A company that makes an ultraportable video camera called the Flip is aiming an even smaller version at young video enthusiasts.
The $179 Flip Mino extends Pure Digital Technologies' video line, which began in 2006. At the time, Pure Digital said it wanted to bring video to the masses with a camera that was easier to use, smaller and less expensive than most competitors'.
The upshot: The Flip has become the No. 2 best-selling video camera (after the Sony DVD610), beating other full-service models from Sony, Canon and JVC, according to market tracker NPD Group, which doesn't include Wal-Mart and Costco in its surveys. Nearly 1 million Flips have sold.
The initial video cameras were rebranded as Flips last June, and now, "We're approaching 20 percent market share," says Pure Digital CEO Jonathan Kaplan.
The new Mino, which can store up to one hour of video, is slightly smaller than the Flip. Kaplan thinks young video fans will find that appealing.Videos from Flips can be uploaded directly to video-sharing site YouTube. Social network MySpace has been added to the mix for the Mino.
Ross Rubin, an analyst at NPD Group, says reaching young consumers can be a challenge. "They're a much tougher nut to crack than moms," he says. "They're more comfortable using their cell phones and digital cameras to capture video."
He thinks the smaller form factor will help, but the steeper $179 price (the original Flip 60-minute version lists for $149) will be a barrier. "They (the target audience) already own products to capture video," he says.
Paul Ryder, vice president of consumer electronics for Amazon, isn't worried. "Any time we make products smaller, it's always a win, because they're easier to put in pockets and purses. The new camera will continue to do well."
The Flip has been the No. 1 best-selling video camera at Amazon since its launch last year.
Kaplan knows young people might have a hard time paying $179 but says the Mino will get less expensive over time. "Given where the prices of cell phones and iPods are, we think we'll be successful."
Video camera sales had been flat for several years before the Flip's introduction. About 3.7 million video cameras were sold in 2005 and 2006 each. Sales rose to 4.1 million in 2007, which Kaplan attributes to the success of the Flip.
He predicts that many more small camcorders like the Flip and Mino will hit the market and that more traditional camcorders will actually get "bigger and bulkier, because they'll be adding more functionality to differentiate."