“IT Month” mania sates year-end consumer demand for electronics

This article was written by Allen Hsu and published by the Taiwan Journal on January 4, 2008. It features the 2007 IT Month in Taipei, which was held at the Taipei World Trade Center from December 1 to 9, 2007. The trade show showcased information-technology-related products from 350 domestic and foreign companies at 1,765 booths. According to the Taipei Computer Association, the trade show was an overwhelming success, attracting around 750,000 local and international visitors.

According to industry experts, consumers in Taiwan have made it a habit to wait until IT Month to replace their old electronic gadgets with new models at bargain prices. This is because the trade show is the best place to compare the advantages and disadvantages of various products.

For example, at the trade show, Hewlett-Packard Taiwan Co. Ltd. highlighted its close ties to the youth market and flexibility in product-design responsiveness. One of the most frequently sought-after notebook models at the exhibition was HP's Pavilion series. According to HP, the HP Pavilion HDX series contains Intel Corp.'s dual-core, energy-saving processor for mobile computing, as well as a Blue-ray disc player that enables users to maximize high-definition entertainment on the unit's dual-hinge 51-centimeter wide screen. This powerful machine attracts customers who look for a stylish, dramatic and high-gloss finish.

According to Kenichi Ohmae, one of the world's leading business and corporate strategists, societies are becoming increasingly "M-shaped", which are typified by growing upper and lower classes at the expense of the middle class. The mode of people's purchasing behavior is also changing, as sales of premium and budget products are increasing in tandem. If HP's Pavilion-series notebook computer is categorized as part of the former, then Eee PC, Asustek Computer Inc.'s most recent offer, is an example of the latter.

Asustek is currently the world's largest motherboard manufacturer and a major contract PC provider. At Taipei's IT Month, the company's overall sales grew by 30 percent, with each consumer spending US$151 on average. According to Asustek, the appeal of Eee PCs has been helping the company expand its consumer base, wooing the gray and student markets in particular.

The Aspire series produced by Acer Inc., the world's third-largest PC manufacturer, were another red-hot item for IT Month goers. For example, Acer's Aspire 4720 is considered an entertainment PC with its powerful mobile processor. This notebook boasts cutting-edge graphics and Dolby surround sound that attract tech-savvy consumers.

Notebook computers were indeed the most popular electronic items at the 2007 IT Month. However, other products sold very well, too. These include liquid-crystal-display monitors, digital cameras, digital photo frames, global-positioning-system receivers, and flash drives. For example, BenQ Corp., one of Taiwan's leading consumer electronics manufacturers, displayed 94-centimeter and 107-centimeter high-definition LCDs.

On top of shopping for electronic gadgets, visitors specifically came to the trade show for its themed areas where corporate imaginations had gone into overdrive. In 2007, seven well-known IT-related companies from Taiwan and overseas collaborated to highlight the show's theme "in love of digital life". These companies were Acer Inc., Asustek Computer Inc., Garmin Ltd., Lenovo Taiwan, Sony Taiwan Ltd., Advanced Micro Devices Inc., and TomTom International BV. From the perspective of convenience, entertainment and taste, these companies showcased their vision of what so-called modern digital life would be like with their latest models.

Specifically, In the "entertaining life" display area, DreamWorks Animation SKG, Inc. and AMD demonstrated how AMD's powerful quad-core processors were able to save time and money during the production of animated movies. In the "convenient life" area, Garmin and TomTom's latest GPS technologies, including voice navigation and mobile-phone-based systems enabled by Bluetooth, were displayed.

For Taiwan's consumers, IT Month is a time when they are exposed to a wide range of the latest electronic products that are available at highly competitive prices. However, to market observers, the trade show is much more than a sales frenzy. It is considered a reliable indicator of the IT market's future direction for the coming year. And judging from the 2007 show, the sector is very likely to enjoy a promising 2008.