LTS is a big brand, no doubt, they have done well building their brand. I just wonder how many people really dont know they are Hikvision manufactured products. My guess is not many. Now their really wont be a question.
I just spoke to my LTS rep. They said that they aren't actually going to be selling Hikvision branded stuff. This was more around the idea that they aren't going to hide the fact that their products are Hikvision now. Their cameras would still be LTS labeled. I'm curious to know if anyone has heard that LTS will actually be selling Hikvision branded equipment now.
To clarify, it sounds like LTS maybe selling some Hikvision stuff like alarm panels that will be coming out soon but their cameras will still be LTS. But it does sound like this could be clarified by LTS and Hikvision to know what is really going on.
LTS still remains somewhat of a mystery. Even their own employees have little idea who is in charge or who is even in the other offices... Industry rumors vary from a Hong Kong owner to that they are actually owned partially by Hikvision itself.
My guess is that they are running into the same thing we have. Some customers just like to buy the products with the brand name on it. They like the idea of having Hikvision the company support their products. ADI and Tri-ed are selling the branded stuff for about the same as the OEM guys. So my guess is that they have lost some customers to branded product. We have over the years as well. It is becoming increasingly more difficult to sell Hik OEM when the customer can get the branded version for the same price and sometimes a longer warranty. Luckily we have the branding program to differentiate ourselves and make us unique to encourage customer retention.
Not to mention, Hikvision USA are basically salesmen for ADI and Tri-ed. We had some issues where they actually quoted against us for one of our established customers, slightly undercut us to win the bid. The Hik USA salesman knew we were hik oem as well, i assume he was commission hungry. I called my Hik rep and the issue was immediately taken care of, but im curious how much more it has happened without me knowing. Luckily my customer was cool enough to tell me that.
Correct. I just figured he would have been more respectful of a company carrying the mother brand and would have backed off from quoting my customer. He wasnt though, but once i talked to my hik rep which is a higher up than he was, the issue was resolved, my customer never heard back from the hik sales rep.
My LTS rep told me today that they are only selling Hikvision high end and specialty equipment. Prices will be available around the first of May. She also said that the LTS branded equipment will still be their main priority but Hik offers products that will fill in holes in their line. It was more cost effective to do this than spend money on having LTS branded on specialty items that are not sold frequently.
#8, thanks, that sounds like a plausible explanation, though it seems that different LTS reps have different stories.
If LTS is willingly bring in Hikvision branded products, that's still quite a risk as that type of approach would be signaling to LTS customers that Hikvision is the better / more sophisticated offering than LTS, with LTS simply relabeling the lower end Hikvision offering.
I called three different LTS offices and received various explanations. One branch said they just don't sell Hikvision at all, another branch sad they may sell it in the future and the third said they will sell it in the future.
Also one immediately said they were OEMing Hikvision however, another branch said that while they got their products from the same warehouse, LTS uses their own firmware and that their quality and pricing was better.
My point here is not to say that any of them are right or wrong but to show how disjointed and contradictory the individual reps responses are.
HIK has more pressure form US government, and if all sales from branding and from US office, more taxes will be submitted to US government, and US government will have less pressure to HIK because of taxes increasing, lol
I saw this at the booth in Vegas and talked with one of their sales reps - just to appease my curiosity because their products looked a lot like HikVision and even their colors tended to remind me of that. The rep said they were selling their own products, and also HikVision. With prices already so low across the market, I'm not going to give up on my distributor to save a couple bucks with someone else, but it was interesting to talk to them none-the-less.
Probably a good strategic move on LTS part. They are using Hikvision for brand marketing awareness, then will slowly switch the Hik dealers to LTS brand products where the dealers will pay alot less for the same equipment and LTS gets more margin.
slowly switch the Hik dealers to LTS brand products where the dealers will pay alot less for the same equipment and LTS gets more margin.
That strikes me as a reasonable tactic by LTS. However, if they are successful, how will Hikvision respond to that? Will Hikvision be ok or will Hikvision want its own branded products led with? Hikvision has not hired 300, 400 people in NA and would presumably want those sales under their brand, not LTS.
I agree it is a win for Hikvision. Ultimately, Hikvision has the power in this relationship since there are far less true manufacturers than distributors (especially given how dependent LTS is on Hikvision).