By Aaron Greenwood
Japanese CE vendor looks to bolster its presence in key markets across the Middle East.
Consumer electronics and household appliance vendor Suns Corporation is seeking new channel partners in the Middle East as it bids to increase the presence of its Sunstech brand in the region.
Headquartered in Japan and with a regional office in Dubai, Suns Corporation has taken an innovative approach to the consumer electronics sector.
Sunstech’s distributors are also shareholders in Suns Corporation, which all but guarantees the brand’s exposure in existing markets across the Middle East.
However, a combination of rapid commercial growth and a rapidly expanding product range is forcing the company to redress its current distribution agreements and look towards appointing channel partners from outside the consortium, explained Ravi Matthew, the managing director of Suns Corporation’s Dubai-based division, Suns Marketing.
“We established Suns Corporation in 2003 following the demise of the [Japanese] Aiwa consumer electronics brand,” he told ECN.
“The company has grown rapidly in the proceeding period purely as a distribution consortium promoting the Sunstech brand.
“However, with the continued expansion of our product range, we are now looking to target sectors of the market that are not necessarily compatible with existing markets catered to by our distribution partners.
“For instance, many consumer electronics retailers prefer not to sell household appliances, which is a sector of the market we are looking to further penetrate in the Middle East.”
Matthew said the company would actively seek new distribution agreements for its products with partners in countries including Iran, Iraq and Saudi Arabia.
He claimed the UAE also held huge potential for the Sunstech brand moving forward.
“The UAE’s commercial potential for consumer electronics and household appliances is still to be fully realised,” he claimed.“It really is the ‘shop window’ for the entire Middle East region and there’s a huge re-export market that is yet to be fully tapped from Dubai,” he said.
“We will also be looking to penetrate other markets including South Africa, India and Pakistan.
“In addition, some of these markets require local assembly plants so we may look into establishing a local manufacturing presence in due course.”
Matthew said Suns Corporation expected to increase its annual turnover to US$500 million by 2008, up from just US$100 million in 2005.