March 6, 2007
Does the Honeywell Brand Name Extend to TVs?
I read with interest that Honeywell International Inc., best known for thermostats and jet engines, will be extending its brand name to flat-panel TVs.
They are partnering with Soyo Group, a small manufacturer known for their computer monitors and motherboards. Soyo, by the way, just secured $12 million in credit to “serve its growing channel of retail and OEM partners.”
This TV foray, which will provide possibly $3.84 million in royalties for the Honeywell brand name, is really very minor compared to the $31+ billion Honeywell earned in sales last year, but it is a good brand extension - far better, than, say, the $10,000 H316 Kitchen Computer it introduced in 1969. The TV initiative will bring the Honeywell brand name in front of millions of consumers who might already be aware they are using Honeywell’s products.
The rise of flat panel TV brands has opened the door for other well known American corporate names to partner with low cost Asian producers and take advantage of new markets with price conscious consumers.
In December of 2005, I noted that well loved (and for decades, defunct) TV brands like Zenith, Polaroid, and Westinghouse have resurrected their names on flat panels.
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