Interview about Sony operations and dealers in Europe

Editor: Sony Europe has bought many new videoconferencing products to market in 2006 and 2007. How have markets in Europe received these important new products?

Kees: We have done really well in the last 2 years and Sony has been outgrowing the market growth year-on year in the EMEA region. Sales have been good throughout our product range with special highs in the PCS-G50P, our midrange group system and the PCS-TL50P, the executive desktop unit. But we also continue to enjoy a lot of demand for the PCS-1P, our trusted entry level product that continues to be a best seller since many years.

Editor: Has Sony found an interest in the Sony PCS-HG90 HD video conferencing system and codec in European markets? What type of user is buying Sony HD VC in 2007?

Kees: The HG90 has earned a really great reputation in the market as the best HD VC system. Our customers for HG90 are mainly the ones where there is no room for compromising on quality. Applications are typically very high-end boardrooms and auditoriums and we have also sold a number of systems to partners who organize events where live transmission is needed to a big audience, mainly in the Healthcare environment. It is really great to see a live operation projected on a large screen with very accurate color and detail reproduction.

Editor: What has Sony done to educate the European market of the advantages of Sony HD videoconferencing? And in 2007 have (a) existing customers and (b) first time users preferred the Sony HD-ready offerings to SD endpoints?

Kees: We have taken the HG90 across Europe in many road shows, and whenever we can we also demonstrate the product to customers in their own environment. This is important as it can be difficult to read the quality difference from a spec sheet comparison, so we have to be out there and show this to customers. Although we have seen an increased interest in HD VC, it needs to be said that there are still many customers who continue to buy SD solutions from us. SD systems from Sony deliver really great quality also at lower bandwidth and have a very good price point.

Editor: What proportion of Sony endpoints sales in Europe were HD in 2007 and what do you estimate they will be in 2008 and 2009?

Kees: The majority of our sales is still SD VC systems. But we see that the market is getting ready for a more wide scale deployment of HD systems as high bandwidth network connection is becoming more available and more affordable. We have recently seen an uptake for our HD-ready solutions and we believe that the interest for HD VC will dramatically increase in 2008.

Editor: How did Sony videoconferencing revenues perform in Europe in 2007 and what are the channel partners telling you about the prospects for 2008?

Kees: We have outgrown the market growth for 2 years on a row and we have gained a lot of confidence from our channel partners with our Channel Accreditation Program. This embodies our commitment to work closely together with them on the future. Important is that this program is not so much about finding as many channel partners as possible but it is all about finding the right partners. We have become very close to these partners and together we build on the future.

Editor: What are the major changes you have made in Sony's strategy for selling videoconferencing products in 2006 and 2007 and what are the new directions for 2008?

Kees: The previously mentioned accreditation program has made a major change in our route to market in the past years and we will continue to build on this in the future. In 2008 we will continue to build the right mix of partners to bring to market our existing portfolio and new HD products.

Editor: How many of Sony's audio-video channel partners in Europe today are successful in selling videoconferencing? What will be done to support them even more strongly in 2008?

Kees: In addition to our great product portfolio and very good T&C's, we support our accredited channel partners with regular sales and technical trainings, collaterals and sales books, local road shows, lead generations, after-sales support, regular product information, etc. Basically this is what we already do today, but by working closely with our partners we try to continuously improve.

Editor: How does one become an approved Sony videoconferencing endpoint and infrastructure products channel or VAR? Is it a tough to qualify?

Kees: We expect channel partners to have in-depth knowledge of the videoconferencing market and the Sony offering in particular. They are also required to have the technical know-how to roll-out a VC solution and offer good service to the end user. Channel partners need to have a solid business plan with a clear sales and marketing strategy. To be eligible to become a Sony Accredited Channel partner you need to demonstrate these qualities and you can then start the qualification process with us.

Editor: What is your message for 2008 to your existing and new Sony partners in Europe?

Kees: The years ahead of us will be very exiting as videoconferencing will be moving into HD. Who else than Sony, the HD supplier, will play a very important role in this field as leader and innovator? Channel partners can feel very comfortable that with Sony they can continue to provide best-of-breed solutions at the best price point in the market.

Editor: Kees, thank you very much for these valuable insights.

Source: www.VCInsight.com