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Apex Digital and bargain culture

While not directly PVR/DVR-related, this NY Times Magazine piece on America's "bargain culture" and the mythical $30 Apex DVD player was really compelling.

Based in Ontario, Calif., Apex Digital was founded by two immigrants from China and Taiwan and is a thoroughly global operation: all the DVD assembly is done by subcontracted workers at a factory in Jiangsu, China, where labor costs are low. Apex has only about 100 employees on its payroll, most of them in California.

A big chunk of Apex's 2003 sales (about $1 billion) came during the run-up to Christmas -- when a kind of extreme thriftiness has come to manifest itself in virtual scrums as bargain hunters throng at low-price retailers for while-supplies-last deals. Last Christmas the Deal was often a DVD player marked down to an absurdly cheap $29, and that DVD player was often an Apex model.

It is incredible to think of a company less than 5 years old, with about 100 employees, selling over $1 billion, being second in marketshare to Sony (at least within the category of DVD players.) Apex seems to have converged at a point between the globalization of manufacturing and labor, the distribution of big-box retailers in America, and this "bargain culture," by providing product cheaper than any other competitor. We have had low-cost brands in the past, but Apex seems to be a different beast. They seem to be exploiting every possible advantage in the most efficient manner. It is very impressive.

I think an Apex PVR/DVR offering is still a few years in the future, however when it arrives, it will signal a true mass-market for the PVR/DVR segment.

The Apex DVD Player [nytimes.com]

by Gen Kanai March 6, 2004 in News

Comments

I know a lot of my friends buy them cause Apex doesn't include any region protection on a lot of their models. You can watch DVD's from Korea and Japan without having to mess with changing regions on your player. Most Apex players come with pretty good OS's that play MPG's, AVI's, DIVX, and even XVID! They're Not only cheap but they can do a whole lot. You just lose out on quality outputs.

Posted by: Joel at Mar 7, 2004 3:37:02 PM

Now if I could just get my ReplayTV remote working with my Apex TV!!!

Posted by: Murph at Mar 19, 2004 4:45:54 PM

NEED COMPANY PHONE #

Posted by: NATHANIEL at Mar 29, 2004 6:58:18 AM

Hello,
I've been to your web page & local stores as well looking for a 24" Flat TV. are you still making them? if so, where can I obtain one. Please advise. Thank you

Posted by: Robert G vonGiebel at Apr 22, 2004 10:49:17 AM

Cheap yes, but it should still work? This is the second Apex AD-1201 player I have had and it just went bad again. WalMart will not take it back because the box was destroyed in a storage accident and they cant get reinbursed without sending it back in the original box. Seems like the factory could do someting for me? Lee Phillips Detroit Michigan

Posted by: Lee Phillips at May 6, 2004 4:42:51 AM

Not happy with APEX. Went to Better Business Bureau website and complaints are the same. Bad customer service and shoddy products that stop working almost immediately, in most cases. All of this with slow response or no response from APEX. I recommend paying the extra money and buy from a well established reputable company.

Posted by: Rokvary at May 9, 2004 11:56:37 PM

I had to go to the Better Business Bureau also. Bought a Portable DVD player for a Christmas present and it never worked.. Fedexed it to them In January and they still have not fixed or privided a replacement. Their Customer service doesn't care and only say some day parts will arrive from China.

Posted by: John Bristor at May 14, 2004 3:08:04 AM

Tried to access the Apex website and it's not there anymore. Gives you some idea of what to expect when returning goods and expecting to find "customer service."

Posted by: Mark Blucher at May 22, 2004 8:29:20 AM

I found a found number to Apex customer service. I haven't tried it, but wouldn't be surprized if it's not working.

866-4AP-EXGO

Posted by: Gary at May 23, 2004 6:30:57 PM

I had an apex that I bought at xmas time it stopped working. I brought it back to wal mart with no hassle. I didn't have a receipt, but I had the box. They exchanged it for a newer model.

Posted by: gary b at May 24, 2004 1:09:48 PM

apex.is great were do i find the address to order factory direct from them.a portable dvd player.cheap,

Posted by: james at May 29, 2004 4:13:37 AM

I am a TV repair tech. My daughter bought 2 Apex TVs for the grandchildren for Christmas. By the end of February they were dead. I could fix them if I could find parts. No websites I have found carry these parts. I have contacted Apex, but they won't even respond with a place for me to get these parts. Yes the Better Business Bureau website is loaded with complaints. All we can do is tell everyone we know.

Posted by: Robert Hale at Jun 6, 2004 6:08:52 PM

Bought Apex portable DVD player, the battery did not work. Apex customer service said they would replace, that was over 3 months ago and haven't received anything! I had to wait on hold for 45 minutes that time, haven't been able to get through again to ask anyone what is going on. The line is always busy. This product is junk and customer service is even worse. Don't waste your money!

Posted by: margob at Jun 11, 2004 9:10:54 AM

Service is a real problem with Apex. Their website gives phone numbers but they rarely respond. Even their support website where they promise 24 hour response is a falsehood. My questions were posted on may 16. I still have no response. I would suggest snail mail in bulk by everyone reading this. perhaps a large volume of complaints would move them to respond. They cannot afford too much bad publicity. they are a new company after all. here is their mailing address: C.O.O. Ancle Hsu 2919 E Philadelphia St, Ontario, CA 91761 This is the co founders address. Flood him guys!!! Thanks

Posted by: Richard Whitney at Jun 12, 2004 9:18:49 AM

I have had THREE APIX TVs. Not only are the best to look at it's all most flat but I have had NO problems with tany fo the TVs.I found this talk fest looking for the best price for a 32' unit. I have had TVs fron 1948 till now and this APIX is the best I have had. I hope this one will be the last I buy. I will die happy TVV wize.

Posted by: Jerry at Jun 24, 2004 12:02:43 AM

My wife got the APEX PD-450 at Wal Mart for 60.00, didnt think that was a bad deal. Battery was dead from the get go. Cant get their web site. Player works for now. Hope for the best I guess.

Posted by: Brian at Jun 25, 2004 8:09:45 AM

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Listed below are links to weblogs that reference Apex Digital and bargain culture:

» Apex and industry innovation from Panbo's Digital Living Weblog
A lot has been said about Apex already. It's the perfect example of what Philips' Gerard Kleisterlee meant when he said that innovation is the only way to go for companies like Philips and Sony. If they don't, Apex and it's followers, with a kind of De... [Read More]

Tracked on Mar 6, 2004 5:28:17 PM

» Apex DVD player - $30 from Gen Kanai weblog
I have a post over at pvrblog.com which talks a bit about the $30 DVD player that Apex was selling... [Read More]

Tracked on Mar 7, 2004 3:20:44 AM

» gen's excellent analysis of apex digital from anil dash's daily links
http://www.pvrblog.com/pvr/2004/03/apex_digital_an.html... [Read More]

Tracked on Mar 7, 2004 2:23:42 PM

» Apex from Jay Shao: Blog
Apex's value add is their knowledge of cheap manufacturing sources in China combined with access to the channel in the US. Since so many Chinese nationals undoubtably have equal or better knowledge of the manufacturing climate, I wonder how long it is... [Read More]

Tracked on Mar 8, 2004 9:00:47 PM