Is Panasonic Doomed? Massive Losses!!

Started Oct 31, 2012 | Discussions
Robby
Robby Contributing Member • Posts: 677
Is Panasonic Doomed? Massive Losses!!

According the this article Panasonic is posting major losses with low sales in many divisions.  I'd hate to see my beloved FZ line lost due to company failure or restructuring.

http://blog.al.com/wire/2012/10/panasonics_red_ink_grows_forec.html#incart_more_business

cmpman1974 Contributing Member • Posts: 686
Re: Is Panasonic Doomed? Massive Losses!!
Maybe it would help if they actually MARKETED their products to retailers so people could see their stuff here. lol.

Robby wrote:

According the this article Panasonic is posting major losses with low sales in many divisions. I'd hate to see my beloved FZ line lost due to company failure or restructuring.

http://blog.al.com/wire/2012/10/panasonics_red_ink_grows_forec.html#incart_more_business

Ronomy
Ronomy Veteran Member • Posts: 4,062
Re: Is Panasonic Doomed? Massive Losses!!

Seems a lot of companies are not doing so well...Sony is struggling.  Bad times right now.

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Robby
OP Robby Contributing Member • Posts: 677
Re: Is Panasonic Doomed? Massive Losses!!

I agree, the economy is down all over the world.  A global economy, lead by the American economy.  My wages have been flat for 3-4 years while my taxes have doubled along with the price of my health care.  Fuel prices are largely to blame for inflation too.

wkay Senior Member • Posts: 1,059
Re: Is Panasonic Doomed? Massive Losses!!

Chicken Little?  One bad year wont doom them unless you know that their asset base is gone?  Japanese never got into smart phones, tablets, etc, which will really hurt them.

GeraldW Veteran Member • Posts: 8,208
Re: Is Panasonic Doomed? Massive Losses!!

This is at least the second year of losses and this year's are far worse than last year's.  Not a good trend line.  They also mentioned Sony having four years of losses.

I don't know about other products; but in cameras, Panasonic has some really bad marketing practices.  They do have some good products to sell, no question; but they don't make it easy.

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Jerry

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jazzbass62 Senior Member • Posts: 1,728
Re: Is Panasonic Doomed? Massive Losses!!

When and if the Recession turns around to more than tepid growth, Panasonic will be one of the big benefactors as consumer spending usually lifts up the economy once the turn around comes... hang in there!

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Cleve

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trevmar Senior Member • Posts: 2,469
Re: Is Panasonic Doomed? Massive Losses!!

Q.  Why would Smartphone cameras cause a loss of market share for the mirrorless sector?

A. Because the public has been told they need a high-end SLR or mirrorless camera to get good photos of the kids, etc... And many are starting to realize that today's smartphone cameras can do that job really well...

I gave up on Panasonic when they put the 30 minute video clip limit on the US LX7. That was 'inspired' marketing, which ruined that camera for me, and poisoned my view of Panasonic as a reliable supplier.. I did subsequently buy an FZ200 to handle the longer clips, but I am not a happy camper, and am assuming that the current P&S models may well be the last gasp from Panasonic in that sector.

As for the mirrorless, well the M4/3 sector was what Panny was pinning its profitability hopes on. If these data are correct, then Panasonic might well get out of that sector too. It is what big companies do. they follow the markets, follow the money...

trekkeruss Veteran Member • Posts: 3,899
Re: Is Panasonic Doomed? Massive Losses!!

cmpman1974 wrote:

Maybe it would help if they actually MARKETED their products to retailers so people could see their stuff here. lol.

Retailers only have so much shelf space and slots for cameras. In order for Panasonic to win a few of those precious slots, they'd probably need to offer some sort of incentives to the retailers. What those incentives are, I don't know.

SeanOnt Regular Member • Posts: 110
Korean companies and lack of Inovation

I think the growth of Korean electronic companies like Samsung have eaten into the market share of Sony and Panasonic. As for Camera's Panasonic has never quite been a huge player and has lost it's edge as being an innovator. When they first came out with the LX3 and their super zooms they were cutting edge and clear cut leaders.  As an owner of a LX7 which at best is only marginally better then the LX3 it kind of makes me mad to think how much better the LX7 could have been if they would have continued to innovate the series.

I luv the handling on my LX7 but it leaves me with a bitter taste of if only they could have done this how great it could have been..

Rachotilko Contributing Member • Posts: 539
Re: Korean companies and lack of Inovation

Your words leave me quite surprised. I am owner of neither, but according to this there was quite a substantial improvement IQ-wise.

