Haier has just become a member of Euronics and its first offer to the buying group’s members will be available from mid-May. Jeff Moody, sales and marketing director of Haier UK & Ireland, spoke to Anna Ryland about the significance of this step for the Chinese company and the benefits for CIH members.
“Joining CIH is a crucial development for Haier UK,” commented Jeff Moody. “The company management understood that this is the best route to key independent dealers who would put our products in front of the consumers. Haier products have to be displayed for the consumers to appreciate their unique features and design, such as the glass finish. Then the competitive pricing will be seen as a real bonus.”
Haier will have two distinctive offers for the CIH membership. On the CE side, the agreement will become operational in mid May when eight LED televisions ranging in size from 19 to 26in, some with built-in DVD players, will be available to the group’s members from the central CIH stock.
Mr Moody considers the Haier offer to be particularly timely: “We tried to concentrate on small screen TVs since we believe that after upgrading their main home television in 2010, this year people will be buying the second and third digital TV for the house – for their kitchen, bedroom or study. This will give independents an opportunity to sell up from entry products. We also have 32, 40 or 50in products, but we tried to give CIH members a competitive offer of core products with the latest technology.”
This offer has been launched with a display deal – ‘one to show one to go’ which allows retailers to buy two of each model, with 15% off the purchasing price of the second product for display. “This will allow retailers to buy as little and as frequently as they need.”
In addition, Haier will offer Euronics members a range of eight domestic appliances, including three-door refrigeration, dishwashers, washing machines, washer/dryers and dryers. “We are trying to focus on high featured models rather than entry-level products. All our refrigeration is A+ rated. And again the deal is similar to that on televisions: buying two products the retailer will get 15% off the second one. So if a retailer has more than one store they can buy two models for each store and receive the discount on the model on display. Importantly, every Haier product sold through CIH will come with two-year warranty.
“CIH members can buy the other twenty five lines of Haier products from us directly. They can place their orders through CIH but Haier will deliver them from our stock.”
Haier plans to promote its partnership with CIH through its website but also using viral marketing and social media.
Finally, Mr Moody adds: “I am not sure that many people in the industry realise what a great service CIH provides for manufacturers. If not for the buying group, a manufacturer would have to offer credit accounts to every dealer. In the current economic situation, when many retailers struggle with retail credit, this is a real bonus. This is in addition to the volume of sales that the group delivers.”