Hong Kong Enterprise 02/98 - Product Features (tdctrade.com)

Product Magazines: Product Trends

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THE table lamp has proved one of the most popular of household accessories. It is found in virtually every house and apartment and comes in a multitude of shapes, sizes, designs and styles. The market for the product is continually expanding and changing, and Hong Kong manufacturers are always there to meet the demand.

Extra Light (HK) Electrical Co Ltd was established in 1991 and produces more than 320,000 lamps and lights per month. Manufacturing mainly in wood and metal, Extra Light offers a wide range of products to customers based predominantly in Europe and the US.

"We use different types of wood, mainly imported from Canada," says marketing executive Irene Wong. "We have an experienced R&D department based at our factory in [mainland] China. They are constantly coming up with new ideas as well as any design requirements our customers may have."

The Extra Light range includes the wooden-based Anglepoise Halogen Desk Lamp (EL-832) and the Flexi Desk Lamp (EL-833), with FOB Hong Kong prices starting at US$13 and US$14 per piece, respectively. Extra Light specifies a minimum order of one TEU and delivers in about 30 days after confirmation of order. Wong maintains that Extra Light has built its strong customer base on good quality and service. Marketing strategies call for attendance at various trade fairs.

New Design Enterprises Ltd is another company which has found trade fairs a useful tool for promoting its goods. Manager Alex Yung explains: "We have built a good reputation by producing the designs which our customers want and by offering good service. We exhibit at the Hong Kong and Frankfurt gift fairs which gives us a chance to meet existing customers and to attract new ones."

New Design was founded three years ago and today manufactures an exciting range of decorative lamps, such as the iron lamp with shade (US$12.24 FOB Hong Kong), porcelain lamp with shade (US$14.46) and wooden lamp with shade (US$10.17).

The company sets a minimum order of US$10,000 per shipment and offers a delivery time of 75 days. "Our designs are popular because they are modern and fashionable. We have more than 100 of our own models but can easily manufacture customers' designs as well," Yung says. New Design manufactures in mainland China using local materials, exporting to its customer base in the US and Europe. The company reports that markets in South America and the Middle East are rapidly growing.

Honston Int'l Ltd is another relative newcomer to the business, but in the three years it has been operating has already built up an enviable customer base in Europe, including Scandinavia, where it exports more than 40,000 pieces per month. Specialising in the manufacture of lamp bases, Honston can also supply any type of shade required through its network of suppliers.

"We have over 400 designs in our catalogue, mostly made of iron and zinc alloy. We can manufacture a particular design for a customer and can provide all types of shade in any material," says manager Kwan Yiu-wa. Included in the Honston range are a table lamp with an eight-inch glass shade (HT4-001) selling for US$15.20, a lamp with a 12-inch glass shade (HT4-003-1) for US$16.30, and a lamp with a 12-inch fabric shade for US$17.10. All prices are FOB Hong Kong.

The minimum order is 100 pieces, with delivery taking about 45 days. "We manufacture a mixture of contemporary and classic designs, both of which are very popular with our European customers," Kwan says.

Home Decor Co boasts more than 1,000 different combinations of style and design, a choice reflected in the popularity of its products and the ten 40-foot containers which it ships each month. "We offer a balanced range of designs to cater for all tastes and will basically deliver whatever our customer wants. The majority of our lamps are hand-painted porcelain and ceramic with TC card shades," explains export manager Fanny Fan.

The Home Decor range includes a five-inch ceramic lamp with shade (US$3.50), seven-inch ceramic lamp with bamboo shade (US$7.50), and 14-inch porcelain lamp with shade (US$27.50).

The minimum order is one TEU, and delivery takes 60 days on confirmation of order. Home Decor manufactures on the mainland to EC and UL standards for customers based in Europe and the US.

Bonison Ltd was set up in 1994 and manufactures a range of electrical products, including its series of innovative Touch Lamps. This range is manufactured in ceramic and metal and comes in a number of variations, including the 15-inch Touch Lamp (BL301D), 15-inch Touch Lamp with clock (BL203), 23-inch Touch Lamp (403) and 11-inch Flower Touch Lamp (BLD902). Prices start at about US$35 per piece but depend on order size and requirements.

"This series has proved very popular with our customers in South America, the Middle East and Asia," explains general manager Chan Wai- yee. "The concept is very simple. Press the sensor once and the lamp comes on, second time increases the brightness and the third time turns it off."

Bonison manufactures on the mainland and has a minimum order of one TEU and delivery time of 20 days on confirmation of order.

