Creative Technology becomes Destructive liao

[Atonchia]

actually. creative's products are good.

 

but they should focus on their core strengths....

 

maybe a return to being oems rather than retail based strategy would be better for them.

Yup their products are without a doubt of good quality.

But the usage and the needs have change so much.

 

They couldn't jump into the mobile platform bandwagon.

I didn't know of Beats audio until my phone speaker was one.

If they market their product and focus on their core strength.

They could have captured the mobile crowd but they didn't.

 

They tried to do too much with little focus.

I know they have educational tablets, that have quite good specs, but children still prefer IPad and Galaxy.

[Jamesc]

 

I've had a couple of Creative products. Yes, I had a Sound Blaster or two. But I also had a Muvo TX FM mp3 player (actually, still have it - it's indestructible). Frankly, I found it head and shoulders above anything Apple had at the time. Solid state flash drive-based, which meant it could survive pretty much any "normal" drop or knock even onto hard pavement. In fact, it could weather anything short of a direct thermonuclear hit. And very minimalistic controls that nevertheless provided a lot of options. 1GB storage, not at all bad in those days. And to top it all off, it had an excellent design - you transferred files by detaching the central portion which functioned as a USB stick. So not only was it a music storage system, it could store and transfer any files! There was never a need for cables or special software. And it used just a single battery (AAA, if memory serves). Lean and mean and very functional.

 

The problem was that Apple still led market share no matter what the competitors threw at it. You can't even say it was "founder effect" (i.e. being the first introducer of a product concept) like in the case of Windows. It was just that Apple had astounding marketing. They've always been known for having a cult following, and that's not actually too far off the literal truth. Apple sheeple just lap any crap the company serves up and calls it manna from heaven.

 

Even now, I can't fathom how the iPhone retains such a massive portion of the market share considering the other offerings out there on the market.

 

Bottom line: screw the engineers. Get the marketers to do the work. People are sheeple and will do as they're told.

 

You are exactly right.

 

Its the cool factor. Ipad is cool, Acer Iconia Tab, HTC Flyer, Dell Streak

 

all do the same thing but is not so cool.

 

A Philipe Patek can tell the time but a digital Casio can tell the time and

 

has a timer and stop watch but how many people wear a Casio to

 

a black tie dinner?

 

We buy many things not just for the function but also for what it says about us.

 

Like I am rich and successful and need all these things cos I am insecure.

 

[Jamesc]

Yes.

 

The success of Apple is the word "Lifestyle". they are selling consumers "lifestyle", not products. Apple products are sold as a lifestyle for consumers to embrace.

 

in today's market, lifestyle marketing is the in thing. Product marketing will not sustain for long.

 

i give another example; Nespresso Coffee

 

if you have come across Nespresso coffee in Singapore, they are marketing coffee as a lifestyle. Their shop in in ION Orchard. They have a very good program for members. The ION shop has baristas serving free coffee from their machines, and at same time, doing the selling. They even keep consumers' preferences in their CRM database and they do targeted marketing to get consumers informed of new flavours, re-cycling program, promotions.

 

and from my perception, they are very successful in this approach.

 

who will have thought that selling coffee has become such a complicated and "atas" product?

 

You are absolutely right.

 

Its clever marketing to get a better price for a commodity product.

 

It started with Gold Blend, I tried it and didn't find any gold in my cup at all.

 

[Kezg1]

Yup their products are without a doubt of good quality.

But the usage and the needs have change so much.

 

They couldn't jump into the mobile platform bandwagon.

I didn't know of Beats audio until my phone speaker was one.

If they market their product and focus on their core strength.

They could have captured the mobile crowd but they didn't.

 

They tried to do too much with little focus.

I know they have educational tablets, that have quite good specs, but children still prefer IPad and Galaxy.

 

...if losing so many millions $$ every 1/4...I bet a very good marketing gurus is probably less than 10 millions per annum...why not give it a try to revive the glory of creative name....hope he will do it.

[Jamesc]

 

Singaporean wives want what they want.

 

ATB give men what the men want to get what THEY want.

 

That's why usually see old man draw CPF take their ATB out.. =D

 

Yeah its really sad.

 

There is nothing more sillly than to pay for a bit of nookie

 

with a person's whole CPF.

 

[Lala81]

 

I've had a couple of Creative products. Yes, I had a Sound Blaster or two. But I also had a Muvo TX FM mp3 player (actually, still have it - it's indestructible). Frankly, I found it head and shoulders above anything Apple had at the time. Solid state flash drive-based, which meant it could survive pretty much any "normal" drop or knock even onto hard pavement. In fact, it could weather anything short of a direct thermonuclear hit. And very minimalistic controls that nevertheless provided a lot of options. 1GB storage, not at all bad in those days. And to top it all off, it had an excellent design - you transferred files by detaching the central portion which functioned as a USB stick. So not only was it a music storage system, it could store and transfer any files! There was never a need for cables or special software. And it used just a single battery (AAA, if memory serves). Lean and mean and very functional.

