN British cooking brand Belling has launched its first built-in pyrolytic oven, in the form of the 60cm built-in BI 60E PYR Sta multifunction appliance. The A-rated model’s interior is finished in pyrolytic enamel and the appliance is available in stainless steel or black. ○ ○ ○ ○

Cool-touch front / interlocks during cleaning cycle / catalytic filter removes fumes Touch controls Two shelves and five positions Nine cooking functions include grill, fanned grill, conventional electric oven, fanned oven, defrost, and intensive bake

0844 815 3735 www.belling.co.uk 16

GET CONNECTED JAN/FEB 2014

The Product Gallery

DAMSON ‘HEADBONES’ British audio company Damson says it has taken another audio advancement that moves beyond convention and intensifies music’s unique ability to be heard and felt, with Headbones™, the company’s first offering in the wireless headphone category. The speaker sits on the temporal bone, just behind or in front of the ear, and utilises the acoustic properties of the human skull and its natural ability to work in tandem with the inner ear. Features include: ○ ○ ○ ○ ○

Damson’s exclusive Incisor Diffusion Technology™ (IDT) Also includes removable, traditional in-ear buds that work in tandem with the IDT vibrations Compatible with any Bluetooth-enabled device Up to eight hours of music listening from a single charge Can be charged via micro USB when not in use

www.damsonaudio.com

LIEBHERR VINIDOR UWT 1682 WINE CABINET Liebherr’s new Vinidor UWT 1682 under-worktop wine cabinet reflects the trend for handless kitchens, with TipOpen technology opening the door when it is lightly tapped and a soft-closing system shutting it automatically. The appliance will launch in April 2014. ○ ○

CAPLE DD920BK DOWNDRAFT HOOD Caple has introduced a downdraft extractor with a mechanism that provides extraction at two different positions. At low level, the DD920BK has a tilt operation but also has the ability to rise up from the work surface into a vertical position. ○ ○ ○ ○ ○

Stainless steel and black glass finish 870mm width Illuminated touch controls with four speeds / LED strip light Four motor options Auto timer ensures extraction continues up to ten minutes after cooking

0117 938 1900 www.caple.co.uk

DIRECT FROM THE FRONTLINE Visit our brand new website for all the latest electrical product and technology news...

○ UPDATED DAILY gcmagazine.co.uk

○ ○ ○ ○

Holds up to 34 bottles Stores both red and white wine at ideal serving temperature Fully extendable wooden shelves MagicEye touch-screen control panel Dimmable LED lighting Low-vibration compressor

0844 122 655 www.myliebherr.co.uk

WITT WIF78SQW 78CM INDUCTION HOB WIF78SQW is part of a new collection of induction hobs from Scandinavian company Witt, which incorporate an automatic zone activation function that illuminates the corresponding slider control when cookware is placed on a zone. The hobs are equipped with finger-touch control and a timer that can be operated simultaneously on all zones. ○ ○ ○ ○ ○ ○

6 x induction zones, each with timer and 9 power levels Bridge between back and front zones Booster and double booster on each zone 3 preset cooking programmes (42°C, 70°C and 93°C) Maximum power 11.1kW Stop & Go function

01483 516 633 www.witt-ltd.com JAN/FEB 2014 GET CONNECTED

The Green Room

highlights, in particular, the common misconception that dishwashers are expensive to run and wasteful of energy and water. Washing dishes by hand uses considerably more hot water than a modern dishwasher, of course, but UK consumers have, in the main, been slow to grasp this fact. In a comparison of hand washing vs. machine washing it was found that a modern dishwasher needs about seven times less water than washing by hand. Maytag’s Juliana Sado, Senior Brand Marketing Manager, Northern Europe, remarks that consumer confusion about dishwashers is illustrated by the struggling adoption rates in the UK. “There is a huge disconnect with the consumer in their understanding of the water consumption of a dishwasher compared to washing-up by hand. Manufacturers and retailers have still much work to do to persuade people that a dishwasher is the most miserly way to wash the dishes. “It is often taken for granted that the refrigerator must be eco-friendly, whereas the dishwasher and tumble dryer are often thought to consume copious amounts of resources,” adds Sado.

Another year, another series of hefty price increases from the UK’s profiteering electricity and gas providers, so consumers enter 2014 in the knowledge that, yet again, they will need to dig much deeper into their pockets to pay their energy bills. Bad news for the nation’s households, but an opportunity for kitchen appliance retailers committed to communicating the ‘eco’ message, particularly in terms of money savings

the backend of 2013, a report from energy regulator Ofgem showed that the profits made by the ‘Big Six’ energy firms in supplying British households multiplied five-fold to more than £1 billion since 2009. The report followed a series of energy price hikes by the major suppliers, which sparked consumer anger and, according to Mintel, led to 46% of the UK population worrying that they would not be able to afford their energy bills. Ofgem said the Big Six pocketed an average profit of £53 per home in 2012, representing a profit margin of 4.3%, up from £30 (2.8%) in 2011. The figures showed that, together, British Gas, E.ON, EDF, npower, ScottishPower and SSE recorded underlying earnings before interest and tax of £1.19 billion in 2012, up from £681 million in 2011 and £221 million in 2009. Ofgem said: “Between 2009 and 2012, revenues rose by an average of 4% every year, while total costs rose by 2.7%. In other words, revenue has been growing about 50% faster than costs.” In November 2013 Energy Secretary Ed Davey said energy customers are “not just cash cows” to be squeezed to create 18

GET CONNECTED JAN/FEB 2014

bigger profits for shareholders. He added that people look at the big suppliers and they see a reflection of the greed that consumed the banks. He also told industry leaders they faced a “Fred the Shred” moment. Talk is cheap, and few believe that the Government’s huffing and puffing will make one iota of difference to the energy companies’ behaviour; after all, it had no effect on the conduct of the banks. Lana Sanleandro, Head of Marketing for Digital Appliances at Samsung UK, believes that energy prices are unlikely to go anywhere but upwards for quite some time. Therefore, the energy efficiency of domestic appliances will be “front of mind” for many consumers in 2014.

A good energy rating is good for your customers’ pockets.”

