Adtec Digital grows its sales in Europe

Adtec Digital - which supplies encoding systems to the satellite newsgathering industry - is planning to replicate in Europe the success it’s already achieved back home in the USA.

Kevin Ancelin, sales director and co-founder, says Adtec has 80% of the American satellite truck market. “We are definitely an American-based company and we are trying to change that,” he said. “We are investing in Europe with people, offices and infrastructure to provide the support component required by this business.”

In recent months Adtec has sold to a number of blue-chip companies winning new business in Germany, Switzerland, Austria, the UK, the Netherlands and Turkey. “We’ve had some great, fantastic wins,” said Kevin.

The company believes the Adtec technology is second to none as the systems produce ultra-low delay, superior video quality, 16 channels of phase-aligned audio and are light-weight, quiet and consume low levels of power.

However, Kevin says technology is only one reason why a customer would choose to purchase their equipment. There are other factors such as aftersales service and pricing.

“Technology is the smallest component of any sale,” he said. “It is an essential component but it's not the deal-winning factor. Sell on technology, die on technology. The pace of technology advancement is so fast no-one can keep up and lead for a long term. So we're very good and competent at technology but I argue that's less than 20% of any sale.”

Pricing is critical and Adtec believes it is always sensitive to the financial constraints of the market.

Kevin said, “Three years ago when we started in this business, the average selling price for an Mpeg-2 SNG encoder was US$50,000. It is now today well under US$20,000. And there's only one company that brought that price point down - and that was Adtec. We were the disruptive player in the market. We turned it upside down. Now our competitors say ‘Okay, we'll match Adtec's price’.”
  • Log In
  • Help