Panasonic will enhance the variety of dwelling home equipment that shouldn’t have worth cuts at retail shops to 50% of the white items bought in Japan subsequent fiscal yr. As an organization, we want to forestall worth collapse and enhance profitability by rising the variety of goal merchandise.
Regarding the sale of dwelling home equipment, typically the shop facet freely decides the shop worth, however Panasonic doesn’t specify the value on the retailer and cut back the value, however takes over the stock. The system was launched for some merchandise three years in the past.
Last yr, the corporate expanded the goal of the system to about 30% of gross sales of white items corresponding to washing machines and dryers, however it is going to be expanded to 50% subsequent yr.
By rising the variety of eligible merchandise, the purpose is to forestall worth collapse and enhance profitability.
However, for the reason that market share of merchandise corresponding to fridges and microwave ovens that had been topic to the system has declined, we’ll strengthen improvement sooner or later.
Attention shall be paid to how Panasonic’s alternative of accelerating shopper electronics merchandise that don’t cut back costs will have an effect on shopper buying conduct and the gross sales methods of different producers.