MISCONCEPTIONS

But why is it that some appliances/ categories stand out for consumers more than others on the eco-scale? And which products do consumers believe either do or don’t contribute to savings in ecoresources and money? Sophie Davidson, Head of Product Line Kitchen, UK & Ireland at Electrolux,

‘WET’ AND ‘COLD’

As far as protecting the environment and saving money are concerned, Managing Director of Hoover Candy UK’s Built-in Division Maurizio Severgnini says it is predominantly ‘wet’ appliances, “not just laundry models but dishwashers too,” which are perceived by consumers to provide the greatest potential for savings. “A variety of low temperature economy cycles, shorter programme times and large load capacities have helped consumers to economise and go green by offering shorter running times as well as cutting down on the number of washes.” Whirlpool believes that the appliance that stands out most in delivering energy savings is the refrigerator, as it runs 24/7, 365 days a year. UK Trade Marketing Manager Juan Pillay says: “The price of the weekly food shop is constantly on the increase and so consumers are looking for ways to ensure their food stays fresh for as long as possible, in order to reduce food wastage and save money.” But Liebherr MD Mark Bristow points out that UK consumers would still prefer to save money on the initial ticket price of cooling appliances rather than the

The Green Room

The A+++ rated Indesit Innex washing machine has a â&#x20AC;&#x2DC;Push and Washâ&#x20AC;&#x2122; button that turns the appliance on and starts a 50-minute wash programme at the same time

longer-term savings on running costs, replacement cycle and the relevance of their carbon footprint. Although he adds that â&#x20AC;&#x153;we will see a growing acceptance for energy-saving appliances, with the UK consumer beginning to recognise the benefits of the energy classes which have now increased from A+ and A++ up to A+++, where an A-rated appliance is no longer seen as green.â&#x20AC;?

COMMUNICATION

Whirlpoolâ&#x20AC;&#x2122;s Absolute refrigerator WBA 33992 NFC IX delivers an estimated total saving of over ÂŁ1600 (food wastage and energy) during the average appliance lifetime

According to a recent AMDEA report, the UK is one of the worst countries in Europe for energy saving, with only Greece lagging behind us. Commenting on what more could be done to consolidate and build on consumersâ&#x20AC;&#x2122; eco-consciousness, Hotpoint Marketing Manager Iain Starkey says: â&#x20AC;&#x153;Visibility of an applianceâ&#x20AC;&#x2122;s eco-credentials can play a major part in raising awareness. Energy labelling helps consumers to compare appliancesâ&#x20AC;&#x2122; energy usage and manufacturers can play their part, too. For example, selected Hotpoint products are factory-fitted with the Eco Tech symbol, which is Hotpointâ&#x20AC;&#x2122;s guarantee of class leading, environmentally friendly performance. Many Hotpoint appliances

also have eco-features and energy ratings printed onto the fascias.â&#x20AC;? Starkey also notes that next year, cooker hoods will come under the same EU labelling legislation as other appliances such as washing machines and dishwashers, so manufacturers will be required to display noise levels and energy-efficiency ratings, which will again help to raise consumer awareness. Although the energy label has been a common sight in showrooms since its introduction in 1995, Hoover Candyâ&#x20AC;&#x2122;s Severgnini believes it really only gives the consumer an â&#x20AC;&#x153;at-a-glanceâ&#x20AC;? evaluation of how efficient an appliance is. â&#x20AC;&#x153;There is more that needs to be done to build on consumersâ&#x20AC;&#x2122; eco-awareness in terms of the benefits delivered by energy- and water-saving products,â&#x20AC;? he comments. â&#x20AC;&#x153;Manufacturers can help with clear POS messages that explain the benefits and help clarify some of the messages on the energy label, such as the fact that actual energy consumption can differ significantly between products that have the same rating. For example, fridge freezers can have the same energy rating but can cost more to run because of their size. And the European test standards applied by manufacturers can be very different from the way in which consumers actually use their appliances. In the case of washing machines, the test for energy efficiency is based upon a 6kg, 60Â°C cottons cycle, yet we know that many consumers have larger capacity machines and wash much of their laundry at 40Â°C or even 20Â°C.â&#x20AC;?

MONEY TALK

A recent report by Mintel supports the view that consumers are concerned about energy efficiency, with 74% of respondents

believing that an appliance with an energy rating of A+ is essential. But when it comes to the crunch, Severgnini says that â&#x20AC;&#x153;encouraging consumers to part with hard cash for slightly more expensive ecomodels might be more difficult. Retailers can do their bit to help the eco-message to be clearly communicated,â&#x20AC;? he says. Hotpointâ&#x20AC;&#x2122;s Starkey agrees that retailers can help spread the word, and he adds that they should concentrate on appliance benefits rather than features and price. â&#x20AC;&#x153;Consumers know that changing technology gives them more

AMICA A+++ 9KG WASHING MACHINE As one of Europeâ&#x20AC;&#x2122;s fastest growing builtin and freestanding appliance brands, Amica is committed to developing resource-efficient appliances. The companyâ&#x20AC;&#x2122;s 9kg washing machine achieves A+++ for energy efficiency and is one of the most efficient on the market. The Amica AWN912DJ also features a large 33cm porthole which opens a full 150 degrees for easy manoeuvring of large 9kg family loads, along with a host of features and benefits and the added reassurance of a 2-year guarantee supported by Amicaâ&#x20AC;&#x2122;s own service network. Look for â&#x20AC;&#x2DC;Amica Kitchen Appliancesâ&#x20AC;&#x2122; in iTunes or Google Play and download Amicaâ&#x20AC;&#x2122;s new brochure App to obtain full details on all of the brandâ&#x20AC;&#x2122;s energyefficient appliances.

01425 461600 www.amica-international.co.uk

JAN/FEB 2014 GET CONNECTED

The Green Room

INTRODUCING THE FLEET RANGE COOKER FROM BRITANNIA... Premium kitchen appliance specialist Britannia has launched a new range cooker collection which includes the stunning, traditionally styled Fleet. Boasting an impressive range of professional features, the Fleet has been designed to the highest specification and will make a stunning focal point in any kitchen. The Fleet is available in a variety of configurations with options of a single or twin oven,

even in the XG model, which offers a dedicated grill compartment. The Fleet can also be selected with a five zone induction hob, which is extremely easy to clean, or a single-pressed six ring gas hob. This means that, as with all Britannia range cookers, the Fleet can be customised to perfectly match your customersâ&#x20AC;&#x2122; culinary requirements. The Fleet also features a full-size grill in every oven, nine-function cooking, Quickstart

