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As demand for DVDs surges, Maxell responds.

FAIR LAWN, N.J. -- Sales of DVD recorders are surging, and Maxell Corp. of America is uniquely positioned to help chain drug retailers exploit the demand, according to Peter Brinkman, the company's vice president of marketing.

In the latest switch from analog to digital technologies consumers are snatching up set-top recorders for capturing television programs on DVDs. The upshot is that they need blank DVDs, and Maxell is obliging them with a typically broad portfolio of offerings.

"Two thousand five will be a transitional year from a home entertainment standpoint," says Brinkman. "DVD will become a very actively used media for consumers and end users alike. Demand for it is already skyrocketing."

Driving the trend are the falling prices of DVD recorders along with the obsolescence of VCRs. DVD recorders are also available in a growing number of trade classes, Brinkman notes.

Maxell is ready to capitalize on the trend with "terrific positioning at retail," he says, and a legacy of leadership in home entertainment blank media --whether in the VHS or CD-R segments.

Continuing that tradition, the company was first to market with a high-grade DVD that Brinkman notes has drawn a strong early response.

"It's another example of Maxell's leadership in the marketplace," he remarks.

Another category in which the company can boost chain drug sales is camcorder mini DV tape. With demand for camcorders soaring, Maxell has seen 50%-plus annual compounded growth in its brand of mini DV tape, according to Brinkman.

At the same time new DVD camcorders are taking off, he says, and Maxell is posting huge gains with its 8-centimeter disks for the products.

Noting that Maxell is the top-selling media brand in drug chains, Brinkman says, "Demand is enormous. It really comes down to the appeal of digital formats."

Chain drug stores are an ideal channel for camcorder media, he adds, because the product fits in with their convenience positioning.

"Mini DV tape or a disk for a DVD camcorder is something people will want to get without the hassle of a drive to a mall, a long walk from a parking lot, a navigation of a maze of aisles and a long in-store wait," Brinkman comments. "Camcorder media is very much contributing to general merchandise being a destination at drug chains. The DVD format is fairly new, but this is a channel that will do very well with it."

The attractiveness of camcorder media at chain drug stores should also be reinforced by the trade class' success with digital photofinishing.

And with digital camera sales exploding, Brinkman notes that Maxell offers a full line of batteries for these power-hungry devices.

"How can retailers take advantage of this new category?" he reflects. "Digital cameras carry inherent power demands. Maxell feels very strongly that chains should create in-store sections for after-market digital camera batteries.

"We have a strong brand presentation and broad portfolio to address that need. It's one area where chain drug retailers can be very effective at enhancing their overall business."

Maxell Corp. of America

22-08 Route 208 Fair Lawn, N.J. 07410

Key contact:

Peter Brinkman, Vice President of Marketing

Web site:

Phone: (201) 794-5900

Fax: (201) 475-5402

Primary business:


Optical media

Marketplace booth #1742
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Publication:Chain Drug Review
Date:Jun 6, 2005
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