Procter and Gamble Company’s (NYSE:PG - News) Duracell battery has taken up aggressive promotional activity for its Powermat batteries. The company has brought in Grammy-winner Jay-Z for endorsing its wireless charger, The Duracell Powermat.
Jay-Z will contribute his powerful celebrity image to the brand, with his proven capability to convince a technology-savvy generation who swears by their smartphones. The celebrity will enable Duracell Powermat deliver the message that consumers need not sacrifice their smart, mobile and well connected lifestyles because of insufficient battery power.
Duracell Powermat, which is a joint venture between P&G’s Duracell and Powermat Technologies, has also entered into an arena-integrated marketing partnership, by which Duracell will be the official wireless charging partner of The Madison Square Garden Company (NasdaqGS:MSG - News), the New York Knicks, New York Rangers and New York Liberty.
The wireless charging system will be up for display throughout the Madison garden. There will also be a dedicated “Duracell Powermat Powerzone,” which will allow the attendees to charge their electronic devices. Additionally, the fans can charge the devices even when they are out of the garden as the Duracell Powermat charging system will be up for sale in the retail stores inside MSG.
Duracell partnered with Powermat Ltd in September 2011 to make small charging mats and receivers, which would wirelessly power up cell phones and other small electronics. Powermat reaches its customers through several retail outlets like Target Corporation (TGT'>TGT) and Best Buy Company Inc. (BBY'>BBY).
The company is also trying to expand its market by using the same technology in everyday objects. The company has also entered into an agreement with General Motors Company (NYSE:GM - News) to fit in its charging mats into future Chevrolet, Buick and GMC products to facilitate charging of devices like smartphones and MP3 players.
Since late 2009, Powermat has been selling its mats and receivers at airport shops and through major retailers such as Target. Powermat offers mats of different sizes, as well as an array of receiver-equipped cases and docking stations for devices such as iPhones, iPods and BlackBerrys.
The company uses electromagnetic induction to charge electronics. Basically, when you drop a Powermat-enabled device onto a charging mat, the two exchange a "handshake" using RFID, or radio-frequency identification technology. The mat identifies the device, determines how much power it needs, then starts transferring energy to it. Once a device is fully charged, Powermat will stop the electricity from flowing.
With the demand for wireless chargers picking up on the back of surge in mobile devices, the wireless charging industry is expected to reach $885.8 million in 2011 – up from $123.9 million last year. The industry is expected to generate $23.7 billion in the near future.
Currently, we prefer to be Neutral on P&G. Furthermore, P&G holds a Zacks #3 Rank, which translates into a short-term Hold rating.
More From Zacks.com