3 minute long news story disguised as a news story. iPod and iPod accessories (including music downloads) going through the roof. What can you say except Steve Jobs is a genius. Back to Sandisk, flash mp3 players are the stealth, under the radar items this Christmas. I think it's going to surprise those bracketed by conventional wisdom. Good day for SNDK.
CNBC originally promoted the segment with Liz Clayman saying"Is there a shortage of IPODs" stay tuned. When the 3 minute segment was aired, no mention what so ever of the shortage. Someone got to them before they went on the air and someone killed that idea.
The CNBC Power Lunch version was live in an Apple store for the entire news story. They didn't mention shortage but they did interview one shopper who said her kids owned 3 iPods and she was shopping for accessories. There are shortages in the high end models. Can't deny the success. Right time, right place, right products. Sandisk needed to get on that bandwagon. We'll see when the dust settles.
The genius of iPod is the branding. People will pay the premium price because of the coolness factor.
The CNBC news story said iPod has 90%, I know heard right, 90% of the mp3 player market. I suspect that was before this month. Lots of room for other mp3 player brands. Only too bad Sandisk didn't have time to establish its brand with some whacked out dot-com like advertising. Remember those days? If they had done that, the mid- and high-end mp3 players would probably be sold out by now. This Christmas was ripe, right time right place.