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Vol 11, 2007
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Changing Lanes

Houseware

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Kitchenware manufacturer Davidcraft HK Co Ltd has found vigorous demand for new lines in the healthcare and beauty sectors

Wise manufacturers will always be alert to adversely changing market conditions. Sometimes, they will face difficult decisions regarding the direction the core business should take, and may add what might seem to be rather unlikely business lines.

This not-uncommon scenario faced Davidcraft HK Co Ltd, which is part of the David Group with offices in New York, Toronto and Seoul. Essentially a manufacturer of kitchenware, the firm subsequently found vigorous demand for new lines in the healthcare and beauty sectors.

"We decided to take advantage of another growth sector, which turned out to be healthcare, and to fully utilise our expertise to produce alternative and more profitable items," says Sales Manager Martin Chan.

Despite the new initiative he insists that cookware remains a major category for the firm and is available in two main formats: stainless steel and aluminium. "People no longer view cookware as merely pots and pans," he smiles. "Today, many special metalwork processes are involved, especially in stainless steel, while hard-anodized aluminium ware is in a category of its own. Both types are highly popular."

A Davidcraft specialty is induction-heating cookware with butterfly handles. "These models are frequently seen being demonstrated in large department stores," Mr Chan remarks. "As no flame is required, this design is popular for safety reasons. Other features include saving on storage space and being dishwasher-proof."

Also popular is an eight-piece stainless steel cookware set comprising saucepans with covers, a Dutch oven, an open skillet and a set of steamers to fit different pan sizes.

"The bodies are pure stainless steel, while the bases have 7mm-thick aluminium plates for better heat distribution," says Mr Chan, noting that the detachable, multicoloured handles are a fashionable touch.

"While we accept OEM terms for all items, we generally use our own Gobert brand name for aluminium, hard-anodised pans," Mr Chan advises. "Our main offering is a 10-piece set in the deluxe class with tempered glass covers. This includes two sizes of saucepan with covers, a Dutch oven with cover, stock pot with cover, a frying pan with cover and a helper-handle."

Mr Chan says that all is not well in the cookware sector. "Metal prices fluctuate all the time, but the trend is always up," he remarks. "As clients are generally reluctant to absorb these increases, claiming that they cannot continually adjust street-level prices, we are forced to accept slimmer profit margins."

This situation reached critical mass about three years ago, and culminated in the firm's decision to diversify its business interests. "So, in addition to cookware we now offer healthcare and beauty-related products, mainly in plastic," says Mr Chan, adding that there are dedicated production lines in place.

"So far, we have personal and family UV toothbrush sterilisers, a unit for sterilising cutlery and chopsticks that can easily be carried, and a general UV sanitising container designed for the home to accept anything from shavers to contact lenses and even dentures!"

Another unusual item is the firm's BraCleanerTM. "This is a simple idea," says Mr Chan. "The bra is folded into a plastic container that has a viewing window, and then popped into the washing machine along with the usual load. This device eliminates hand washing, thus saving a small chore for the busy housewife."

Another buzzword is ozonisation. "We use ozone techniques to great effect with products such as our FreshVegeTM washer and spinner that works to eliminate pesticides and germs. This particular item has a spinner that gets rid of excess water. It is priced at less than US$30 each FOB Shenzhen."

There is also a Freshing TowelTM machine intended for offices, schools and restaurants. "This item employs ozone and other sterilisation techniques," says Mr Chan. A quiet motor produces fresh, moist disposable towels, and the only chemical used is disinfectant in the water. There is also a selector to choose between 'hot' and 'room temperature' towels."

An optional plug fitting makes the hot towel machine suitable for use in a car or a boat. "The disposable towels are made from tree-pulp for added environmental friendliness," Mr Chan adds.

Some of the firm's cleaners employ sonic induction techniques, using a transducer to vibrate water. "You might see this in optical shops being used to give a final, hands-free cleanse of lenses," says Mr Chan.

In conclusion, Mr Chan emphasises that, while cookware remains a staple product category, Davidcraft is highly capable of manipulating its manufacturing techniques for maximum efficiency and profitability.

"More people are spending money on healthcare and beauty items these days," he adds. "A cooking set, on the other hand, may last for years."

It is clear that Davidcraft HK Co Ltd has set out to prove that change can be highly beneficial, and seems to have succeeded.

TEXT BY TONY HENDERSON

Fast Facts

Davidcraft HK Co Ltd
Rm 1507
Star House
3 Salisbury Rd
Tsim Sha Tsui, Kowloon
Hong Kong
Tel: 852-3590-2719
Fax: 852-3590-2571
Email: info@davidtronics.com
Web: www.davidtronics.com
Year Established: 2001
Major Product Categories: small consumer electronics, houseware
Brands & Certificates: Gobert
Minimum Order: 500 units
Monthly Production Capacity: 60,000 units per model
Delivery Time: 30-45 days
Factory Size & Location: 1,500 square metres; Shenzhen
Workforce: 200

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