Once upon a time, “high quality but low price” has been a talisman when China’s toys competing in overseas market. However, now it’s the time to change our concept, and change “low price” into “reasonable price”. For better quality, it is worth while to weaken part of advantage on price. Otherwise, it is hard to adapt ourselves to dynamic global toy market at present, let alone any development.
This year, United States has launched successive recalls on large quantity of China’s toys. Ascribing the quality problems to design part, Mattel has clarified the affair to China and announce to assume all responsibility for the recall. Lots of people think it should be an end. However, it is far from it.
To arouse a great sensation, American media gives a play-on to “recalling China’s toys”, but on the contrary, Mattel’s apology is mentioned lightly. Though Mattel has its words, consumers in United States still have vigilance against China’s toys, which has affected their sales. Therefore, the pressing task for us is to reassure consumers and make “made in China” a more reliable name.
We believe that, in order to maintain competitiveness, it is a necessary stage for China’s toys to cement product quality and advocate “high quality in reasonable price”. Only by this way can we live in the present and win market shares. These demands come from home and abroad.
--US official recently reviews in the US-China Toy Safety Conference that, US will probably launch stricter requirement on product quality. It is known that, moreover, EU will elevate standard on toy import. These two are major export markets for China’s toys.
--Domestically, in order to boost up quality of toys, related governmental departments have carried out special rectification, checking thoroughly companies that with license certificate of toy export. Regulations such as Implementing Rules about Quality License of Toy Export and Administrative Provision on Children’s Toy Recalling have been issued. A quality control system is established to cover all procedure including raw materials purchasing, production, inspection and circulation.
The Canton Fair just closed on October sees full description. Total transaction in autumn session has grown by 2.9%, but bargain for toys lowers by 10.7%. What buyers care most now, is quality, instead of price.
Strengthening product quality is bound to increase cost to some extent. Some will express their worry that, it might affect products’ competitive edge. But in fact, advocating “high quality in reasonable price” does not necessary mean lose of market. Though transaction on toys during the autumn session declines, we see a great margin of growth on export price. Plastic toys rise by 10% and plush and cloth toys rise by 5%. Owner of companies review that, the price rising results from increase of direct cost for production, for instance, raw materials and inspection. In addition, latest custom statistics show that, Guangdong’s growth on toy export in September sharply slides to 5.4%, but when it comes to October, it fights back to 27.6%. Expert indicates, clarification of main course for recalls has helped U.S. buyers to restore their confidence. In view of increased export quotation, they gradually trend to accept the fact.
In this way, “high quality in reasonable price” is a completely safe strategy to maintain competitive edge of China’s toys. █ |