Upgrade to a super energy-efficient A+++ features, but theyâ&#x20AC;&#x2122;re probably not so appliance and they could save almost aware of how technology is improving the ÂŁ100 per year. In no time at all their new performance of white goods and making fridge freezer will have paid for itself.â&#x20AC;? them more efficient and cheaper to â&#x20AC;&#x153;An eco-friendly appliance run. In these tough economic usually costs more at the times, the money that outset but the beneficial can be saved on utility energy- and waterbills by investing savings total up in an energyâ&#x20AC;Ścontrolling to hundreds of efficient appliance appliances with pounds during the is an important applianceâ&#x20AC;&#x2122;s lifespan,â&#x20AC;? message.â&#x20AC;? smartphone apps comments Maytagâ&#x20AC;&#x2122;s â&#x20AC;&#x153;A good energy or other devices is Sado. â&#x20AC;&#x153;It is important rating is good for for retailers to remind your customersâ&#x20AC;&#x2122; the next logical customers that the pockets,â&#x20AC;? states innovationâ&#x20AC;? buying price of an Electoluxâ&#x20AC;&#x2122;s Sophie appliance is only a portion Davidson, â&#x20AC;&#x153;so money of its actual cost.â&#x20AC;? savings are an impactful way of communicating to consumers the importance of energy-efficient SELLING THE BENEFITS appliances. On average, a 15-year-old Sado urges retailers to â&#x20AC;&#x153;dispel the myth fridge freezer is E-rated and costs more about running costs.â&#x20AC;? She points out that than ÂŁ110 per year to run. Consumers six litres of water is all that is needed to may think they are saving money by wash up a full load of crockery, pots, pans holding onto an old appliance, but by and utensils in a Maytag MDW 0713 AGW simply upgrading to an A+ rated model dishwasher, compared to between 40 litres and 104 litres when washing-up by hand. they could save more than ÂŁ75 a year. Joan Fraser, Product Development and Training Manager at Smeg UK, says consumers may not be entirely aware of the latest energy-saving options available to them, yet once these are explained, the buying decision may well change. She suggests that if consumers can see the benefit of updating one of their appliances for a more ecological model, it may encourage them to evaluate the efficiency of their other appliances too. George Mead, Brand Manager at Beko Plc, also believes that retailers could benefit from communicating the green credentials and running costs of AEG is promoting its Ă&#x2013;KOKOMBI as â&#x20AC;&#x153;the worldâ&#x20AC;&#x2122;s first ever heat pump washer dryer.â&#x20AC;? The appliance is 40% more energy efficient than an A-rated washer dryer 20

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technology and stay-clean oven liners. The Fleet is available in sizes ranging from 90cm to 120cm, with rotisserie included with twin and XG models, making it a versatile solution for any gourmet kitchen. This range cooker is available in a collection of stylish colours including matt black, matt cream and matt burgundy.

01253 471111 www.britannialiving.co.uk

appliances in-store. â&#x20AC;&#x153;Green credentials save energy, which fundamentally saves the consumer money, so POS materials that clearly highlight how much money can be saved â&#x20AC;&#x201C; versus standard or older appliances â&#x20AC;&#x201C; over a number of years should be considered. Picking the wrong appliance could see consumersâ&#x20AC;&#x2122; utility bills rise.â&#x20AC;? According to Mead, Beko is soon to unveil a collection of EcoSmart appliances, along with support for the product range (See further information in Bekoâ&#x20AC;&#x2122;s Guest Column in this issue).

BELLING FANNED GAS Bellingâ&#x20AC;&#x2122;s new suite of freestanding cookers features Glen Dimplex Home Appliancesâ&#x20AC;&#x2122; proprietary â&#x20AC;&#x2DC;fanned gasâ&#x20AC;&#x2122; technology. Delivering improved cooking performance and perfect baking results, the Belling fanned gas collection provides a unique combination of radiant heat and convection, offering the even cooking temperature of a fanned oven with the moist cooking environment of a gas oven. Keen bakers will enjoy the accuracy and even temperature distribution delivered by the collection, which promises just a 5-degree temperature variance versus the 19 degrees in a conventional oven, ensuring a perfectly even bake and best use of energy. Available in 55cm and 60cm size options.

www.belling.co.uk

> the low carbon dryer

ECO 43A The White Knight ECO 43A low carbon gas dryer offers an Energy Efficient way of drying your clothes and warrants an Energy A+ label. This gas dryer produces 50% less carbon than an equivalent electric tumble dryer and has 60% lower annual running costs. This model has a 7kg capacity, 2 heat settings and a 140 minute timer and is also available in a sensing version (ECO 86A) which stops when the selected dryness level is reached.

Our gas dryers have the Which Best Buy award.

B44AW White Knight has also recently launched an Energy B electric vented dryer. The majority of electric vented dryers on the market are Energy C but this model is more Energy Efficient using just 3.52 kWh per cycle against the 3.92kWh used on our Energy C model. It also has a faster drying time.

Both models are British-made in Halifax, West Yorkshire.

Sales: 01422 203585 For further information please email: sales@crosslee.co.uk www.whiteknightrange.co.uk

The Green Room

ECO TRENDS

Looking ahead at the strongest trends in the development of products’ green credentials, Liebherr’s Bristow says: “We’re likely to see a greater acceptance of manufacturers featuring zero-degree cooling and, generally, innovations will focus on improvements in noise reduction, further acceptance of A+++ in the UK market and aspirational designs such as water & ice features in ordinary machines. Additionally, we will see the redesign

STOVES STERLING ‘MINI’ RANGE WITH INDUCTION HOTPLATE The Stoves Sterling Mini Range (600Ei UJM) 60cm freestanding electric oven with induction hob is part of the trend towards ‘patriotic’ finishes. Glen Dimplex Home Appliances was the first manufacturer to apply induction to a freestanding appliance and the Mini Range 600i features a 4-zone induction hob with fantastic features such as power boost, pan detection and a pan overheat sensor. Induction hobs offer smarter, faster, safer and greener cooking. When using a ceramic or gas hob, even though the pan doesn’t cover the entire ring, the whole element is still in use, meaning that the unused energy is being wasted. This doesn’t happen with induction technology, making it one of the greenest choices on the market.

www.stoves.co.uk

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of the appliance interior for greater functionality. We’re currently looking to install the adjustable shelf, VarioShelf, into our integrated ranges.” Maytag’s Sado says energy efficiency and reductions in water consumption will continue to be the major focus for manufacturers developing new appliances, technology and components. “Maytag’s advanced sensor IntelliSense® technology plays a huge part in the reduction of resources across all Maytag product ranges, which include laundry, dishwashing and cooling.” Whirlpool’s Pillay asserts that “connectivity is the future,” and for Whirlpool this will be powered by the company’s 6th Sense® Live technology. “Each single appliance will be internet connected through Wi-fi, so capable of receiving and responding to signals coming from consumers’ devices. This will enable users to access and check their smart appliances from anywhere, provide the consumer with information about their energy consumption, hints and tips for better usage (performance & energy savings), new functionalities and remote control and diagnostics.” Hotpoint’s Starkey agrees that connectivity is the future: “As electronics get even smarter and are linked to the internet, controlling appliances with smartphone apps or other devices is the next logical innovation. They could reduce energy usage by 30% to 50% with software that downloads data from smart meters, so you can track electricity usage in real time and get them to run appliances at the cheapest time of day. Or, you could produce a shopping list based on what you use from your fridge freezer.”

