infoTECH Feature

July 28, 2008

Characteristics of 2008 China Flash Disk Market Analyzed by CCID Consulting

Chinese research, consulting, and IT outsourcing service provider CCID Consulting has released an analysis of China's flash disk market for 2008. The data shows that the sales volume of China's flash disk market in Q1 of 2008 reaches 3.9028 million sets, which is up 43.5 percent year-on-year. This good opening for 2008 has led to optimistic forecasts for the market outlook.
 
The upgrading of Flash memory capacity has been the most significant change in the China market. In 2008, 2G flash memories became mainstream products. Further, 4G and 8G flash memories, which were unattainable products in 2007, are now commonplace for consumers in 2008.
 
Major Flash memory producer Aigo tends to focus on the high-end market and industry customers. The company has maintained a traditional commercial image. Some of the company’s USB disks have obtained a good market reaction. Approximately 20 percent of sales volume growth was seen from women consumers in 2007.
 
Due to its success in the personal user market, Aigo has focused on this segment by emphasizing product design. For example, Aigo has released a series of products targeted specifically at women users, including a butterfly-like USB disk. Aigo has also adjusted its price strategy. In Q1 2008, Aigo achieved a satisfactory performance in the personal user market.
 
Kingston, too, has enjoyed rapid growth. In Q1 2008, the company’s sales volume was up 360 percent year-on-year, making it a “dark horse in the flash disk market” as a result of its impact on other major brands. Due to the advantages in channel, upstream chip resource and their products' performance price ratio, Kingston achieved good growth for the year.
 
Lenovo's (News - Alert) flash disk market is up 270 percent year-on-year with a sales volume that is slightly less than Aigo, who achieved the largest sales volume. Lenovo's major advantages lie in being a major brand and in having independent channels, Olympic propaganda, and IT industrial sources.
 
CCID Consulting Co., Ltd. was the first Chinese consulting firm listed in Hong Kong’s Growth Enterprise Market of the Stock Exchange (GEM (News - Alert)). It is directly affiliated with the China Center for Information Industry Development. The company has its headquarters in Beijing with branch offices in Shanghai, Guangzhou, Shenzhen, Wuhan, and Chengdu. More than 300 professional consultants serve over 200 large and medium-sized cities in China.
 
Calvin Azuri, TMCnet Contributing Journalist.
 
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