Wednesday, December 14, 2005

there's something about ..... being creative

Creative: Zen Vision:m
SINGAPORE - December 8, 2005 - Creative Technology Ltd. (NASDAQ: CREAF), a worldwide leader in digital entertainment products and the number one manufacturer of MP3 players with music subscription support, today introduced the Zen Vision:M, Creative's premier 30GB video player, photo viewer and MP3 player. Designed with a stunning, 2.5-inch, high-resolution 262,144 color LCD screen, the Zen Vision:M displays rich, vibrant digital video, and photos, full-color menus and album art. The Zen Vision:M will be available in gorgeous high-gloss black, white, blue, green or pink this month for US$329.99 at

"When people see the Zen Vision:M, they tell us it's incredibly cool," said Sim Wong Hoo, chairman and CEO of Creative. "We designed the Zen Vision:M with its mesmerizing 262,144 color screen to display four times the color of the 30GB iPod that plays video, and to provide twice the battery life for video playback. Plus, we offer people the freedom to choose their video in a variety of different formats, and to get subscription music or download tracks from a number of different sites to their player."

I'm not promoting this gadget because I'm not popular enough for someone to give me gifts to promote it in blog.

In fact, I'm neutral to the brand Creative. Just like I'm neutral to the brand Apple. But I do know what "cool" is.

While ipod is considered as cool by everyone, it is something unspoken. It's not something that can be define.

To borrow what Mark Lee said during Star Awards "If you are good, you don't have to say you are good, people will say you are good, the road is long, my heart will go on".

"Cool" is something like that.

However, carrying an ipod doesn't make you cool instantly. Ask Edwin.

Paris Hilton was using Zen micro mini, but people didn't think she was uncool.

So what ipod did was great marketing. Create something that is beautiful, so be it if the gadget is mediorcre, and people (both cool and those not cool but want to be cool) will buy it.

What Creative did was marketing suicidal. Create something that looks so-so but on a gadget that gives a great punch, pronounce it as cool, price it $100 cheaper than the market leader, add lots of colour, and hope people (both cool and those not cool but want to be cool) buy it.

Now.. let's do your math.

Ipod: simple gadget + just 2 colours (black/white) + cost more = profitability

Zen: give more in gadget thus more components + lots of colours means more stocks and costs + charge lesser = tight profit margin.

Now... let's examine what Sim Wong Hoo says.

"When people see the Zen vision:m, they tell us it's incredibly cool"

Sim Wong Hoo: So what do you think of this product?

Staff A: Oh.. it's beautiful.

Sim Wong Hoo: YOU ARE FIRED!! Next... what do you think of this product?

Staff B: errr.... it's fantastic?

SWH: YOU ARE FIRED!!! Next... what do you think of this product?

Staff C (flipping thru dictionary):'s cool?

SWH: YOU ARE DEMOTED!! You... what do you think of this product?

Staff D: err.... it's incredibly cool?

SWH: YES.... YES!!! I just knew it!!! That is what I always says... Creative is incredibly Cool!!!

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