Kevin Omura
Kevin Omura Senior Member • Posts: 2,262
Goes deeper than that

Let start with poor old Eastman Kodak, and what about Ilford? Mear shadows of their former selves. Sony isn't doing great either and Samsung is being raked over the coals by Apple.

Even the great Apple just did a restructure turfing the head of IOS software. But they may have done a very smart thing by promoting Ivy to run hardware and software.

Think it's bad everywhere.

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danielsonkin
danielsonkin Forum Pro • Posts: 11,713
Re: Goes deeper than that

It amazes me that they can make any money at all with all the different models they release every year.  I think smart phones have also taken a big bite out of the p&s market.  I also agree about retail availability.  Although most people are now buying cameras online, Panasonic cameras were always the most difficult to find to try out in the stores.  However, if I owned a store, it would be very difficult to decide which models to carry - it's pretty overwhelming the number of p&s models out there.

Daniel

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SeanOnt Regular Member • Posts: 110
Re: Korean companies and lack of Inovation

Rachotilko wrote:

Your words leave me quite surprised. I am owner of neither, but according to this there was quite a substantial improvement IQ-wise.

depending on were you zoom on the photo in some areas like text the lx7 may be a step back from the lx-3. When the Lx3 was released it was way ahead of the curve, while the LX7 has improved upon the LX3 it's improvements are modest considering it's been 5 years. When the LX7 was released while it's still a nice camera it's behind the curve and needs to play catchup. I think for Panny to survive in Cameras they need to be ahead of the curve a clearly ahead of the Sony's and Canon's whose name branding is stronger with the casual consumer when they think point and shoot.

SeanOnt Regular Member • Posts: 110
Re: Goes deeper than that
1

danielsonkin wrote:

It amazes me that they can make any money at all with all the different models they release every year. I think smart phones have also taken a big bite out of the p&s market. I also agree about retail availability. Although most people are now buying cameras online, Panasonic cameras were always the most difficult to find to try out in the stores. However, if I owned a store, it would be very difficult to decide which models to carry - it's pretty overwhelming the number of p&s models out there.

Daniel

This is much like the Auto industry restructuring of the past few years were GM had to many models competing against them selves. They have now stream lined and are now back in the black..

Just looking on Panasonic site they have 7 interchangeable cameras and 13 non-interchangeable cameras that's way more then they need. They would be better off with 1/3 the models and make them the best in their class. Less is more if you do it well...

samualson Regular Member • Posts: 140
Re: Goes deeper than that

Panasonic not an innovator, Every other camera manufacturer is trying to keep up with the FZ series.  F2.8 lens out to 600mm, everyone's asking how did they do that. It seems they take a step backwards right after they take a step forward which is disappointing.

They also have been #1 in camera reliability ratings the last two years. Do a search

They do have a terrible marketing program though, need to fix that.

Tootsall
Tootsall Senior Member • Posts: 1,530
Re: Goes deeper than that

After-sales warrantee and customer service could use a bit more than a "touch-up" too!  You won't sell products in the future if you keep p*ssing them off today.

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wolfd Senior Member • Posts: 1,262
Re: Is Panasonic Doomed? Massive Losses!!

Panasonic is not alone. Sony has had huge losses during each of the last four years.

http://edition.cnn.com/2012/05/10/business/japan-sony-record-loss/index.html

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SabinoBob New Member • Posts: 9
Re: Is Panasonic Doomed? Massive Losses!!

Panasonic cameras doomed?  Probably not, but they could be doing LOTS better. Their marketing is awful! They unveil their newest innovation as the annual Photokina (like everybody else), but fails to capitalize on the initial buzz by actually getting the product to market where people can buy it!

Distribution: The FZ200 is an outstanding device, but how many retailers actually sell it? Where I live, withing 30 minutes, I can be at 3 stores where i can actually handle and play with a Canon SX50. Where can I do that with a FZ200?

Pricing: The FZ200 has been basically nuts since it came out.  MSRP in the US is $600. The early gotta-have-it adopters will pay that. A month or so after it came out, it dropped to @ $550 (Amazon and B&H); then back up to $600. Two weeks ago, back down to $550 for a short while, as of 10/30/12, it's back up to full-bore retail at $600.   Is the FZ200 REALLY worth the $100 or so premium over the SX50 (which has been fairly consistent at the $450-$475 rang for several months).  That is an individual decision to be sure - bur Panasonic doesn't make it any easier!

morepix
morepix Veteran Member • Posts: 9,302
Small tail, big dog

Any responses based on opinions about Panasonic marketing or whatever of cameras, are like a small tail, even a small flea, on a big dog. Relax. Either they'll fail, or they won't. They probably don't need our suggestions on what to do.

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