“UNDER THE RADAR”

On a final note, Ashely Munden, European Managing Director for InSinkErator, speaks about “hidden” kitchen appliances that can make a “radical” difference in saving energy, and the environment. He is referring to the steaming hot water tap and food waste disposer. “These products are now competitively priced, which is creating increased demand. This will continue to grow throughout 2014, as the consumer begins to understand the many benefits they offer.” Munden explains that the steaming hot water tap reduces the amount of water used as hot water is available on demand and little to none is wasted. “Cooking utensils can be cleaned on an efficient, one-off basis, while beverages and instant foods requiring hot water can be prepared without the use of the kettle, offering extra energy savings as no unneeded water is boiled.” The food waste disposer, he says, is a “hidden gem” that can make life easier and more hygienic. “Often overlooked as a

product that has an eco edge, the food waste disposer is a great asset in the kitchen, saving on bins, bin bags, cleaning etc. “I believe that these must become a standard installation in new homes if we are truly serious about attacking the UK’s waste problem. American consumers viewing a new home would be horrified if the kitchen didn’t include a waste disposer. The product is a ‘given thing’ in the American market, where household penetration is approximately 50%. Compare that figure to the UK penetration rate, which is heading towards 10%, and waste disposer units are a fantastic selling opportunity for the retailer.” Munden adds that, because steaming hot water taps and waste disposers are “under the radar” for many consumers, sales can be encouraged by installation and demonstration of both in kitchen showrooms.

Caple’s new Di628 dishwasher has an A+++ energy rating and an 8.4-litre Auto programme

PANASONIC NP-B6M1 DISHWASHER With an A+++ energy rating, Panasonic’s contemporary and versatile NP-B6M1 dishwasher is a welcome addition to the kitchen. Offering three baskets which can be adjusted for versatility of wash loads and providing a large 13 place setting capacity in a single wash, the NP-B6M1 makes light work of the tidying up. Your customers can rest assured that their dishes are being cleaned to perfection whilst also conserving energy, as the NP-B6M1 offers class-leading energy efficiency thanks to an automatic door that opens slightly at the end of the washing cycle to aid final drying, an innovative half load programme and a water-saving mode.

www.panasonic.co.uk

Guest Column

...the electrical industry has really woken up to the benefits of energy-efficiency in the past few years” The cost of energy has become a ‘hot topic’ since the energy companies raised their prices at the end of 2013, and saving energy is now a priority for consumers. GC welcomes guest columnist George Mead, Brand Manager at Beko plc, who writes about the developments in eco-efficiencies in the electrical industry and Beko’s commitment and progress in developing resource-efficient appliances

Beko has recently updated its website to highlight some of the brand’s top cutstomer rated products. Find out more here:

ww.beko.co.uk/product-reviews

onsumers are more aware than ever of the cost of running household appliances, with a new story every week in the national press and energy firms under close scrutiny for hiking up their prices this year. A recent report from npower has found that households are facing an average £200 increase in bills by 2020, and over a third of UK homes are now fitted with water meters, showing how clued-up householders are becoming to resource savings. Research from the Energy Saving Trust has shown that large appliances can use up so much energy that it makes up nearly half of consumers’ annual electricity bills, which now come to an average of £615. Reducing energy consumption, which in turn helps to save consumers money, is therefore more important than ever. As a result, the electrical industry has really woken up to the benefits of energy-efficiency in the past few years. Appliances are now working harder than ever to not only make consumers’ lives easier, but to help to cut down on their monthly energy bills too. At Beko, we make sure we are always at the forefront of these developments. Last year we introduced our most energy-efficient oven ever – the multi-functional OIM25603X – which uses 40% less energy than a standard A-rated model. Another key launch for us in 2013 was the Smart Six Litre DSFN6839W Dishwasher, which uses just 6 litres of water to clean an entire load – around 80% less than a standard model and the lowest water consumption available on the market. Research from Mintel has shown that 62% of consumers are likely to consider eco efficiency

when purchasing large appliances, meaning it is crucial that retailers are aware of products’ eco credentials in order to highlight their benefits. Where appropriate, Beko’s products will now carry the Energy Saving Trust stamp, in order to better inform consumers on the efficiency of appliances. According to Mintel’s Green Lifestyles Report, 57% of people find energy rating labels confusing, so Beko is working to help educate both consumers and the media with a new campaign starting in March 2014 – more details coming soon! Beko puts a great deal of time and research into ensuring that its products are as eco-friendly and energy-efficient as possible. Our EcoSmart range includes our best-in-class energy saving appliances, designed to help save consumers money on their household bills. This will form part of our big marketing and sales campaign due to kick off in March this year. We are also continuing to work closely with the Energy Saving Trust to independently verify the cost saving benefits available to consumers. Beko is committed to delivering energy efficiency from factory to shop floor. Our parent company, Arçelik A.Ş, is the first home appliance manufacturer to receive a Platinum Certificate [the highest rank] for ‘Energy Efficiency in Green Factories’, showing Beko’s support for a greener, more energy efficient future. The Arçelik A.Ş. Dishwasher plant in Ankara and Drying Machine and Electrical Motors plants in Çerkezköy were also awarded for factors such as overall energy use, internal energy innovation projects, energy awareness and staff training. JAN/FEB 2014 GET CONNECTED

George Cole

GEORGE COLE G E T S

George Cole pinpoints hotspots in the world of consumer electronics

C O N N E C T E D

WHAT NEXT FOR

DIGITAL RADIO? To

say that many in the industry were surprised by the government’s pre-Christmas statement on the digital radio switchover would be an understatement. For months, digital radio stakeholders (including broadcasters, manufacturers and bodies promoting digital radio) had been expecting the government to announce that, in principle, it was committed to a digital radio switchover. No-one expected a firm switchover date to be given, but they did expect the government to show that it meant business when it came to moving radio from analogue to digital. Instead, we got a lot of platitudes on the wonders of digital radio in a speech from communications minister Ed Vaizey, but nothing about the switchover. The switchover was kicked into that Two reports on digital favourite haunt of the politician radio – a cost/benefit – the long analysis, and the CEG’s advice grass. on a help scheme for the digital Let’s be radio switchover – have been quite clear held back; a further sign of here: the best case scenario momentum being lost in is a digital radio this sector. switchover date of around 2020, but it’s not beyond the realms of possibility that a radio switchover may never happen – a point Ed Vaizey did not resile from when it was put to him. Roger Darlington, chair of the DCMS Consumer Expert Group (CEG), which has been advising the government on 24

