News and Research on Acorn International, Inc. (ATV)
Business Description
Acorn International, Inc. operates as an integrated multi-platform marketing company in China. The company’s two primary sales platforms are TV direct sales platform and nationwide distribution network.
Products and Services
The company offers approximately 100 products and services through its multiple sales platforms. Its featured product categories consist of electronic learning devices, consumer electronics, cell phones and health and wellness products, including approximately 35 products. The company also sells other products including autocare, beauty and household products.
Product Categories
The company’s featured products are offered in the following categories and under the following proprietary and third-party brands:
Electronic Learning Devices featuring the Ozing brand name. The company’s primary Ozing branded product is a multi-functional handheld electronic device with a screen display that provides lessons for independent English learning. It markets and sells Ozing device, targeted at middle and high school students.
Consumer Electronics Products featuring the Net E-cam, Aptek Net E-cam and Soloky brand names. The company markets and sells digital camera product under the Net E-cam brand. It offers digital video product under the Aptek Net E-cam brand name. The company markets and sells consumer electronics products with advanced applications under Soloky brand. Its Soloky product is a digital video device that includes digital camera, MP3 and MP4 capabilities. In 2006, the company also began selling GPS product under the Soloky brand.
Cell Phone Products featuring the HTW, CECT and Gionee brand names and China Unicom’s CDMA services and CDMA cell phones from China Unicom’s partners. The company entered into a joint sales arrangement with HTW to distribute some of its branded PDA cell phones in April 2006. In 2006, the company entered into joint sales agreements with CEC Telecom Co., Ltd. and Yiyang Yukang Telecom Equipment Co., Ltd. to sell their ‘CECT’ and ‘Gionee’ branded cell phones. In September 2006, the company entered into a marketing services arrangement with China Unicom to develop a multi-phase TV direct sales marketing plan to promote China Unicom’s CDMA services and CDMA cell phones from China Unicom’s partners.
Health and Wellness Products includes Babaka, Zehom and Youngleda brand names. The company markets and sells Babaka branded posture correction product, Zehom branded sleeping aid product, and Youngleda branded portable mechanized oxygen generating device.
Significant Events
The company, in January 2007, entered into a marketing services arrangement with China Pacific Insurance under which it would market their insurance services using the company’s TV direct sales platform.
Competition
The company competes with other TV direct sales companies operating in China with similar business models to the company, including Pacific Media, China SevenStar and Smile TV (Chi Ma Ao); TV home shopping companies that operate on one or two TV shopping channels in a single province such as Oriental CJ Home Shopping, GS Chongqing Home Shopping and GD Hyundai Home Shopping, as well as TVSN, which operates on multiple TV channels; Traditional retailers and distributors, as well as direct marketers, such as Avon, operating in China; and other Internet and e-commerce companies in China that offer consumer products online via an Internet platform, including eBay’s China site, Alibaba’s Tao Bao, and Dang Dang.
History
Acorn International, Inc. was founded in 1998.
