Adding to their distress, three quarters of these companies saw profits fall in 2001 and almost 62% are currently loss-making. Despite these factors, very few reduced staff and only 52% made attempts to reduce their asset base.
So who is set to keep grabbing market share in 2002? Plimsoll's First Edition names 68 companies that notched up an amazing 19.8% growth last year. Within this group, 17 companies individually increased sales by a minimum of 53.8% last year. Many of these high growth companies are quite large. In fact, seven of them make up part of the largest 50 companies in the UK sound equipment industry.
Plimsoll has named some of the highest market share earners. Listed below are the current top seven in the industry. (Order of listing corresponds to overall size of company, largest to smallest.)
Alpine Electronics (64.6% growth)
Bose Ltd (89.2%)
Gearbox (Sound and Vision) Ltd (129.0%)
OHM Industries Ltd (2.5%)
Audio System Developments Ltd (66.3%)
Advanced Sound & Lighting Ltd (134.9%)
Re:Creation Sound Ltd (66.8%)
Fortunes will certainly change in the coming year as competitive pressure grows to secure market share. In analysing the largest 244 players in the sound equipment industry through the graphical Plimsoll Model, the individual strengths and weaknesses of every company are revealed. David Pattison, senior analyst at Plimsol told us: "I don't think directors realize how necessary it is to know how other companies in the market are performing. Quite honestly every director must factor in competitive behaviour into their own company thinking."
(Ruth Rossington)
