Logo of Phnom Penh Post newspaper Phnom Penh Post - Sharp decline for new electronics

Sharp decline for new electronics

Sharp decline for new electronics

SALES of new consumer electronics have declined by between 20 to 30 percent so far this year, as rising secondhand sales dampened demand, according to importers.

Consumers were not spending on electronics, despite other sectors rebounding as Cambodia’s economy improved, according to Sunsimexco marketing manager Taing Sothearith.

Sunsimexco is the Kingdom’s oldest electronics distributor in operation, and imports the products of eight brands including Sony, Samsung, and Panasonic.

“Restaurants are opening everywhere with lots of customers – I don’t know why our sales are still not good,” he said yesterday.

Pi Meng Leang, a senior salesman at K-Four, said that an increase in secondhand products was damping sales of new electronics.

The firm has three Phnom Penh branches and one in Siem Reap, and presently imports brand-name electronic equipment from Singapore.

“K-Four’s sales have declined by 30 percent so far this year, despite us discounting prices by 10 percent,” said Pi Meng Leang.

“Buyers are getting clever. Before they come to us, they are checking with secondhand shops that sell good-quality products.”

Vendors of used electronics generally claimed stronger sales so far this year compared to the first six months of 2009, as attractive pricing brought increased spending from the Kingdom’s middle and lower income families.

“Our sales are strong this year, especially from ordinary people such as farmers,” said Sok Chea, owner of a self-named electronics store on Phnom Penh’s Kampuchea Krom Boulevard.

“Now, the quality of secondhand products is comparable to brand-new items, while the price is completely different,” he said.

Sunsimexco’s Taing Sothearith said that despite a poor start to 2010, he expected sales to be in line with last year’s figures when high season ramped up next month.

However, he said the availability of counterfeit goods may also be partly to blame for falling demand.

“People are using our brand names on fake products – this contributes to the drop in sales,” he said.

The Kingdom is planning to establish a sub-committee on intellectual property rights enforcement, said Intellectual Property Rights Department Director Var Roth San.

MOST VIEWED

  • Chinese influx pushing locals, Westerners out of Preah Sihanouk

    Some within the Kingdom’s tourism industry have speculated that the recent influx of Chinese visitors may hinder domestic tourism as the price of accommodations in the coastal city of Sihanoukville continues to rise. Preah Sihanouk province, which has become a hotbed for Chinese investment

  • ‘Dire consequences’ from sanctions, warns AmCham

    American businesspeople in Cambodia have warned that any sanction against the Kingdom would have “dire consequences” that could push Cambodia even further into the arms of China. In a letter to US senators and representatives dated Monday, the American Chamber of Commerce Cambodia (AmCham) said

  • CPP: ‘Behave or Sokha suffers’

    The ruling Cambodian People’s Party (CPP) spokesman warned Kem Monovithya on Thursday that her attempt to damage “national reputation and prestige” would lead to her father, Kem Sokha, receiving even harsher punishment. Sok Eysan issued the warning as Monovithya, who is the court dissolved

  • Preah Sihanouk beach developments halted

    After receiving an order from Hun Sen, Minister of Land Management Chea Sophara led a team of experts and relevant officials to Sihanoukville to call a halt to the illegal development of a beach. The prime minister ordered the Prek Treng beach in Otres commune