 

The problem was that Apple still led market share no matter what the competitors threw at it. You can't even say it was "founder effect" (i.e. being the first introducer of a product concept) like in the case of Windows. It was just that Apple had astounding marketing. They've always been known for having a cult following, and that's not actually too far off the literal truth. Apple sheeple just lap any crap the company serves up and calls it manna from heaven.

 

Even now, I can't fathom how the iPhone retains such a massive portion of the market share considering the other offerings out there on the market.

 

Bottom line: screw the engineers. Get the marketers to do the work. People are sheeple and will do as they're told.

 

actually yes, their muvo MP3 players were great.

 

Actually had 2-3 of those mp3 players for a while. Some still work!

[Miles]

i feel that Creative's undoing is all because of SWH. His stubborn insistence on product differentiation instead of brand differentiation. And his well known stinginess in spending on marketing and branding.

When competing against Americans, like Apple, you have no chance in US soil. The the trend throughout the world follows US especially in high tech and lifestyle.

 

Creative have in marketing terms, Point of Parity (PoP) in their products compared to competition, but they do not have Point of Differentiation (PoD) in which branding plays a major part. There is nothing that Creative have that competition do not have. Add to the fact that, new Chinese entrants to the market will kill them when it comes to price war.

Even Samsung who spent 3 times more than Apple on marketing couldnt really compete with Apple on US soil because of their biasness.

 

Once upon a time, Creative Technologies was hailed as the startup of the east just like how MS and Apple was. All because SWH managed to sell IBM their 16bit Soundblaster, which was then a game changer, as OEM to be installed into their machine when multimedia PC was an in thing in the 90s. Then they moved into the graphics card market and though not dominating like the sound cards, managed to outdo Voodoo cards (who beat Matrox millenium just months ago) with their licensed Nvidia chips. They were still successful.

 

Then they went into mp3 and made one of the first player - nomad mp3 player. Apple came knocking their doors wanting to partner Creative to sell mp3 players. SWH refused. The rest is history. I remembered SWH scoffed at the first gen ipod shuffle when it was introduced and said Creative already had the segment covered. Well, how many people scoffed at Steve Jobs and survived? To my memory, none.

 

Now, Creative is basically just like Samsung, battling in the market with the cheaper Chinese companies based on features and price. With low margin low market share, no brand presence in the world, higher cost of production,.. its a matter of time. Regardless of how good their product really is.

[Lala81]

 

I agree with you. Know yourself. Find your weakness and work on it to improve yourself.

 

In this case, it's definitely the marketing. I'm hardly a Luddite, but this is the first I'm actually hearing about the SB Roar. In fact, based on the reviews and the price, it looks like something I could really use, and I'm probably going to buy it direct from their store very soon. But the point is: that it took a random thread in a random non-audio/non-tech forum to even introduce me to this awesome (going by the rave reviews) product. They can't just depend on engineering and even design excellence to sell themselves by dumb random luck and coincidence (like in my case) - they need marketing gurus!

 

yes. actually i follow IT stuff in general but I've never heard of roar until today.

[Lala81]

Well it's SIm's company. He can run it into the ground if he wants.

 

Creative is really living on past glory. Can't keep up with the times.

I used to have a audigy 2 zs (GOLD connectors somemore haha). Used it for several years. Finally stopped using it when it died. Almost wanted to buy a new one but then i realised that AC97 audio codecs are fairly decent in terms of music reproduction.

The only good thing left about audigy was the sound effects in gaming.

[Tianmo]

Try having the top marketer or sales person reports to a product person or an engineer............and that marketer will end up in hospital very soon..........

 

engineers and product ppl are very important in B2B................but when it comes to B2C.........we need good marketers and sales ppl.........

 

I have worked with MDs who are train in finance...........MDs who are from productions..............and MDs with sales and marketing background......... totally different mindset and directions..............

 

Here the chief is a product person.........marketing to him is just another department in the company.............what can we expect...........

[Donut]

The whole idea of successful marketing is not to make the best product in the whole world. The idea is to make consumers THINK that your product is THE product to have.

 

One successful local company is Osim. Another "Sim" company.

 

they market their massage products as lifestyle products as well, not just another massage product to use.

 

their products are somehow integrate with each other, with clever marketing using celebrities endorsement.

[Kezg1]

Try having the top marketer or sales person reports to a product person or an engineer............and that marketer will end up in hospital very soon..........

 

engineers and product ppl are very important in B2B................but when it comes to B2C.........we need good marketers and sales ppl.........

 

I have worked with MDs who are train in finance...........MDs who are from productions..............and MDs with sales and marketing background......... totally different mindset and directions..............

 

Here the chief is a product person.........marketing to him is just another department in the company.............what can we expect...........

 

 

Its probably just like sinkieland where you have a army general to solve the transportation problems..

..

[Tianmo]

i feel that Creative's undoing is all because of SWH. His stubborn insistence on product differentiation instead of brand differentiation. And his well known stinginess in spending on marketing and branding.

When competing against Americans, like Apple, you have no chance in US soil. The the trend throughout the world follows US especially in high tech and lifestyle.

