Originally posted by JPT
This is the exact opposite of what Ricoh said in the PF interview where they said they had outperformed the market trend. S
Yes, they had out-performed negative trend. That is, when the overall trend is negative, out-performing it means going deeper in negativity and losing extra market share, at a faster rate than a trend itself. That had happened to Ricoh. On the other hand, under-performing negative trend means doing better than the negative overall trend, or,
falling down slower. In that case their market share would increase.
Their share was 7.5%. After the shrinking of the market their
new relative size should be 7.5% too. But it is not. It is now 4.5% and that is calculated from new overall sales figures. Figures indicate they have lost more than an average market decline. I have explained elsewhere why that happened, but here is in short:
That happened because Ricoh was insisting upon short term profitability. That illusion of positivity was more important to them than investing more $ in marketing and technology and lineup update, to overwhelm the overall negative industry trend, and to preserve previous market share. Short term profits have created long term market share loss. I am afraid the loss is now permanent.
Only way to get extra share now is to steal some % from the leading two. 1% loss for both Canon and Nikon would be insignificant to both, but that would mean a lot to Pentax. The answer is the FF. That is why the manager in the last video interview said they want to reclaim lost customers. He did not mean customers from 10 years ago, but those lost in the last few years, who were lost, among other things, thanks to poorly done rebranding exercise that created lots of FUD around iconic brand.
These numbers confirm my previous suspicions: Ricoh was not feeding Pentax sufficiently. They did not feed it enough even to keep their previous market share. Ricoh under-perfomed and mismanaged quite miserably.