Market Report: Taiwan

A visit to Taiwan's spring Giftionery Taipei trade show gives evidence that the image and definition of what we have long associated with the “Made in Taiwan” label, no longer applies. With so much of the “cheap goods” business — novelties, souvenirs and low-end promotional items — now coming from People's Republic of China — or what was known as Mainland China — Taiwan's gift and stationery product design and manufacturing is reinventing itself and retooling to focus on producing high-quality, more design-driven products.

The energy and enthusiasm of the exhibitors for what they do and for their products is infectious; they often draw on traditional Chinese design, handicrafts and cultural elements for inspiration. And there are a growing number of smaller companies of young entrepreneurs that are driving forward product design and development with a more universal appeal for the next generation.

The spring Giftionery Taipei at the Taipei World Trade Center Exhibition Hall (TWTC) is relatively small with some 320 exhibitors; and like its exhibitors, it is in transition. With so much competition from other trade shows in the region, especially in Hong Kong, the Taiwan External Trade Development Council (TAITRA) is refocusing much of the show to more aggressively promote Taiwan businesses by emphasizing the high standard of quality that Taiwan offers to the global marketplace. It is also transitioning the spring show to have more of an emphasis on the stationery products category and smaller related giftwares, while the autumn show, to run October 23–26, will have more of a focus on home decor and lifestyle products. This fall show will be strengthened by the concurrent 2008 International Cultural & Creative Industries Exhibition, which will present products for the modern lifestyle, along with handcrafted goods and merchandise reflecting cultural influences interpreted for the modern consumer.

A large “Branding Taiwan” display showcased many of the Taiwanese brands exhibiting at the show. It also served to draw attention to business opportunities available through developing licensing partnerships. Many Taiwanese companies are official licensees of such companies as Disney and are authorized to produce products featuring their characters. The display also served to inspire and educate smaller companies as to the possibilities that producing licensed branded merchandise and/or the development of their own branded lines can provide for the growth of their businesses.

One high profile exhibitor showing how licensing and branding can work successfully together was Taiwan's National Palace Museum (NPM). Its exhibit hosted seven authorized companies producing lines under license from the museum. The lines ranged from furniture, tabletop, home textiles and decor to collectible coins, toys, confectionary and figurines — all deriving design inspiration from pieces in the museum's collections that are interpreted for the modern sensibility and lifestyle. This licensing initiative, an effort to elevate the profile of the museum as a global resource for design inspiration, began about three years ago and is growing. One of its first licensees was Franz Collection, a globally prominent Taiwanese company, known for its delicate porcelain tabletop, jewelry and decorative accents. Among the current new product lines with the greatest appeal in the international marketplace are the furniture and home accessories from DR Design, the reproduction artworks from One Gallery, the luxury bedding and home textiles by Royal, and the Lohan figures from Bright Ideas.

Licensing is adding to the growing success of several other companies with whom we met. A licensee of Disney, Hello Kitty, Pixar's new Wall-E, and other major character brands, Pop Three Dimensional Picture Co. produces calendars, stickers, magnets, posters and other items in three-dimensional “raised relief” designs created through a vacuum-forming process. Pop Three is moving in a new dimensional direction, producing 3-D lenticular images of licensed characters on plastic drinking cups. Adapting the usually flat lenticular product to a shaped surface provides its challenges for the manufacturer, but the result is compelling.

Eco products and concern for the environment is as much a focus in Taiwan as it is elsewhere around the globe. The Lohas Life Products display presented a look at the range of products available at the show that had environmentally friendly qualities, whether they were made of recycled or sustainable materials, or in some other way reduced the negative impact on the environment. These products ranged from home office products — including lightweight furniture pieces — made from recycled paper cardboard, to kitchen accessories made from bio-degradable plastics, and more. And all of the items on display were very design-forward in their look.

The Taiwan Eco-Materials Industry Development Association (TEMA), a group of eight exhibiting companies, reflected one direction of the “Lohas” outlook by promoting the health and beauty benefits of bamboo charcoal. Their products showed how this renewable resource can be used in a range of beneficial applications, from water purification to personal care and more.

For the complete Taipei Giftionery show report, visit www.giftsanddec.com and click on “Direct from Market.