FLUORESCENT lighting has one main advantage over traditional incandescent filament bulbs: because it gives a higher light output per watt, it uses less electricity and lasts longer than bulbs. These are important considerations in terms of economy, which is why fluorescent strips are used more commonly in institutions such as offices, factories and hospitals. This is not to say that fluorescent lamps have no role in the home. Far from it; there is a large and growing market for such domestic appliances.

"Fluorescent lighting is energy-saving and therefore more economical and produces less heat [than incandescent bulbs]," says Cato Yim, sales manager of Hancon Ind Co Ltd, which produces a range of miniature fluorescent strip lamps. "Because of their slim, compact size and the fact that they start instantly and produce little heat, our lamps are ideal for use in confined spaces such as cabinets and kitchen cupboards," Yim points out.

Hancon has a monthly production of 40,000 pieces, which carries the Hancon brand name. "We also welcome OEM projects," Yim says, adding that the company has a 3,000-piece minimum order, which can be delivered 30-45 days after receipt of order confirmation. Major markets include Germany, the UK and France.

The range of fluorescent lighting from Smartlite Mfg Ltd includes attractive hinged desk lamps and emergency lighting products. Fluorescent light is suitable for desk lamps because it "saves energy and is good for the eyes", says marketing director Gala Chow. "We also make emergency direction lighting to indicate the exit in case of power failure."

Smartlite produces its lamps under the brand name Smartlite. "We also produce some lamps under OEM terms," Chow says, noting that the minimum order is 1,000 pieces, for delivery within 45 days of order confirmation. The company's major markets are in Southeast Asia and Europe.

"Fluorescent lighting is brighter and more economical than conventional light bulbs," says Peter Ho, export manager of Fee Tat Holdings (HK) Ltd. The company makes two fluorescent lamp models, both suitable for indoor or outdoor use.

The Bazooka uses a 24-inch Philips tube. This rechargeable model has an emergency function in case of power failure. The Opera, also rechargeable, combines an AC/DC oscillating fan with a DC emergency lantern. It also incorporates an AM/FM radio and LCD clock.

"Both of our models are for use in the home or, after recharging, for use outdoors for camping or whatever," Ho says.

Fee Tat requires a minimum order of 1,000 per model and delivers to major markets in the Middle East and Southeast Asia within 30 days of receipt of order confirmation.

Fluorescent lamps produced by Sun Fat (Holding) Co Ltd under the brand name Sunca are also suitable for indoor and outdoor use. Model SF-822B is an eight-inch rechargeable fluorescent lantern with an AM/FM radio and cassette player, while model SF-339B incorporates a 24-inch rechargeable fluorescent lamp with an AM/FM radio and electric insect repellent. Sun Fat also offers a 12-inch rechargeable emergency exit light.

Explains marketing director KP Wong: "Emergency exit lamps are now mandatory in many countries due to fire regulations. The portable lanterns are more for social occasions such as barbecues, so people can listen to music, although the radio is also useful for the weather forecast."

Sun Fat has a monthly production of about 400,000 pieces from its 300,000-square-foot factory in southern China. The company specifies a 1,000-piece minimum order and delivers in 30 days to major markets "mainly in the Middle East", says Wong. It also exports lamps to Italy, South Africa and India.

Sky City Int'l Ltd specialises in the manufacture of multifunction, rechargeable emergency fluorescent lanterns. "We make two models, Sky Lite 1 and Sky Lite 2," says general manager MK Lam. Sky Lite 1 uses a single fluorescent tube and remote control, while Sky Lite 2, which also works with remote control, features two 24-inch 40W tubes and incorporates an AM/FM radio.

"These lanterns are very popular in countries that experience problems with the electricity supply, such as some countries in Southeast Asia, the Middle East and South America, which are our main markets," Lam says.

"When the power goes off, the lanterns come on due to the incorporation of an emergency function. The lantern can be hung on the wall or from the ceiling and operated using the remote control," he adds.

Sky City produces 30,000 pieces per month at its 13,000-square-metre factory in mainland China, using ABS from Taiwan and ICs from Japan and Germany. The company specifies a 1,000-piece minimum order, for delivery in 20-30 days of receipt of an L/C.

For the last word in economy, look no further than the range of solar-powered garden lights from Solar Wide Ind Ltd. "These are very popular in Europe and the United States," says director of marketing and sales Hughes Sanoner. A minimum order worth US$10,000 per product can be delivered in 8-10 weeks, "depending on the size of the shipment".

Sanoner adds: "Our range of fluorescent lamps, which are produced under the brand name Solite, is solar-powered, but some models also have batteries." Founded in 1987, Solar Wide operates a 100,000-square-foot factory in southern China and received ISO 9002 certification in 1996.

The future should see more fluorescent lighting moving into the home, where economic considerations are important, but its use as outdoor emergency lighting is undiminished.