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consumer matters connected with the switchover, says: “I was surprised by the speech, because a lot had been done to get the building blocks in place for a digital radio switchover. But the mood music changed quite significantly and quite suddenly.” Roger Darlington acknowledges that challenges remain, such as the fact that 20% of radio listening takes places in vehicles, but only 5% of cars have digital radios. Commercial radio operators also had objections, but none of these issues were unknown or insurmountable. So, why the sudden lack of commitment to a digital radio switchover? Roger Darlington thinks that politics played a major role, and not least Labour’s campaign on the cost of living crisis. Shortly before Vaizey delivered his speech, Labour shadow minister Helen Goodman connected digital radio to the cost of living, arguing that a switchover would hurt the poorest. For good measure, she also moved the goalposts for when a switchover date should be triggered – it was now when 70% of radio listening was digital, and not, as Labour had originally suggested, 50%. “In my view, the impetus behind the switchover programme has diminished significantly now,” adds Darlington. Two reports on digital radio – a cost/benefit analysis, and the CEG’s advice on a help scheme for the digital radio switchover – have been held back; a further sign of momentum being lost in this sector. But Ford Ennals, chief executive officer of Digital Radio UK, is more upbeat: “I think the supply chain and retailers would have liked the government to have said, ‘Here’s the timetable for the

georgecole@gcmagazine.co.uk digital radio switchover,’ but they didn’t. But the direction of travel is clear – the government, broadcasters and others are working together to plan a digital future for radio.” Ford Ennals says the fact that money is being invested in 400 new digital radio transmitters over the next two years is “significant,” as is the announcement of a new national network that could double the number of national digital radio stations. Digital UK is also preparing for the introduction in 2014 of a digital tick scheme for digital radios that conform to a minimum industry standard. The first DRUK briefing sessions for manufacturers and others will take place in February, with plans to launch the digital tick scheme in the second half of the year. But as Darlington points out, “the CEG has always taken the view that any digital tick scheme should be coincidental with a timetable [for switchover], because consumers are not going to pay a lot of attention to it, unless they feel something is actually going to happen.” So what should retailers do? Roger Darlington says: “If I was a retailer, I would switch to digital, because it makes more commercial sense and offers the consumer a better deal. Although I wouldn’t be able to run a campaign saying that the switchover is coming.” Ford Ennals also thinks that retailers should embrace digital radio: “There’s been a huge shift in audio, with analogue radio sales down, while digital radios have sustained their position in difficult market conditions. Digital radio remains a huge opportunity for retailers.”

Spotlight on Mobile Shopping Technology

2014: the year of the mobile revolution? A

t the start of 2013, visitors to NRF (National Retail Federation) Expo were struck by the lack of major breakthrough technologies on show, as manufacturers and software developers worked with retailers in consolidating and integrating existing IT systems in order to improve the in-store experience. This was reinforced as the year progressed, as providers continued to support the retail goal of differentiation through delivering a seamless omni-channel experience for the consumer in a fiercely competitive marketplace. The focus over this period has been to more closely integrate existing solutions, converging back-office purchasing, supply and accounting systems with potentially game-changing in-store technologies and ensuring these are deployed effectively. Such initiatives have been all about creating a common, high quality shopping experience, irrespective of the channel chosen by the customer. This has not been an industry simply running out of fresh ideas. On the contrary, the apparent lack of innovation reflects a healthy dose of realism, with all parts of the value chain seeking to enhance the retail experience without having to reinvent something new.

NEW YEAR, NEW FLEXIBILITY

With two rather more encouraging sales quarters under their belts, retailers have shown signs of loosening the purse strings in the area of technology investment, with much of the focus centring on greater mobility. Equally, with the huge growth in smartphone and tablet ownership, especially among young consumers, there is a clear window of opportunity for retailers to use these intelligent devices to improve the in-store experience as the basis of attracting and retaining new customers. And it is here that all the ‘behind the scenes’ work is ready to pay substantial dividends. Three years ago, mobile failed to establish itself as many predicted, precisely because the necessary systems and infrastructure were not in place to deliver on the promise of a better and more consistent in-store experience.

After a year of consolidation, 2014 looks set to see some major advances in the adoption of technologies which bring the high street retailer and consumer closer together. Richard Cottrell, sales and marketing director of Vista Retail Support, discusses the realities and the opportunities offered by mobile shopping technology. cultural events. And, by providing the necessary data connectivity to allow effective trading until a landline link becomes available, 4G also offers the opportunity for growing retailers to bring forward the planned opening of a new store.

MOBILE PAYMENTS

Today, the picture is very different. Tablets and other smart devices are more robust in meeting the tough demands of the retail environment. And with the right back-end systems now in place, the retailer is well placed to ensure a level of service delivery quality which matches a more interactive, ‘personalised shopper’ experience for the customer across all channels.

CLEARING THE HURDLES

From a technology standpoint, there is still some work to be done. Having tackled issues around BYOD (bring your own device) within the retail operation itself, challenges remain in managing customer devices in-store. However, with retailers now looking at dedicated mobile strategies rather than spinoffs from existing platforms, we can expect such hurdles to be overcome, as 2014 is the year when mobile becomes the dominant force in bringing retailer and shopper closer together. The rollout of 4G communications is also providing new opportunities for high street brands looking to trade more flexibly and cost-effectively. In supporting the ‘pop up shop’ concept, it can enable them to trade and provide the consumer with the full brand experience for short periods, both seasonally in the high street and at major sporting or

Another area in which mobility will increasingly enhance the customer experience is in payments. This is already starting to have a positive impact, as the expansion of reliable Wi-Fi, for example, enables the introduction of mobile payments technologies, allowing customers to avoid lengthy queues by paying with their smartphones. Over the past decade, chip and PIN has dominated the in-store payments scene. Pretenders to the throne such as contactless and nearfield communications (NFC) have failed to make the impact predicted, as technical shortcomings have compromised their ability to simplify the payment process. In contrast to this, the expansion of digital wallet, account-to-account payments and PayPal reflects the importance of making the purchasing experience

easier, while at the same time offering the customer a high level of data protection. 2014, however, may see a revolution in the world of payments, as it may soon be time to say goodbye to memorising passwords, PINs and other account details. The introduction of biometric fingerprint scanning in the new Apple iPhone 5s may herald a future of more secure payments, as the technology uses the unique characteristics of the device owner. As individual fingerprint data is locked away inside the processor chip, it cannot be accessed by software and is neither transmitted nor stored elsewhere, making it a highly secure process. However, what really makes this the potential game changer in-store is that it allows easy, low-cost adoption by retailers of any size, levelling the competitive playing field and bringing mobility to the mass market at the touch of a finger.

