B&O Financial Report: Heading for success or failure????

24 replies

Calvin wrote:

The first rule to remember about business analysis:  correlation does not equal causation

When I was working as a commodities analyst, it was painful to read the conflicting stuff: "Costs are going up which should support metal prices at $x levels"   "Metal prices are rising which will support price increases by raw material producers"   and so on

Agree. There's just the usual mix of genuine enquiry and black humour in this thread.

Karel Uyttendaele wrote:
In my very humble opinion.. Comparing B&O shares against Apple is of no relevance at all! The core audience of the 2 companies are just completely different. BeoWorlders might state otherwise...

I was not comparing share price - perhaps you meant market share ?

 

What I was trying to say was that a large R&D overhead divided by a aggressive sales forecast equals lower margins and a more affordable price

 

Put it another way, is B&O sales forecasting too financially conservative for their own good ... a self-fulfilling prophercy

Apple is a mass market product anyway....hate it when its compared to B&O.

elephant wrote:

Karel Uyttendaele wrote:
In my very humble opinion.. Comparing B&O shares against Apple is of no relevance at all! The core audience of the 2 companies are just completely different. BeoWorlders might state otherwise...

I was not comparing share price - perhaps you meant market share ?

If you're not comparing shares.. why show them in the first place?

My B&O Icons:

BeoCenter-9500.png BeoCenter-9500.png
Beoremote-Beo4.png Beoremote-Beo4.png
Beovision-11.png Beovision-11.png
Beosound.png Beosound.png
Beosound-Essence.png Beosound-Essence.png
Beosound-Emerge.png Beosound-Emerge.png
Beosound-Balance.png Beosound-Balance.png
Beoremote-One.png Beoremote-One.png
Beoplay-S3.png Beoplay-S3.png
Beoplay-M3.png Beoplay-M3.png
Beoplay-H9i.png Beoplay-H9i.png
Beoplay-Earset.png Beoplay-Earset.png
Beoplay-E8.png Beoplay-E8.png
Beoplay-A1.png Beoplay-A1.png

Wouldn't Loewe be better for this type of comparison instead of Apple.

http://www.loewe-uk.com/uk/loewe-ag/investor-relations/loewe-share/current-loewe-share-price.html

Quality...what quality?

My beosound 5 got dust under its screen within a few months. B&O haven't done a thing about it except to say i need to get it serviced. Got it cleaned and serviced now dust again.

Threatened a refund so not dealer approached B&O denmark for an exchange but they're painfully slow to reply...

Disappointed, disillusioned after thousands of ££££ on this.

No more B&O from now on.

BenSA wrote:

Apple is a mass market product anyway....hate it when its compared to B&O.

Out of curiosity, how do you define that? As Apple traditionally has had around 3-5% market share of computers, does that make it mass market?

There are computers in the same categories that cost 1/5 of an Apple; just as there are car brands that cost 5x+ what you pay for a decent new car.

Are the 5x+  cars pandering to a "mass market?"

How does a computer brand with 1/100 the on-market software available for PCs qualify as mass market? (Disregarding that you can run PC-software on a Mac, something just a small proportion of Mac users do.)

 

 

 

 

 

soundproof wrote:

BenSA wrote:

Apple is a mass market product anyway....hate it when its compared to B&O.

Out of curiosity, how do you define that? As Apple traditionally has had around 3-5% market share of computers, does that make it mass market?

There are computers in the same categories that cost 1/5 of an Apple; just as there are car brands that cost 5x+ what you pay for a decent new car.

Are the 5x+  cars pandering to a "mass market?"

How does a computer brand with 1/100 the on-market software available for PCs qualify as mass market? (Disregarding that you can run PC-software on a Mac, something just a small proportion of Mac users do.)

I just have to think of Ipods and Iphones........

Do some more thinking, then. The leading mobile phone manufacturers produce factors more phones, and a lot more mp3 players are sold. The stand-out design makes Apple noticeable - to the point that people are using other earbuds, to avoid being seen as an Applenic.

As mass marketing goes, one could say that B&O sells factors more BL5s every year than any other high-end loudspeaker manufacturer sells units in similar or higher price ranges - that comes as a surprise to many.

I don't wish to start an Apple/B&O discussion. It's a sad fact that B&O was so locked into its analog and unique control system for the home that it waited too long to consider making the jump into digital, and that has caused trouble. But it's also a sad fact that the world economy is not doing too well these days, and that makes selling these articles tough, unless you offer the market something that presents a mix of function and form that appeals.

As Apple last quarter had its best result ever, in a market struck by financial woes, this speaks to an ability to do just that. And reminds one of the success B&O enjoyed from the mid-60s until the mid 80s.

I'm hoping for some outstanding products from B&O, and wish that they years ago had built on what they had with acoustic lenses when they first launched them. That entire concept should be relaunched, integrated to playback from computers, with outstanding acoustic room-integration - after all the hold-outs in Struer who can't let go of the past are taken out to pasture.

That would bring people into the stores.

Apple - iPhone sales, up 100% in Q1: The Company sold 8.7 million iPhones in the quarter, representing 100 percent unit growth over the year-ago quarter. Unfortunately, they are selling millions of phones, that's true. 😕

Now for some real mass marketing - Q1 - Nokia:

  • Nokia total mobile device volumes of 107.8 million units, up 16% year-on-year and down 15% sequentially.
  • Nokia converged mobile device (smartphone and mobile computer) volumes of 21.5 million units, up 57% year-on-year and up 3% sequentially.
  •  

    linder wrote:

    Wouldn't Loewe be better for this type of comparison instead of Apple.

    http://www.loewe-uk.com/uk/loewe-ag/investor-relations/loewe-share/current-loewe-share-price.html

    Well, Loewe seem to have dropped from about 38 euro to 6 euro, so not quite the dramatic fall of B&O but very similar.

    The comparison with Apple was not intended to start an Apple vs B&O product comparison, but to just point out that Apple share price is climbing and yet they sell products to willing customers at about double the price of similar products by others. The success of one lower priced product (you can argue about whether it was the iPod or iPhone) seems to have spun off into increased sales over the whole product range.

    B&O could do with following this model: one quality item selling for up to double the competition, but within the purchasing range of a large number of customers. Such an item would eventually lead to increased sales across the whole range.

    Personally I think that a B&O module combining DAB and N radio  (like a Pinnacle or Roku unit + DAB) that could be plugged into any B&O vintage or current product, including auto mains power-on or off (for the power lead of the main unit) would do it.......... and it could be used for other makes of tuner/ amplifier. This would also cover the possible demise of FM and keep many tuners in long-term use. Simple low-cost electronics with reliable components in a very high quality case.

    Graham

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