MOST homes own at least one dinner set, if not two or three. There is the formal dining set, the everyday set, and as often as not a more casual coffee or afternoon tea set. Hong Kong manufacturers have the perfect set for each of these occasions, from fine porcelain for formal occasions, to brightly hand-painted cups and saucers for those cosy afternoon teas.

Brightly coloured hand-painted ceramics have been hot items in Europe and the US over the past two years, according to Paul Au, manager at P&C Enterprises. "The difference with hand-painted ceramics is that you can achieve much brighter colours than you can with decal transfers," Au says.

However, Au believes the most important point for buyers is that the hand-painted pieces are less expensive than the usual pieces that use transfer methods. "Chinese workers are very skilled at ink-brush techniques, and although the goods are produced on a large scale, every piece is different as it is individually painted."

P&C's factory in Dongguan, in mainland China, employs 1,200 workers, manufacturing 560,000 ceramic items per month. "We utilise the latest in gas tunnel kilns, and have strict quality control and FDA approvals to ensure our products are safe," Au says. The minimum order is one 40-foot container, and delivery is 75 days after confirmation of order.

Typical FOB Hong Kong prices are US$3 for a four-piece hand-painted dinner set (including mug, bowl, eight-inch plate and 10-inch plate), and US$10.50 for a 16-piece set.

Another company offering hand-painted ceramics is Migo Ceramic Ltd. The company, which has been in operation since 1984, has a monthly production of 80 TEUs from its factory in Shanghai, on the mainland, and an annual turnover of US$5m. "Our main markets are the US, UK and South America, although we are always looking for new markets," says managing director Gordon Wong.

Exporting under the brand names Florentino, Country Cottage and Premier Houseware, Migo has a minimum order of one TEU or 1,500 sets, and delivers in 30-60 days after confirmation of order.

"Lynns is a brand name recognised worldwide for its quality," according to Brenda Lee, sales director at Lynns Concepts Ltd. "We produce a wide range of top-quality stoneware and porcelain dinner sets, as well as stainless-steel cookware." The company has ISO 9000 certification and a monthly production of about two million pieces.

Originally established in 1968 as Alliance Trading Co Ltd, Lynns now has seven subsidiary companies and joint ventures, including one in the US and one in Belgium. Future expansion plans include the acquisition of a fully owned factory and kiln on the mainland.

Lee says: "Two new additions to our range are the Mingle collection, which is a hand-painted mix-and-match series, and the Concentrix range, which features oversized plates and cups in modern colours. Both collections are microwave- and dishwasher-safe, and available in presentation boxes.

"Our current marketing strategy is to provide customers with open stock or bulk packaging: in this way the customers are not confined to sets, which makes for easier handling in the stores."

Another large producer of porcelain is Winley Ind (Far East) Ltd. "We offer customers everything, from top-quality porcelain edged in 22K gold to more economical products aimed at the promotional market," says assistant general manager Catherine Yue. "Although we have many designs, we can also help customers develop their own designs and co-ordinate their choices alongside glassware items, which are also produced in-house."

According to Yue, the minimum order depends on the pattern and composition of the dinner sets. Winley gets its stoneware from the mainland and decals from Germany and the UK. It has registered the designs for its own brand name, Trisa, in several countries.

Classic dinnerware is Merry Lane Ltd's forte. Says manager Maimi Cheung: "Although we are a new company, our management team has 15 years' experience in the business. Our main markets are Europe, the Middle East and Africa, but we are always looking for new customers. To this end we have recently attended a number of household fairs both in Hong Kong and Frankfurt."

The striking black-and-white Gourmet design is just one of new modern dinner sets from China Pearl (HK) Co Ltd. "We employ freelance European designers, which is why our designs are so up-to-date," explains general manager Anna Lam.

"We work closely with 12-15 factories in [mainland] China, and in that way we can offer customers both competitive prices and prompt delivery. Our brand name of China Pearl is well known in the US, where our major customers are major department stores and mail-order companies," Lam says. To facilitate business in the US, the company operates an 80,000-square-foot warehouse and office near the New York port.

Dinner sets of any size and shape are the expertise of Fung Lam Porcelain Import & Export Co. "The company was founded in 1993 and has an annual turnover of US$5m," says general manager Francis Yiu. "Our major markets are in Europe -- particularly Italy -- as well as Central and South America."

Prices for a 20-piece dinner set start at US$6.20 FOB Hong Kong. The minimum order is one TEU, with delivery usually made 30 days after confirmation of order.

"Porcelain figurines and gifts are the mainstay of our business, but in addition, we produce a small range of kitchen and household items such as infusion mugs, teapots and large French-style coffee cups," says Hugo Ho, director at Golden Shares Co Ltd. Prices for the mugs and pots range from US$1.20 to US$2.50 FOB Hong Kong. Clients must order a minimum of one TEU, for delivery in 45 days after confirmation of order.

