acorn eyes growth in china's tv shopping mkt - neck massager machine

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Hong Kong, July 20 (Zheng Yongping)Reuters)-
Oak International Limited(ATV. N)
China's largest TV home shopping company said it plans to achieve revenue growth of 20-30% next year and achieve comparable growth in the next few years, because it creates a market for a small part of the country's booming retail sector.
Acorn sells proprietary and third parties
Party products through 51 channels of information advertising, mobile phones and learning devices.
The company also has 80 nationwide dealer networks.
"From a supplier's point of view, many large companies choose to use this TV direct channel because spot ads for 30 seconds cannot effectively explain new products --
Especially for complex, highTechnical features-but our —
Especially for complex, highTechnical features-but our long-
Good format information ads-
In a telephone interview in Shanghai this week, CFO Gordon Wang said: "It is suitable for these products.
The Shanghai-based firm —
The market value is about $660. 6 million —
Compete with China Qixing Shopping Co. , Ltd. (0245. HK)
And control 18 to 20% of China's fragmented TV direct market.
According to Euromonitor, this is compared to 9% of the seven stars.
Liberty's international peers include the free interactive group LINTA.
Location of QVC shopping channel.
China's TV shopping market is worth about $1.
According to data from the CIBC World Market, 4 billion.
TV shopping accounted for less than 0.
2% of China's retail market
Far behind 7.
5% in the United States, it has a share of retail sales. S.
Beijing predicts that China's retail sales will grow by 10% a year to 10 trillion yuan. US$1. 29 trillion)by 2010.
"We expect 2008 of revenue to grow by 20-30%.
We expect considerable growth in the next few years . "
Mobile phones including the UT Starcom brand (UTSI. O)
And Gionee, the first 44
According to a Merrill Lynch report, sales Net income for the 2007 quarter was $68 million.
With the smaller of the two major mobile operators in the country (0762. HK)The third-
The largest life insurance company in China Pacific Insurance
Another source of income has recently been added.
New York of the company-
Since the IPO, shares have soared 42% as investors flocked to the Chinese retail market.
Despite the opportunities for growth, there is still fighting.
Chinese TV shopping platforms are often ridiculed for selling suspicious products.
In 2006, regulators banned TV direct sales of weight loss and weight loss products and a range of drugs.
The company has also been asked to suspend its stock ads.
Track software programs.
According to CIBC, the measures in China have had an impact on sales of Acorn, about $19 million, and the rules have affected sales of Acorn.
Neck massager and weight loss products for sale.
In 2006, sales of the Company amounted to $0. 196 billion.
"Part of the reason for the low penetration is that consumer confidence is still relatively low and the industry is still in the early stages of development," Wang said . ".
Trust-building prompted the company to go public in New York.
"New York has higher corporate governance standards, we have a higher level of trust in suppliers and a better brand effect than Hong Kong," Wang said . ".
"In addition, we want to attract foreign tourists (
Small and Medium-sized Enterprises)
Who wants to enter China, "added Wang.
Wang mentioned cleaning products recently purchased by Arm & Hammer baking soda manufacturer Church & Dwight, such as OxiClean and Orange Glo (CHD. N)
Potential opportunities. ((
The report by Joseph Chaney, edited by Anne Marie rotley;
Reuters News: Joseph. chaney. reuters. com@reuters. net; +852 2843-6557))