OPPORTUNITY AND CHALLENGE

Retailers have realised that technology and shifting buyer behaviour also present important opportunities. For some time they have sought to create a similar user feel for their online and bricksand-mortar offerings, with varying degrees of success. Now, the focus is firmly on convergence – integrating tablets with mobile payments and mobile point-of-sale to create a seamless online, offline and in-store experience for the customer. Mobile technology for its own sake, no matter how clever or spectacular, is just as likely to fail in the world of retail as elsewhere. Consumers have to be convinced that innovation is relevant and of real benefit. And the bottom line is that this will only happen if it makes the shopping a more convenient experience overall. JAN/FEB 2014 GET CONNECTED

TV in 2014

The big, connected flat panel TV is becoming the hub not just for family viewing, but for a total entertainment and communication experience

TV: what’s in it this year? TV, always at the centre of the UK CE market, remains in an ambiguous position as we enter 2014: it’s still the focus of manufacturers’ drive for innovation and groundbreaking technological advances (as this year’s CES demonstrates), but at the same time it’s a category where both manufacturers and retailers struggle to make a viable margin. George Cole looks at what’s in it for consumers and the trade in 2014

he message from television manufacturers is clear: this year’s models will be bigger, flatter, smarter – and some of them will even be curved. The pace of innovation and development in the TV sector continues to storm ahead, as new features and technologies emerge. The question is whether broadcasters and consumers can keep up with the pace. Kevin Messenger, flat panel TV assistant product manager, Panasonic, says: “This year is set to be an exciting time for TV with the prospect of 4K or UHD [Ultra High Definition], curved screens and OLED. The market is also moving to larger screens, 50-inch plus.” Chris Trewhitt, Sony’s TV product marketing manager, says his company’s main focus this year is picture quality: “Following on from the launch of 4K TVs in 2013, this continues to be the main focus for 2014.” At the CES show in Las Vegas, Sony announced a 4K Ultra HD and Full HD LED Bravia TV line-up, which

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included a novel Wedge structure, designed to increase stability of large screen TVs. Steve Mitchell, general manager of marketing TV/AV, Samsung, adds: “Ultra High Definition 4K TV really excited consumers in 2013 and this trend will continue to grow in 2014. With four times the detail of HD TVs, consumers can now experience incredible detail like never before on their large screen TV.”

BIGGER, SMARTER, CLEARER, CHEAPER?

For Amit Rullay, marketing manager of TP Vision, “growth in large screen televisions will continue – and with the highest percentage growth being in very large screen sizes of 50-inch plus – whilst the premium small screen televisions sector – 32-inches and below – will continue to decline. The penetration of smart TVs will continue to grow at all screen sizes. We expect the World cup to have a positive impact on sales in the first half of 2014, but don’t know yet if this will be at the expense of sales in the second half of the year. There will also be a large increase in UHD TV sets available in the market which will help to drive the market for premium very large screen sets.” Glenn Zanoni, senior product manager (TV and Audio Visual), at Toshiba, says: “This year is going to see the TV market continue to improve services, especially with smart TV, while 3D will become a

customary feature across TV ranges. We also expect technologies from higher-end TV ranges to be introduced to more affordable models. Additionally, as a member of the Smart TV Alliance, we’re planning to expand the number of applications available to consumers, whether they already own a Toshiba smart TV, or are looking to purchase a new model. Last year saw a real development in UHD TVs; as such we can expect to see the introduction of more affordable models in 2014.” LG thinks that 2014 will be the year of ‘Picture Perfect’, as UHD TVs expand rapidly and OLED technology becomes established. The company also sees more developments in curved screen technology, with distinctive designs and innovative hardware. And LG also believes that smart, connected technology will continue to evolve and bring a new focus on convenience-enhancing smart entertainment solutions in the home. Ultra HD or 4K sets offer a picture resolution of 3840 x 2160, compared with 1920 x 1080 for Full HD sets, offering stunning picture quality. The first UHD TV sets began trickling onto the market around a year ago, and since then, that trickle has become a flood, with more affordable models emerging. A 55-inch UHD TV set can now be purchased for less than £3000, and a 65-inch version, Personalised programming and access preferences are becoming part of the “tailored for you” world of TV

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Double D. Distributors Porter & Harris Ltd

Electrical & Electronic Wholesale Distributors of Consumer Products & Accessories

The Diamond Of Distributors

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Sales: 01202 675999 Fax: 01202 667721 Admin: 01202 661911

USE US AS YOUR STOCKROOM!

NATIONAL NEXT DAY DELIVERY E-mail: sales@DD-distributors.co.UK AT NO EXTRA COST

Important information for our customers Double D. Distributors Returns Policy. There have been changes in the practice and procedures by our suppliers to their Returns Policy which has a reflection on our working practice. In order to continue with our quality of service to you and to enhance our overall working standards, we intend to incorporate the measures and therefore wish to advise you of our new procedures. These will in no way affect your statutory rights but will speed up our methods and ultimately improve our service to you. The new procedure is as follows:-

Established in 1976, we have been servicing the independents for over 30 years. We distribute LED / LCD / PLASMA On receipt or notification of a returned item, you should phone our Administration Department who willreceivers, facsimile a copy of our Returnsand a great many accessories from HDMI cables to televisions, audio equipment, satellite media players Proforma. wall mountable brackets. We are aourgreat asset to retailers who cannot trade directly with the big manufacturers On receipt of your notification staff will forward a returns number the buying detail required to deliver the goods to us. and we haveandthe power to keep our prices competitive, to give you (the retailer) the best deals possible. All goods that are returned must have the number of the original We work closely with names such the as serial Samsung, Toshiba, Sharp, LG, Humax and many more. To see our new invoice. This big invoice shall include number of the returned item. catalogue orThe toreturned open an account with us, please phone our Sales line. We will be only too happy to help. item will be accompanied by a proof of purchase that will show that the fault has occurred within 28 days from purchase by the customer from you. If the item has shown faulty outside the 28 day period then the manufacturers warranty comes into operation. Manufactures, such as Finlux, have maintained their returns policy and therefore we will continue to act as their agent for the stated period for returns until service set up is provided. Returned items should and where possible be returned in the original boxes, with all accessories. We appreciate this may prove difficult but every effort should be made to encourage this practice. If it is not possible, every effort should be made to ensure the safe carriage and return of the item to us.

