SanDisk takes on iPod

Ashley Milne-Tyte Aug 22, 2006
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SanDisk takes on iPod

Ashley Milne-Tyte Aug 22, 2006
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TEXT OF STORY

BRIAN WATT: Ever heard of SanDisk? It runs a distant second to Apple in the MP3 player market. SanDisk wants to take a bite out of the iPod Nano. It’s putting out a model that has double the storage capacity for the same price. Ashley Milne-Tyte looks at how this David will fare against Goliath.


ASHLEY MILNE-TYTE: SanDisk has around 10 percent of the market for MP3 players. Apple has 76.

Brand consultant Robert Pasikoff says it is possible to unseat a brand viewed as unassailable.

He says a succession of cell phone makers have done just that by introducing smaller sizes and more capabilitiesa€¦

ROBERT PASIKOFF: “The little guys have happened upon one of the expectation buttons for consumers, and all of a sudden they become market leaders.”

But exceeding consumer expectations is key.

Carla Avruch is with the Zandl Group. She says, to grab a chunk of the market, she says, SanDisk has to get creative.

CARLA AVRUCH:“Overall I don’t know if they’re offering any true innovation, so I’m not sure that they’ll be able to close that gap.”

The key to Apple’s success she says is that it’s always a step ahead of the competition when it comes to new ideas.

In New York, I’m Ashley Milne-Tyte for Marketplace.

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