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A Swedish kid did what we all dream of...

Just about every foreigner who comes to Taiwan perceives the dynamism and vibrancy of Taiwan’s export industries. We see how Taiwan has come to dominate the world’s computer and electronics industries in recent years.

It’s cool to think about all the products that friends and family are using “back home” that were made “down the street” here in Taiwan. Taiwanese companies of all sizes are cranking out devices that will end up on the store shelves all over the world, and it is exciting to be here in the middle of this activity. There are monitors, Mp3 players, PCs, video cards etc etc etc.
It’s fascinating to see how one company comes out with a new cool product and within months 10, 20 or even more companies have a similar product out that is the same, or perhaps better or smaller -– or at least cheaper.

And as a foreigner we think -– how can I tap into that? There seem to be so many opportunities here. We say “Hmm, that thing I saw in Guang Hua Computer Market this morning -- I could sell that in Europe for twice the price…” This is because we think that Taiwanese companies have trouble reaching Western markets. Indications of this include sales materials that are written with funny English, websites that no European would give the time of day to, and sales people that don’t speak English very well or run away from foreigners.
Right or wrong, foreigners, myself included, look at this situation and think that marrying Taiwanese manufacturing prowess with our Western market knowledge would be a gold mine. “It works for Dell, couldn’t it work for me…?”

Well, let me tell you about a guy who connected the dots. But the story is a bit different because this guy didn’t come to Asia first and then get bitten by the urge. He saw an opportunity for a product and then went looking for a manufacturer, and he found it in Korea instead of Taiwan. But the idea is the same and the result is impressive.

In early 2003 the then-24-year-old Swede Jens Nylander saw a market opportunity for an Mp3 player with a nice design. He was clearly right, because in its first year of operation his company -– “Jens of Sweden” -– sold US$7.3 million dollars worth of Mp3 players and quickly took a large piece of the Mp3 market in Scandinavia. The company reports a net profit of amazing 30% –- and since Jens is the only shareholder, he has become a millionaire in just a few months.

Jens describes himself as having had a pretty miserable upbringing and that he was bullied as a teenager. He decided that the way to revenge on his devils would be to start a company and become successful.

By all measurements he has succeeded. The company now has 6 employees and is growing fast with resellers not only in Sweden but also in Norway, Denmark, Finland, Holland, Germany, Australia, the United Kingdom and the USA.

”The brand -- Jens of Sweden -– stands for Scandinavian quality and design, which puts us apart from our competition. It’s easy to recognize and stands out in the technology industry and market place,” says Jens.

To develop his product he surveyed the available outsourcing options and found a Korean company that was developing an Mp3 player with the functions he wanted. He contacted the company and they worked out the exact design together. His initial investment into the company came to just US$40,000.

The Korean company that manufactures the Mp3 players isn’t complaining either. The company is called iBead and was founded in 2002. Their website says 2003 sales came to US$D20 million which indicates that Jens of Sweden is a pretty significant customer. They seem to be enjoying their success; this year they have moved to new and nicer facilities.

Jen doesn’t mind talking about the secrets of his success. “Don’t focus too much on price, the quality and feeling of the product is much more important.

Also make sure to order samples of the products you think seem good and then you, your friends and family should test them,” says Jens.

He continues “when I started Jens of Sweden, a lot of people laughed at me and thought I was crazy, but I knew it would work -- making my name into a brand -- and I followed my dream no matter what people said.” Not bad, for a young kid from Sweden.