AN elegant set of cutlery adds to the enjoyment of a meal. Hong Kong suppliers have no shortage of cutlery models: they offer sets with subtle designs on their handles, as well as models with colourful ABS handles. Some companies offer units that are packaged to make attractive gifts. Sets of four, 16 and 24 pieces are packed in colourful window boxes, imitation-leather attachŽ cases, felt-lined plastic platforms, or even wooden trays.

Fortune Silver Ind Ltd, set up in 1992, makes sets with wooden and plastic handles in a variety of colours. One model has the words Spoon, Knife, Fork and so on printed on the handles of the appropriate pieces of cutlery.

The company exports mainly to the UK, Germany, France, Spain, Italy, South Korea, Japan, Singapore, Malaysia, Indonesia and the US.

The factory in Shenzhen, mainland China, employs 250 workers and produces an average of 300,000-350,000 pieces of cutlery a month. Fortune Silver also makes tabletop accessories, according to director CN Wong, but 90% of output is made up of cutlery.

Melamine, which is used for the handles, comes from Thailand; stainless steel from Japan, the UK and France; and other plastic material from Hong Kong.

The minimum order is negotiable. "But for the standard range, the order should be worth at least US$8,000," Wong says. FOB prices for 24-piece sets range between US$12 and US$22, with delivery normally made 45-60 days after receipt of an L/C.

All production is devoted to OEM orders. "We do not have our own brand name but we will try to create one in the future," Wong says.

Cutlery from Hung Kei Mfg Fty, established in 1980, features plastic handles with various finishes, including wood grain. Some models have 24K gold-plated knobs. Other models come with revolving stands.

Manager Ho Man Leung says Hung Kei began making cutlery in June 1997. "We make all sorts of kitchen tools and tableware, and ship out two containers a month," Ho says. "We have just begun making cutlery because we see that it has potential. We will increase production within a year or two."

The company exports mainly to the Middle East, Italy and Germany. Its factory in Dongguan in mainland China employs about 200 workers and produces an average of 20,000 sets of cutlery a month.

Raw materials such as stainless steel come from Japan and South Korea. The minimum order is about 500 sets, with FOB Hong Kong prices ranging between HK$58 and HK$60 per 24-piece set. Delivery normally takes 20-30 days after receipt of an L/C.

Fung Lee (Asia) Ltd, set up in 1972, makes cutlery with acrylic handles decorated with colourful floral designs. It also makes simple stainless steel models. Major markets include Germany, France, Belgium and the US.

The company also makes porcelain, cookware and vacuum flasks. It manufactures various products in five factories -- three in Guangdong in southern China and two in northern China -- with each factory employing about 200 workers. "The average monthly output of cutlery is 100,000 sets," says manager Andrew Leung.

Minimum order must be worth US$15,000-20,000. FOB Hong Kong prices range from US$6 to US$7 per set. Fung Lee normally delivers 45-60 days after receipt of an L/C or order confirmation. All production is per customer sample, according to Leung.

Chung Shing Precision Products Ltd, established in 1986, makes stainless steel cutlery sets with basic designs on the handles. According to administrative executive Melanie Mo, 75% of output is devoted to cutlery. The company also makes tableware such as teapots and coffee pots. Major markets include Germany, the Netherlands, UK, Denmark, the Middle East and US.

The factory in Shenzhen, on the mainland, employs about 600 people and produces an average of about 800,000 pieces per month. Raw materials such as stainless steel come from Japan.

The minimum order should reach HK$20,000. FOB Hong Kong prices range from HK$4 per teaspoon to HK$7 for a knife. Delivery normally takes 45-60 days after order confirmation.

"We are planning to expand in the markets we operate in," Mo says. "We will also increase output to cope with orders."

Gerber Far East Ltd, set up in 1959, makes a wide variety of stainless steel pieces with designs on the handles.

The company also makes porcelainware, glassware, towels, watches and other products, for export mainly to South Africa, Germany, Denmark, the UK and Australia. Cutlery accounts for only 4% of output, according to merchandising manager Vincent Lin.

The factory in Shenzhen, on the mainland, employs about 250 workers, producing an average of about 50,000 pieces a month. It sources raw materials such as stainless steel locally.

"About 70% of the output is marketed under the Forum brand," Lin says. "The rest of production is devoted to OEM."

Gerber specifies a minimum order of 5,000 pieces, for delivery in about 60 days after receipt of an L/C. A set of eight pieces sells for about US$6 FOB Hong Kong.

"We are trying to enter the Japan and the US markets," Lin says. "Business has been stable so far and we plan to develop our porcelain range."

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