Garmin Counts Down until Independence Day

by Jeni Bone on 26 May 2008 1 July is the official Independence Day for Garmin, splitting with GME in time for the Sydney International Boat Show 31 July-5 August.

Also in the pipeline are at least 10 new marine electronic products and a dedicated Marine Sales Manager, Stuart Graham, who joins Garmin from several years at Oceantalk and a stint at Navico.

According to National Sales and Marketing Manager, Matthew DeMoss, everything is on track for the 1 July deadline, including the appointment of around 35 people by that time. 'So far we have 20 to 25 people who have accepted offers. So we’re gradually getting the team assembled.'

DeMoss, with GM, Trevor Berrange – former UK operations manager for 10 years for the company – will hire the team required to liaise with the retail network for the company’s diverse product range.

Following Sanctuary Cove International Boat Show last week, its final show with GME as its distributor, the Garmin team is looking forward to the challenges and scope that direct distribution provide.

The split with GME had a lot to do with the massive explosion in product range experienced by Garmin in the past few years, says DeMoss.

'In particular, portable navigation devices. In the past year, they have surpassed flat screen TVs as the fastest growing consumer category and currently, it makes up 65% of our total business.'

Garmin’s Nuvi line, featuring six to seven products, will be key in its growth in the portable navigation space.

On of the challenges for GME had been dealing with the extensive consumer electronics network for the Garmin product range, that meant CDs stores, Dick Smith shops and the major outlets nationally.

'As price points were falling and margins with them, it was difficult for Garmin to have a middle man in such a dynamic market.'

Also promising massive potential for Garmin in the local market, the fitness sector. 'We really live our ‘active world’ tagline. We have the while gamut, whether for a driver, boater, kayaker or fitness buff.'

But that doesn’t mean Garmin has left behind its marine interests.

'On the contrary, we are now able to refocus on our marine product range, which we don’t believe has enjoyed the emphasis it has deserved since our launch of a new suite of products I the past 12 to 18 months.

'At the high end for example, we have chart plotters, sounders and radar systems. There are products that allow 3D underwater rendering, a mariners 3D view for above the water and on-water auto-guidance. We can now approach boat builders direct with our auto pilots and true marine instruments which we believe are among the best available.'

During the next few months, possibly in time for launch at SIBS but before the end of the eyar, Garmin will be releasing its Auto Pilot for marine chart plotters, as well as a full line of marine instruments – fuel sensors, heading sensors and a new high-definition radar.

In his down time, DeMoss is a fisherman and in his former sales life, was a marine sales representative for Garmin. 'I am a really keen fisherman. That’s why Australia was so appealing to me – I can’t wait to have the time to explore some of its famous fishing spots.'

Australia is the 'perfect country' for Garmin to live by its tagline 'products for an active world', says DeMoss, who says he’s looking forward to marketing the brand and its products to the local market.

While the company has a global look and approach to its branding and advertising, DeMoss understands that each market has its individual habits and characteristics.

'I am conscious that Australia is unique and what works in the US, might not fit the consumer profile here.' Thus, marketing will be tailored specifically for us.

Australia and Asia are vital and booming markets for Garmin, ranking third below the US and Europe in significance.

'Geographically, Australia is large, but the population is relatively small, so it’s a competitive arena. My observations of the market here so far are that Australians are very tech-savvy, compared to many Americans.

'They are really keen to try new things, adopt and adapt to new technology. I have also noticed the importance of relationships at store level and that will be our main focus – to have strong relations with franchisees and store owners.'

DeMoss continues: 'The first Christmas here will be big for us. I will be judged from day one, but we have high hopes to have established a strong foothold in our many markets by Christmas.'

Garmin was founded by Gary Burrell and Dr. Min Kao, and its world headquarters are in Olathe, Kansas.

More at www.garmin.com