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Porter & Harris Ltd 10 Didcot Road, Nuffield Industrial Estate, Poole, Dorset, BH17 0GD Sales: 01202 675999 Fax: 01202 667721 Lo-Call: 0845 2302500 Email: sales@dd-distributors.co.uk Web: www.dd-distributors.co.uk

TV in 2014

for around £5000, and this market is bound to become even more competitive this year.

WHAT ABOUT CONTENT?

The biggest challenge facing UHD TV is the lack of content. Although owners of UHD TVs can upscale Full HD images, finding native UHD resolution content is difficult. LG says that UHD represents the future of immersive home entertainment, and as with all new developments, will take a while to pass from the realm of the early adopters to mass participation. The company adds that UHD TV content is undoubtedly growing, with broadcasters and film houses exploring how best to support this new, more immersive format. Sky has conducted a 4K test transmission, but the broadcaster is unlikely to introduce a service before 2015. The BBC is also examining UHD TV, but any service is likely to emerge after Sky’s. The online video company Netflix plans to offer 4K streaming video in 2014, but consumers will need super-fast broadband and compatible hardware to view it. YouTube also streams 4K video clips. UHD TV Blu-ray discs have been discussed, but so far there are no firm plans for introducing them. LG says it’s working with broadcasters to develop Ultra HD content, and in the US, Sony offers owners of its UHD TVs a home server containing UHD content.

FUTURE VISION

Companies such as LG and Samsung believe that the future of television isn’t flat, but curved. Both companies have demonstrated curved screen sets, with screen sizes ranging from 55 inches to 105 inches. Supporters of curved screens say they give viewers a more immersive experience by surrounding the visual field. But others wonder whether they are

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gimmick or a solution looking for a problem. One thing is certain: when the first curved screen sets arrive, they will be aimed at early adopters with deep pockets. A lot of noise has been made about OLED displays, which offer even thinner screens than LED sets. LG has showed a range of OLED sets, including a 77-inch version, but the technology still has some way to go before it becomes mainstream offering. Steve Mitchell says: “Another key consumer trend is the recognition that TV technology is constantly evolving and advancing. This can be a concern for consumers when investing in a new TV. Samsung’s premium range of TVs is future-ready, providing consumers with the peace of mind to make that investment in 2014.” Samsung is also planning to enhance its smart TV platform with more features and services. So what can retailers and consumers expect in the way of products to come? Amit Rullay says: ”In a market where much of the product design has become ‘generic’, TP Vision will invest in our key Ambilight USP as the best way to provide a truly immersive viewing experience. We will also offer some new Ambilight apps as well as further expand on the Ambilight + hue concept. Our new 2014 range will incorporate improved designs, fantastic picture quality and the development of more apps. We will also help to drive the UHD TV market, and in the second half of the year, Philips TVs using the Android OS will be launched to offer fast operating speeds and access to an enormous library of TV content, services, apps and games.” Glenn Zanoni says: “We’re really excited to offer more high-end features in the products that sit lower down our range, giving more value for money regardless of

budgets. For example, our smart TV platform is advancing and new features are being added, and features such as integrated Wi-Fi will become standard on certain product ranges. High resolution UHD televisions are still a premium, high-end proposition for consumers, and whilst they’re not mainstream products quite yet, we expect they will be more widely available than ever before.” LG has announced webOS, a new smart TV platform. The new operating system offers a new user interface and makes it easy for developers to create applications and improve the compatibility of LG’s smart TVs with other devices. The webOS platform will be available across all LG’s step up and premium smart TVs in 2014. Kevin Messenger says: “I would expect all the major manufacturers will produce an increased number of 4K TVs, in different screen sizes and ranges. 4K is seen as the replacement for plasma. Some manufactures will offer OLED and curved screens to the end user. Features such as on-demand catch up services are a key area of interest and will continue to be so.”

HEARING THE DIFFERENCE

Stunning picture quality on ultra-thin screens needs to be matched with big, crystal-clear sound, and that has generated a new opportunity in the shape of sophisticated, high-tech sound systems that are bringing TV sound up to the quality of the pictures. Sound bars, for example, a stylish solution to the need for great sound, made impressive headway in 2013, and further development in systems to team with UHD pictures is promised for this year. As Peter Eckhardt, managing director at Orbitsound which has developed airSOUND as a third generation of sound, comments: “CES has shown what TVs of the future will be capable of. From Ultra HD, bendable screens and

OLED technology, TVs at home are becoming more powerful so it’s natural that sound needs to follow if we want a truly immersive experience in the living room. As a result audio technology needs to move beyond the traditional stereo set-up and deliver surround sound without relying on a single audio ‘sweet spot’.”

BROADCAST SERVICE ENHANCEMENTS

Broadcasters are responding to the latest TV trends and developments by offering new or enhanced services. “Consumers are watching more catch-up TV and broadcasters such as Sky have responded by offering key catch-up services from their own set top boxes,” notes Amit Rullay, “We see this complementing the TV experience by growing the awareness of these services. Generally, the broadcasters’ support of new technology has a positive impact on the market, so TP Vision is anticipating good news with regards to UHD broadcasts and the general availability of UHD content in 2014.” Chris Trewhitt adds that “in response to the increasing demand for 4K televisions, broadcasters across the world are now talking about the reality of broadcasting in 4K in the not too distant future. TV programming is already being shot in 4K, from sports matches through to comedy series, and Sony will be shooting the World Cup in 4K.” And let us not forget that there is still a lot of potential in the HDTV market, with many consumers still yet to take full advantage of their Full HD displays. Sky now offers around 70 HD channels, and the number of HD services on free-to-air services has grown. Last December, Freeview added six new HD channels to its service, giving a total of ten HD channels, while Freesat offers a similar number. There will certainly be plenty for retailers to talk about – and sell to consumers – in this year’s TV market.

From The Bench

Now and soon Later 2014 Possible future

Local TV is already underway in the UK. Alan Bennett looks into it

UK local TV stations 2014

he first UK local TV transmissions began in November last year. Many more are due on air in 2014. Is your town in the lineup?

FILLING THE GAPS

The UHF spectrum in the UK has been carefully engineered to give the best possible coverage by national and regional TV transmissions. In some cases, however, there are ‘white spaces’ between the Freeview broadcasts; ones where powerful transmissions are taboo because of the risk of interference to other broadcasts in the region – see George Cole’s article, page 14, in the October 2013 issue for Estuary TV (Grimsby) the proposed went on air in November use of these last year, and the next batch – for household Birmingham, Brighton, Bristol, wireless links. They can also Cardiff, Newcastle, Norwich be used for and Nottingham – should be neighbourhood up and running by the TV broadcasting time you read this. with transmitters having only lowpower emissions reaching over a few miles, supported by local advertising and run – at least in part – by local communities and organisations. They use the same transmitter sites and digital encoding/ modulation as Freeview broadcasts.

