28 Nov 2005
Quality Counts(HKTDC Electronics, Vol 05,2005)
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Loyal Rich Enterprise Ltd has its own Deltaton label and also supplies compact and portable music systems to leading international brands
"Quality is always our most important issue," stresses marketing manager Candy Ng, emphasising that Loyal Rich uses reliable and stable material suppliers, and carries out independent quality control, production, drop, transportation and high- and low-temperature life tests. "With our strength in quality control, we have been able to build a remarkable image in the market."
The OEM/ODM company was incorporated in Hong Kong in 1995, although its 8,000-square-metre factory in Shenzhen on the Chinese mainland had already been in operation for 10 years by the time Loyal Rich was established.
"We do business all over the world," Ng explains, noting that regular customers include household brand names the calibre of Akai, Citizen and Toshiba. "It's very evenly spread, but we are very strong in Europe, South America, Asia and the Middle East."
All markets benefit from the firm's ISO 9001 certification and commitment to compliance with the European Commission's new Waste Electrical and Electronic Equipment directive, which took effect in August this year, and the Restriction of Certain Hazardous Substances directive that comes into force next year.
Loyal Rich's products, which include its own Deltaton label, already carry European CE, Underwriters Laboratories or UL, and the Federal Communications Commission or FCC marks.
Ng states that components meeting the relevant quality control and environmental responsibility criteria can now be sourced almost exclusively on the mainland, although some specialised parts for high-end products are still supplied by Japan.
Regardless of origin, all components are processed at the Shenzhen plant that boasts electrical casing assembly, plastic, spraying, moulding development, engineering and R&D divisions.
Ng explains that Loyal Rich can run "4-6" production lines, depending on product and demand, while the number of workers also varies according to the season but is approximately 1,000 employees. "Output is very dependent on products - some can be assembled at a rate of only about 100 an hour while we can achieve a higher rate with others," she adds.
This flexibility and a readiness to adapt to market conditions has helped Loyal Rich build its impressive customer list, and ensured it has been quick to introduce new products and upgraded or modified versions of its older lines.
"Originally the company's emphasis was on radio-cassette recorders, but the markets changed to CDs and MP3s so we are doing more CD boomboxes and micro systems," Ng says.
Loyal Rich is also one of a relatively small number of manufacturers to have successfully designed and produced CD-based systems with USB ports that will allow MP3 devices to play files through their speakers.
"Boomboxes are very popular right now," Ng observes, highlighting the futuristic, round CDR-696 USB model, which incorporates a radio and CD player as well as a USB 2.0 connector, and has the additional option of an SD card.
The unit, which is MP3, WMA, CD-RW, CD-R and CD compatible as well as being stylish and easily portable, comes in different styles. "Prices depend very much on the features within the unit or system," Ng observes, explaining that some customers just want the CD capability, while others require additional MP3 compatibility.
Other successful lines for Loyal Rich include a wide range of LED alarm-clock radios, AC/DC portable radios, CD alarm-clock radios, personal stereos and VCD/DVD players and radio-cassette recorders.
Customers can rest assured, however, that whatever product they require Loyal Rich will deliver 45-60 days after confirmation of minimum orders of one TEU.
"Minimum orders depend on the product - though we try to get orders in container loads of a single product as it's easier for production - but there is no minimum order value," concludes Ng.
WRITTEN BY ROBERT PIERCE
Loyal Rich Enterprise Ltd
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