Sphygmomanometers

	Model BP210 from Kingyield is a wrist blood pressure monitor that adopt MWI technology.

China suppliers of health and personal care products are implementing various strategies to boost competitiveness amid softening external demand.

Customs statistics show that in the first two months of 2009, both the volume and value of overseas shipments dropped 19 percent YoY. The former fell to 58 million units, while revenue slid to $361 million.

Exports are expected to stay weak in the months ahead. Companies anticipate greater price sensitivity among buyers as consumers continue to keep a tight watch on spending due to economic uncertainty.

To stimulate demand and prevent further declines in sales, several makers are adding value to their models.

Some are cooperating with universities in product development to leverage R&D competence.

Kingyield Hong Kong Ltd has incorporated MWI or measurement while inflating technology in a recently released wrist blood pressure monitor.

This yields a shorter reading time compared with traditional models that take measurements while deflating.

At present, only leading industry players, including Rossmax, Panasonic and Omron, have developed proprietary versions of MWI.

Kingyield is one of the first to adopt this technology in China. The company obtained patents for the software, sensor, pump and valve of its wrist blood pressure monitor.

Registering designs to prevent copying is actually becoming the norm among domestic suppliers even though it adds about 2 percent to the price of the final product. Such models are generally 10 to 15 percent more expensive than nonpatented designs.

Large enterprises usually have more than 100 copyrights in mainland China and their key markets such as Hong Kong, Taiwan, the US and the EU.

Shanghai Rongtai Fitness Tech. Development Co. Ltd has registered its massage and transmission mechanisms, easy-to-install armrests, massage chair back covers and remote controls.

Products can be patented for appearance or utility, or as an invention. The application fee for the first type is about $130. Utility and invention copyrights can reach $360 and include a new design or an innovation in the parts or components of a model.

The process requires 10 months to three years, depending on the type. Appearance patents take 12 months but are valid for 20 years after approval. Makers need to pay an annual fee of $100 per copyright.

Generally, patents secured outside the mainland are more expensive. In Hong Kong, for instance, the fee is $600. Processing, however, is only about three months and exclusive rights are protected for 25 years.

Inaddition to product upgrades, China suppliers are boosting certain aspects of the manufacturing process, often by providing staff with training.

Such an endeavor serves as a key differentiator, particularly in terms of capability and efficiency, and as a cost-cutting measure. Some large makers, for example, have veered away from the conventional manual-tracking scheme, which is often time-consuming.

Instead, they utilize data management software that stores information on various product parts for easy access. This helps reduce defects and save operating costs.

The aforementioned system allows Xiamen Comfort Science & Technology Group Co. Ltd to quickly trace the source of defective components, which are then sent back for repair or replacement. The supplier owns several factories where parts are manufactured.

More companies are also maintaining databases for their existing designs, methods and plans to speed up product development.

Others are streamlining procurement and lowering related expenditure by purchasing parts and components with the same specifications in bulk, and adopting them for different but related product types.

Alternative market

To sustain financial viability amid sluggish demand from the key markets of the US and the EU, suppliers are also exploring business opportunities in South America.

To this end, companies are addressing the communication barrier, which is the main challenge to expansion into the region. They do so by hiring personnel who can speak Spanish or Portuguese, the primary languages used in South America.

In addition, some makers are modifying certain parts and specifications of their products to meet regional requirements.

Electric shavers need to run on 110V at 50/60Hz and be fitted with type A, B or E plugs. Manuals must be translated into Spanish or Portuguese.

Low-end and midrange models without certification currently dominate China’s exports of health and personal care products to South America, although some units conform to standards of the importing country. Brazil- and Chile-bound designs, for instance, comply with UCIEE and CEMEC safety guidelines, respectively.

The selection includes heart rate monitors, bathroom scales, small massagers, electric shavers, and hair dryers and straighteners.