COVERAGE

Licences for local TV have already been granted for 19 local TV services in these towns and cities: Belfast, Birmingham, Brighton and Hove, Bristol, Cardiff, Edinburgh, Glasgow, Grimsby (the first to go on air, serves North Lincolnshire and South Yorkshire), London, Leeds,

Liverpool, Manchester, Newcastle, Norwich, Nottingham, Oxford, Preston, Sheffield and Southampton, shown on the map in green, and some of them are already up and running. The second phase, due this year, includes Aberdeen, Ayr, Barnstaple, Basingstoke, Bromsgrove, Carlisle, Derry/Londonderry, Dundee, Falkirk, Gloucester/Malvern, Guildford, Inverness, Kidderminster, Limavady, Luton/Bedford, Maidstone, Plymouth, Reading and Salisbury, Stoke on Trent, and Stratford upon Avon, all shown in blue here. Many other locations lend themselves to local TV, including Bangor, Cambridge, Middlesbrough, Mold, Scarborough, Swansea and York, the red spots on the map. Tuning in to local TV is easy: select Freeview channel 8 in the UK and Northern Ireland, or channel 34 in Wales and Scotland. No extra aerial or receiver is required, but retuning (again!) may be required. If and when local TV appears on cable and satellite platforms it will automatically show in the EPG at some number yet to be assigned to cable, but allocated 117 for Sky. With ‘+’ receivers local TV can be programmed and recorded in the same way as other channels for subsequent replay. The channels will be branded ‘Local TV.’ Estuary TV (Grimsby) went on air in November last year, and the next batch – Birmingham, Brighton, Bristol, Cardiff, Newcastle, Norwich and Nottingham – should be up and running by the time you read this. Due in February are Belfast, Edinburgh, Leeds and London, with more to follow.

LOCAL PROGRAMMES

Running hours will initially be between four and fourteen a day, depending on demand, size of viewer base, advertising etc. In large cities (London, Belfast, Sheffield) 24-hour coverage is envisaged. The main feature of local TV programming will be neighbourhood news, probably at half-hour intervals. Local stories can be covered in more depth than is afforded by BBC and ITV regional TV stations, where the affairs and news of one town might go completely by the board if a big story breaks elsewhere in the region; and

regional coverage is necessarily thinly scattered anyway, especially since the main broadcasters expanded their regions some years ago. Other programmes will feature traffic news, weather, local politics, phone-ins and other social-media contacts from viewers, along with sports and maybe culture, arts and even cookery features, all designed to foster good community loyalty and relations. One of the best strengths of BBC local radio ¬– done much better than independent local radio – is its way of keeping people informed of local conditions and crises, especially in events like the extreme weather around last Christmas and the ensuing power cuts, flooding, closures etc, and it is hoped that local TV, with its tighter coverage, will do as well in this respect.

FINANCE

To get local TV started the BBC will contribute, from the licence fee, a maximum of up to £40m: up to £25m towards capital costs and up to £5m per year over three years to supplement running expenses. The broadcast facilities will be ‘at cost’ while the studios do not have to be in an expensive part of town. Current types of hand-held cameras give excellent pictures, and a good video editing suite can be had for less than £10,000 now. Once established the station will be supported by separate commercial channels running in the same multiplex, by advertising and by sponsorship. Estimates of running costs vary widely: Mode TV (Bristol, Cardiff, Leeds, Newcastle licence holders) is looking to charge adverts at as little as £100 each, while London Live (which reaches over 4 million homes) expects studio running costs to be £20,000 per hour. Local TV is not going to do much for the profits of local dealers! A few aerial installations and services, perhaps, for those who do them, a few sales of Freeview receivers maybe. You may see local TV as an advertising medium for your own services and products. What is for sure is that your customers will expect you to be an expert on the subject from day one... JAN/FEB 2014 GET CONNECTED

Backchat

Why did you choose to work in the electrical industry? I love electronics and gadgets

What would you put into Room 101? Trains with no coffee service (sitting on one now!!)

Who in the industry would you like to spend time with? No specific individual – but I would love to be a fly on the wall in Apple brainstorming meetings

What’s your greatest achievement? Starting a family

What makes you laugh? My sons What was the greatest turning point in your life? Starting a family. The purpose behind everything you do changes Hobbies? Running and playing in a rock covers band What’s the worst lie you’ve ever told? No comment What’s your greatest regret? No comment!

What sort of music do you like? Rock

2-minute

Interview

He’s a rock guitarist, and would consider a career in the recording studio if he wasn’t fully satisfied with his present Name your poison work. He’s partial to a pint of cider and a takeaway, and Good ol’ pint of cider apparently thinks positively enough to trust that it will not What do you harm his defence if he exercises his right to remain silent daydream about? on certain questions! For a man with flat feet, he’s also Relaxing! very much on his toes under interrogation! Meet What’s your favourite Karl Thomas, Product Director (Philex) holiday destination? and Director/Founder (i-box). Still love UK holidays

What’s the worst thing that’s ever happened to you? I have been lucky, so nothing in particular

What historic figure do you identify with most? No one in particular How would you describe yourself? Positive thinker, always willing to take on a challenge, approachable How do you think others see you? Hopefully same as the above What’s your pet hate? Negative thinkers Do you have any bad habits? No comment If you weren’t in your present position, what job would you choose to do? Session guitarist Favourite TV programme? Only just started watching 24. I love it 30

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Who has been the greatest influence in your life? My father. He has spent his life as a hard manual worker and always taken interest and supported what I do

Favourite cuisine? Indian and Chinese on a par You have been offered the opportunity to rule the world for a day. What would be the first change you would make? Give the whole population access to the internet Is there anything about yourself that you would like to change? My flat feet!

What’s the best kind of punishment? Taking away something you love Where do you see yourself in 5 years’ time? Hopefully still doing what I am doing – but better off What’s your greatest fear? Disappointing my family What’s your favourite piece of kit? My guitar

Do you have any hidden talents? Nothing interesting!

What motto do you live by? Think positive

Do you have any particular fetishes? No comment!

Tomorrow I will… …be better than yesterday

REWARDING THE BEST OF BRITISH INDUSTRY Gala Dinner and Awards Evening 15 May 2014

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