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  Pioneer’s Mass Marketing Mistake

By Sarah Falson | Thursday | 2007-11-22

Spotty-faced 18-year-old resellers are not the right people to sell $12,000 Pioneer plasma TVs, claims one of Australia’s leading marketing experts.

When struggling Japanese consumer electronics company, Pioneer, held a reseller get-together on Monday night to inform its valued partners that it was changing its retail technique and would now be selling its LX product range in 130 retailers including mass merchants such as Harvey Norman, representatives from boutique outlets reeled.

Not only would they lose sales to cheaper businesses with more buying power, but specialty retailers could now face decreased sales of their other high-end Pioneer products due to perceived decreased brand worth, said representatives who attended the event.

Following dramatic losses in plasma revenue over the past year, Pioneer has been forced to restructure its sales pitch numerous times to keep afloat. The latest about-face has already seen the company step on the toes of its most valued specialist retailers -- businesses who stand by Pioneer's high-end products and offer the after sales support, customer service and installation to prove it.

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