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---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- Some netizens found that the notebook department of Gigabyte not only promoted the concept of "Made in Taiwan" in the promotional picture, but also clearly stated: "Gigabyte insists on manufacturing in Taiwan and strictly controls quality. Unlike other brands, please buy OEM in China to choose a low-cost and reduce quality method."
This picture has aroused dissatisfaction among many mainland netizens. Some netizens believe that there are two major problems with this propaganda copy. One is to slander China's manufacturing, which has the meaning of "Made in China is low cost and low quality"; the other is that Gigabyte cuts "Made in China" and "Made in Taiwan", which can be said to be both engaged in "Taiwan independence" and belittles China's manufacturing. In response to this, the Central Committee of the Communist Youth League issued a blog post, bluntly yelling: "Gigabyte, who gave you such great courage?"
, known as one of the "three major DIY hardware manufacturers", has made a solid mistake this time.
Who is Gigabyte?
Although this incident quickly fermented and became a hot search, for netizens who are not familiar with the DIY market, Gigabyte Technology is a relatively unfamiliar name. Many netizens even commented that they had never heard of such a brand. Isn’t this a small brand that no one cares about is taking advantage of?
was founded in 1986. It started with the production of motherboard . Its main business includes motherboards, graphics cards , monitors, laptops and other PC accessories. It has been doing business in mainland China for more than 20 years. Among them, Gigabyte's motherboard and graphics card are the main sources of its popularity and revenue, which also makes it known as the "three major boards and card manufacturers" together with ASUS and MSI , and enjoys good popularity in the DIY market.
Thanks to the impact of the epidemic, Gigabyte set a new high in 2020 amid global supply shortage and demand for boards and rises. According to the financial report, its operating income is about 84.6 billion NT$3 (about 19.5 billion yuan) and its operating profit is about NT$4.2 billion (about 1 billion yuan), both of which are the highest levels in many years. From a regional perspective, mainland China is Gigabyte's third largest sales region, accounting for 19.79% of its operating income in 2020, with sales of approximately RMB 3.868 billion.
(Photo source: Gigabyte Financial Report)
Interestingly, compared with the board and card business department that is promising, the Gigabyte laptop business department that caused trouble this time is quite ineffective. In terms of sales, Gigabyte is basically at the outermost part of the notebook market all year round, and is an important part of Others. Judging from the financial report, the revenue of notebook projects classified into other projects is even less than 1/10 of the revenue of the PC accessories department.
Not only that, in fact, over the years, the reputation of Gigabyte's notebooks in China has always been very bad. The industry's evaluation of Gigabyte's notebooks is generally "first-line design, three-line performance". Due to the high-end pricing and expensive price, but poor configuration, after-sales warranty, and poor performance release, Gigabyte's laptops often perform poorly in the same price range, making it difficult to get favor from domestic users.
Because of the poor price and inflated prices, domestic consumers basically do not consider buying Gigabyte laptop products, which also earned it the nickname "No one cares about Jin Jia". Because the product is not good at work, Gigabyte's Aorus products were previously full of battery bulges, and were nicknamed "Battery Blow Jia". Due to the high price, poor workmanship and global refusal to protect, Gigabyte's notebook business department has lost its reputation among old users and is unknown among new users. As Zhihu netizens said, Gigabyte laptops can be said to have basically become cold before they become popular.
Whether you want to use this to mock your competitors or to make excuses for your own quality issues, Gigabyte finally chose to create topics by belittled "Made in China".The problem is that Gigabyte's proud "Made in Taiwan" has never been able to solve a series of problems with its laptop products. The "Made in China" that Gigabyte disdains, but it has created high-quality laptops from brands such as Lenovo , Asus, Acer, MSI, etc. Now it seems that it is clear who the clown is. What are the consequences of
? How can the water splashed out from
be reclaimed at will? Although Gigabyte Esports issued an apology statement at noon on the 11th, how can the silent Gigabyte Technology and this apology statement that is only for domestic purposes convince netizens? Gigabyte's attitude quickly aroused public condemnation and continued to ferment on the Internet. According to netizens' feedback, in addition to the comments from the Central Committee of the Communist Youth League and People's Daily , as of press time, online shopping platforms such as JD Mall, Suning.com have completely removed the "Gigabyte" related products.
After Xiao Lei's actual test, he currently searched for "Gigabyte" on JD.com and Suning.com, and all prompted that no relevant products were found. The keywords such as "GIGABYTE", "Xiao Diao", and "Jijia" reported by netizens also cannot obtain relevant search results. It can be basically confirmed that they have been removed from the shelves. However, we can still search for related products on online shopping platforms such as Taobao and Xianyu, and users can still purchase related products through offline channels.
Even so, the blockade of online purchasing channels by mainstream e-commerce platforms is still fatal to these manufacturers. The Xinjiang cotton storm that happened a while ago was an example. According to the data provided by market research agency Morningstar , the sales of brands such as Adidas , Nike and Uniqlo fell seriously in April, among which Adidas' sales in April fell 78% year-on-year, Nike's sales in April fell 59% year-on-year, and Uniqlo's sales in April fell by more than 20% year-on-year. National boycotts and restrictions on online sales channels can indeed hit brands that rely on the Chinese market.
(Image source: Credit Suisse Report)
On the other hand, what Gigabyte Technology does may even affect overseas markets. According to Xiao Lei's investigation, Gigabyte has OEM factories in Ningbo and Dongguan , and its main business PC accessories are nearly 90% produced in China. If this incident causes Gigabyte’s domestic foundry to be shut down, the losses caused by shortage of production capacity will not only be a problem in the domestic market.
summary
Xiao Lei believes that the problems exposed by Gigabyte this time are quite serious. According to the pictures provided by netizens, we can see that most of Gigabyte PC hardware products are engraved with "Designed in Taipei, PCB Made in China". On the one hand, it is based on Chinese manufacturing, and on the other hand, it is slandering Chinese manufacturing. I'm afraid that only short-sighted Gigabyte can do this kind of behavior of losing money.
(Made in China)
For Gigabyte, if you want to restore your reputation, you must do the following two things. First of all, the Gigabyte headquarters must come forward and publish an apology statement on global social platforms. According to Xiao Lei's inquiry, the "AUROS Gigabyte Esports" that issued an apology statement yesterday was wholly owned by Ningbo Gigabyte to hold . According to the financial report, Ningbo Gigabyte is just a subsidiary of Gigabyte Technology, and Gigabyte's official has not given any statement at present, which cannot be convinced.
Secondly, Gigabyte really needs to improve its products. In recent years, Gigabyte's product reputation has plummeted. The same motherboard with reduced power supply, the indescribable bios interface, the product design of the entire series of primary copper tubes, after-sales service that refuses to provide insurance, and the laptop product line that is priced with residual blood graphics cards. The so-called "those who understand PCs do not buy Gigabyte cards" is real.
Gigabyte's exit will not cause us any losses. Even if Gigabyte is gone in the domestic market, there are still many manufacturers to choose from. As mentioned above, while Nike and Adidas are hit, domestic brands are rapidly eroding market share.Against the backdrop of Gigabyte's sad departure, authentic Chinese manufacturers like Colorful are likely to seize this wave of opportunity to rise strongly. The DIY market that has not changed for decades may really be undergoing a major reshuffle.
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