 

Creative have in marketing terms, Point of Parity (PoP) in their products compared to competition, but they do not have Point of Differentiation (PoD) in which branding plays a major part. There is nothing that Creative have that competition do not have. Add to the fact that, new Chinese entrants to the market will kill them when it comes to price war.

Even Samsung who spent 3 times more than Apple on marketing couldnt really compete with Apple on US soil because of their biasness.

 

Once upon a time, Creative Technologies was hailed as the startup of the east just like how MS and Apple was. All because SWH managed to sell IBM their 16bit Soundblaster, which was then a game changer, as OEM to be installed into their machine when multimedia PC was an in thing in the 90s. Then they moved into the graphics card market and though not dominating like the sound cards, managed to outdo Voodoo cards (who beat Matrox millenium just months ago) with their licensed Nvidia chips. They were still successful.

 

Then they went into mp3 and made one of the first player - nomad mp3 player. Apple came knocking their doors wanting to partner Creative to sell mp3 players. SWH refused. The rest is history. I remembered SWH scoffed at the first gen ipod shuffle when it was introduced and said Creative already had the segment covered. Well, how many people scoffed at Steve Jobs and survived? To my memory, none.

 

Now, Creative is basically just like Samsung, battling in the market with the cheaper Chinese companies based on features and price. With low margin low market share, no brand presence in the world, higher cost of production,.. its a matter of time. Regardless of how good their product really is.

 

I want to praise this..............but no bullet...........do it tomorrow.........

 

[Tianmo]

 

 

Its probably just like sinkieland where you have a army general to solve the transportation problems..

..

 

they sld just place the CSTO ( Chief Supply & Transport Officer) in MOT and see if it works........... [laugh]

[1fast1]

 

yes. actually i follow IT stuff in general but I've never heard of roar until today.

 

Phew. Thought I was the only one.

[Count-Bracula]

Just bought a pair of Creative speakers for my children's PC. Pretty good.

 

Creative Technology is definitely what they used to be in their hay days. Nevertheless, their products are still good and I will continue to buy them.

I have a pair of Cambridge Soundworks which I bought 18-20 years ago and they are still working. Sounds good but have been replaced by a set of Bose Companion 3. Eyeing the Bose Companion 2 for my office PC. Yup the building does look run down. Last time they used to have sales there but mostly refurbished sets.

Creative didn't know how to market their MP3 thou they are the first to introduce it.

I'm not impressed when they say "hey my mp3 players comes in 12 colours"

 

So what?

 

very very unlikely that roar will let creative make a comeback...it probably buy it some time though...

 

truth is that roar is selling like hot cakes but u got to rem it's a very competitive market segment....

 

In fact u take a close look at roar, u will realise why creative is failing...it is the best example u can find -

 

instead of focusing on the key features and functionalities, they try to cramp every single thing into 1 device...regardless if its useful or just downright ridiculous...example, do u know your creative roar can emit loud siren to scare off burglars?

 

will anyone actually use such a function at all?? Flip over to the rear of the unit and you can see how complicated it is....

 

 

 

Why no can opener?

[Camrysfa]

Miles, on 11 Aug 2014 - 2:28 PM, said:

 

 

• - - -

Even Samsung who spent 3 times more than Apple on marketing couldnt really compete with Apple on US soil because of their biasness.

 

• - - -

 

aided by some power hand . . . .

 

QUOTE (2013):

In June, the U.S. International Trade Commission banned the import of older iPhones and iPads, ruling that the devices infringed on one of Samsung’s most basic patents, regarding the way cell phones connect to a network. On Friday, however, the Obama Administration came to Apple’s rescue and vetoed the ban, a step no President has taken since 1987. (Samsung was the disappointed party then, too.) Obama did not simply bail out America’s homegrown high-tech champion; he showed how he plans to use the Oval Office to reform the U.S. patent system, one of the promised centerpieces of his technology policy.

[Estrangable]

Another crappy results from Creative -

 

THURSDAY, AUGUST 7, 2014

Creative Technology

Creative Technology: Creative posted a 4QFY14 net off of US$3.4m, versus a net loss of US$6.5m the previous year, taking FY14 net loss to US$21.7m versus a net profit of US$16.7m. The net profit from the previous year was largely due to other income gains of $28.2m, fuelled by a one-time licensing income and gain on divestment of a subsidiary company, barring which FY13 would have also been in the red. Revenue for the quarter was down 23.7% due to the uncertain and difficult market conditions which continued to affect the sales of the Group’s products and impacted sales across the group’s three geographical regions of Asia-Pacific, America and Europe. On its prospects, the group highlighted that it had introduced a number of new and exciting products during the year, particularly the Sound Blaster Roar, a high performance wireless portable speaker, which has seen positive reception. The successful launch of the Sound Blaster Roar is expected to provide good potential revenue growth opportunities in FY15, and with the Sound Blaster Roar beginning to contribute to revenue in the current quarter, Creative expects an improvement in revenue from the current levels and to report a lower operating loss. At the current price, Creative trades at ~0.93x P/B. The group has proposed a dividend of $0.05, taking its full year pay-out to $0.15, which represents a yield of 6.7