Philips pulls out of Australasia TV markets; drops All Blacks sponsorship

Philips is to stop selling its flat screen televisions in New Zealand and Australia at the end of the year.

At the same time, the company’s sponsorship of the All Blacks is also due to be reviewed by both parties.

It’ll be a short discussion. Philips ANZ Corporate Communications rep Sarah Campbell says the decision has already been made to drop the sponsorship, which centred around her company’s TV products.

Philips has been a primary All Blacks sponsor for 15 years. The NZRFU has been informed the sponsorship will terminate January 31.

The company’s Tri-Nations sponsorship was confined to New Zealand only

Campbell says the pull-out follows a review pushed by Philips CEO Gerard Kleisterlee, who is putting profitability ahead of market share as he looks to rationalise the company’s global TV business.

New Zealand was judged too small a market to play in under the new regime. So was Australia. Campbell says she’s unaware of any other countries effected by Kleisterlee’s push.

Big structural changes will be made to Philips consumer electronics organisation in New Zealand, or which its TV business was the largest part. Remaining Philips consumer lifestyle products, including DVD players, iPhone and iPod accessories and stereos will likely be handled by a distributor after the pull-out, implying a major reduction in headcount.

Campbell says Philips lighting and healthcare divisions are doing well in New Zealand, and remain untouched.