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Emitac Distribution expands into CE with Aiptek

Distributor announces first deal to extend business into consumer sector

Emitac Distribution expands into CE with Aiptek
(l-r): Patrick Mulligan, GM of Emitac Distribution and Frank Sheu, COO of Aiptek.

Emitac Distribution has announced that it is expanding its business into consumer electronics, beginning with a deal with Taiwan's Aiptek.

Emitac has signed an exclusive distribution agreement with Aiptek, to distribute its range of projectors, digital cameras and digital photo frames across the GCC.

The deal marks the first step for Emitac diversifying its line of business in the consumer sector.

Patrick Mulligan, general manager of Emitac Distribution told Channel ME: "This is part of Emitac's strategy to broaden its distribution base, historically we have been a very HP-oriented company, and the strategy in the future is to diversify our business beyond the HP business to other brands, and into other IT segments. The margin pressure on the IT segment is intense, and this is a strategy to enhance our business by diversifying into other areas."

Mulligan said that Emitac has increased its retail channel sales team to six people, with dedicated retail channel managers in Kuwait, Qatar and Jordan. The distributor is in talks with other CE vendors, along with retailers, and is looking for 10% market share within six months.

For Aiptek, Emitac aims to have its products available across the GCC within two months, through retailers and channel partners.

"Because Emitac has a very strong distribution network across the region, we expect to see these products on the shelves, at retail and the IT channel, widely, by March," said Mulligan.

Aiptek is bringing four main categories of product to the region, its 3D products such as camcorders and photoframes; traditional digital video recorders; picoprojectors including a world first projector with a DV function; and a fourth category, ‘cam-frame' digital photoframe with built-in camera, that can be used to capture old hardcopy photos as digital images.

Frank Sheu, COO of Aiptek said: "Aiptek is renowned as a leader in 3D technology, as well as pico projectors, handheld projectors. We are a leader in this particular product field, and we also specialize in bringing innovation to technology at a very affordable price, what we call inno-value. Most of our products range from $99 to $399 at retail level, roughly. This is the price point we usually do in the US and Europe."

Aiptek will be looking at a mix of partners with Emitac, depending on product lines, including CE specialist retailers and general IT stores. The company has also placed two sales and marketing executives with Emitac to help develop the business.

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