There have been quite a few posts here recently about B&O's future prospects during the gloabal recession - with most of them suggesting that survival means matching the technological offerings of the big Japanese/Korean producers while at the same time cutting prices.

Over the past week Sony has announced a €160m loss and Panasonic (the undisputed leaders in plasma technology) has revealed it is to cut 15,000 jobs and close 27 factories to cut its losses. Toshiba has posted a record loss, Samsung has said it its figures are also now in the red.

So I'm interested. Is B&O really suffering so much because its premium product strategy is wrong? Or are the company's problems due to the world economic position? And is the solution to be more like its competitors? Or to provide something even more different?

I have my own opinion, but I'm really interested to hear what others think now we can see that EVERY electronics company is suffering.

The only segment of Beo I have a problem with is their TV prices.

Partly cause I would love one! But I can't justify paying 20.000 euros for the one I want... 

Even if I could afford one, if cutting a few other corners a bit, but my Wife would KILL me. And that wouldn't be worth it.

I think they're audio products are decently priced. Perhaps the BS5 is a bit expensive, but that's because I can't help stop compare it to say a Mac mini. 

Kalle seems to be instituting changes behind the scenes as well as in the shops that will make us more competitive from every aspect. Prices will come down a little on some products as a result of the changes, but more importantly exciting new products will be released at low and medium price-points. It is the product that drives customers to us and we've had a run of products that are merely good. Though it's subject to intense debate, I see the BeoSound 5 as a return to form. As my colleague said yesterday, it's heavy on magic. 

Are B&O suffering from the recession? I haven't stopped my spending, in fact I have increased it more recently if anything. B&O has a different target audience to mainstream companies offering inferior prodcuts.

Simon.

The_Beonic_Man:

Are B&O suffering from the recession? I haven't stopped my spending, in fact I have increased it more recently if anything. B&O has a different target audience to mainstream companies offering inferior prodcuts.

Simon.

Even from a cursory glance at the TV news, I think you're now definitely amongst a decreasing minority Simon! Good luck to you though.

The_Beonic_Man:

Are B&O suffering from the recession? I haven't stopped my spending, in fact I have increased it more recently if anything. B&O has a different target audience to mainstream companies offering inferior prodcuts.

Simon.

Simon, it's usually business like Beo that are first hit. Beo is suffering from something. I would call it a mix of poor strategy///financial crisis.

I've been spending more money on Beo the last 6 moths than 8 years combined, but it doesn't help if we are only a few spending money...

Simon, have you considered a job in PR? :)

Although you've been spending, what have you bought since September/October 2008? More than £2000 of kit? I'd only really say this recession has hit hard since September.

In theory, I could say the same thing (BL9s in August, BL5s in October), but I'd say that I've temporarily stopped buying since October. Nothing in the last 3 or so months.

...actually, come to think of it I haven't stopped spending on B&O despite the recession and my transition from well-to-do civil servant to impoverished medical student. It's just a shame that the purchase and repairs to a Beolit 600, Beomaster 6000 Quad and a new pair of Peerless woofers for my MC120.2s weren't made at my local B&O store. Seriously though, I reckon the stores could shift a bit of hand-picked older gear alongside the new purchases. Why not get a Beolit 600 to go with your Beolab 5s for instance??

Mine weren't new purchases John. Don't assume. I bought ex-demo BL9s at a price I couldn't refuse and then had an option on mint second-hand BL5s, again at a price I couldn't refuse. I had to search high and low to find the money for those and it's affected my budget even in Feb 2009.

I've bought no new kit for months. That's why I asked Simon if he works in PR, as I doubt he's bought much new kit either. No point talking about how dealers are coming out of a recession, when we're talking about second hand or ex-demo kit ;)

Sorry Moxxey - the 'why not get a Beolit....' was a hypothetical statement about how dealers should offer some choice cuts of older gear to discerning punters, not a direct response to your post. Don't you assume either :)

I do agree on the dealer front - no point in talking about them turning a corner based on Beoworlders not spending money there!

I don't know, Simon. There are many reasons behind B&O's woes, for instance, I stopped working for them on a regular basis in February of 2007 ... look what happened!

soundproof:

I don't know, Simon. There are many reasons behind B&O's woes, for instance, I stopped working for them on a regular basis in February of 2007 ... look what happened!

yeah,thats a good one!