Loewe drives forward its concept for the future
International partnerships open up new markets and strengthen economic performance
Kronach, 13 March 2019. In keeping with its company slogan, "Technology for People" Loewe is evolving from a manufacturer of televisions into a system provider for networked home entertainment technologies, specialising in personalised imagery and sound. To this end, the company is intensifying its focus on international partnerships. “We are systematically transforming Loewe as a technology company across all the key strategic areas. In addition, we are concentrating more than ever on our key strengths in terms of premium brand, development expertise, market knowledge and manufacturing know-how. The interaction of these core areas of expertise is what makes us an attractive proposition for international partners. With this forward-looking concept, we are in an excellent position to compete globally," emphasises Dr Ralf Vogt, Chairman of the Loewe Executive Board.
Extensive international cooperation
In addition to the well-established partnerships with the Chinese company Hisense and the Korean display supplier LG Display, Loewe recently announced an extensive cooperation with the Japanese trading and technology company Toyoichi. In the audio sector, the cooperation with the Taiwanese Jazz Hipster Corporation is being expanded. In addition, the company has been working with universities, colleges, medical research institutes and other partners for years to extend the use of its expertise in personalised sound and imagery to other fields of application - in keeping with the tradition of the company founder, Siegmund Loewe, who had the utopian-sounding vision of bringing moving images to people as early as the beginning of the last century. "Today it is our goal to bring the joy of technology back to people in a simple way. This thought shapes our entire product range and the orientation of our brand," Vogt continues.
Product development expertise
Loewe's core competence is product development, which the company uses to repeatedly provide technology impetus to the entire consumer electronics industry; most recently with the integration of the "Mimi” software, a world first that perfectly adapts the sound of Loewe televisions to the viewer's individual hearing profile. "This expertise in development, which has a considerable influence on the outstanding quality of our products, must be further strengthened together with partners. Together with our creative centre in Kronach, and our branch offices in Darmstadt, Hanover, Munich and Berlin, we will in future be starting to collaborate increasingly with partners such as Toyoichi on development projects," says Ralf Vogt. Among other things, joint software developments are planned for front-end solutions, such as mobile applications in India.
Expansion of the Loewe range
"In addition to televisions, the original medium of ‘seeing’, we will be investing more and more in audio solutions in the future – in listening," continues Ralf Vogt. "To this end, we will continue to expand our audio location in Berlin, which we established last year". First and foremost, however, additional product categories that are compatible with Loewe will be created and will be offered under the brand's umbrella in Asia and Latin America, among other countries. In addition, platform applications and digital services, systems and applications for the networked home are planned. "Our company is currently working flat out on a modular home entertainment system that will enable customers to order digital services from Loewe in the future. This ground-breaking innovation will be presented for the first time at this year's IFA in Berlin.”
Revitalising the Loewe factory in Kronach
As an independent organisational unit, the Loewe factory in Kronach is to become a competence centre for electronics and software solutions. "This opens up cross-industry opportunities for the entry of further partners from the local, national and international environment," says Ralf Vogt. “We are, therefore, making our most important core competencies in software and electronics available to these partners. We are open to financial participation schemes". The agreed purchasing partnership with Toyoichi enables considerable cost reductions as a result of a production warehouse operated by the Japanese in Kronach, and cost-optimising economies of scale due to larger purchasing volumes. These advantages not only benefit Loewe, but also third parties. The first production orders from companies working in the fields of air-conditioning technology and building and control technology have already been secured. Vogt: "Our excellent premium products will continue to be 'Made in Germany' from our state-of-the-art factory in Kronach. We will continue to manufacture televisions for customers entering the premium segment in Pilsen, in the Czech Republic".
International potential of the premium brand
The company will also invest more in the awareness and image of the Loewe premium brand internationally. "Digital communication with the customer will play a much more important role than before," says Peter Nortmann, Chief Commercial Officer. In addition, partner concepts will be used to market the brand with even greater consistency – also in countries, markets and product categories in which Loewe is not yet present.
Omni-channel approach to sales
With regard to sales, Loewe will continue to expand its partnership with qualified retailers, especially in German-speaking countries. "This applies above all to the uninterrupted chain of brand experience that ensures our customers are consistently aware of the Loewe brand," says Peter Nortmann. "As part of our omni-channel approach, we are also increasing the visibility of the brand through online sales, especially to a younger audience. Planned new product categories, for example in the audio sector, are particularly well suited to this type of sales channel," Nortmann continues. "For Loewe, omni-channel does not equate to online vs. offline competition, but rather to optimally utilising the core strengths of the respective sales channels and ensuring these complement each other.
Concentration on core business areas
"In the future, Loewe will concentrate its focus on its core competencies, core processes and key activities to an even greater extent than it does currently. At the same time, this means an even more consistent approach to working as part of an international partner network," stresses Ralf Vogt. This creates the basis for a comprehensive structural and personnel transformation of the Loewe organization and a streamlining of the entire company. Vogt: "On the one hand, we will need more employees than before in some areas, such as software development and marketing. In the indirect areas, however, we will be streamlining processes and working with fewer employees than before. Of course, we will ensure these changes to personnel are carried out in a socially acceptable way. A stable workforce is envisaged in production. Additional orders from the growing partner network offer opportunities for a positive development in turnover and the number of employees in this area".
Loewe. We invented the television.
Until today Loewe products represent timeless design, innovative technologies, developed and manufactured with the precision and reliability of German engineering. The German manufacturer of premium televisions and audio products, headquartered in Kronach, Bavaria in Upper Franconia, is continuously shaping the home entertainment of tomorrow — with passion, enthusiasm and impressive know-how. Loewe products have been perfected down to the last detail and additionally they are also durable and economical in their energy consumption. Modular technology, premium materials, precise workmanship and regular software updates guarantee the sustainability of Loewe products.
Founded in 1923 by the brothers Siegmund and David Ludwig Loewe, Loewe presented the world´s first electronic film transmission at the 8th Berlin Radio Exhibition in 1931, earning a mention on the front page of the New York Times. The brilliant inventor and physicist Manfred von Ardenne, Loewe’s Chief Engineer, came up with the technology. This marked Loewe’s invention of the television. Loewe also developed the first portable television. And that’s not all. Loewe Art 1 — now a design icon — was exhibited in the New York Museum of Modern Art (MoMA) in the 1980s.
Press contact for further information.
Loewe Technologies GmbH
Dr. Roland Raithel
+49 (0)9261 99-217