Kenwood Launches Authorized Online Retailer Program
Kenwood USA Corp. said this week that it has launched a new Authorized Online Retailer Program, meant to set specific guidelines for those who sell Kenwood products online. The program will require Kenwood dealers to have an Authorized Internet Retailer agreement on file with the company.
In a statement announcing the move, Kenwood senior vice president for consumer electronics Keith Lehmann cited NPD Group data that while the mobile electronics specialty channel kept its market share flat between 2007 to 2009, e-commerce grew 6 percent during the same period.
"We believe the reason for this share growth is the convenience of the Internet and the trust demonstrated by more consumers who would purchase products online," Lehmann said as part of the announcement. "We also believe that this trend can breed chaos and confusion unless firm merchandising and selling guidelines are implemented and enforced by the brand. This new program will be welcome relief to our authorized retailer network that has been challenged by the online presence of Kenwood products being sold by unauthorized agents and at ridiculously low prices.”
The company has also retained Net Enforcers to help enforce the program.