Customers who are familiar with the Branded USB Memory Sticks market will be aware that prices have been unstable for the past 12 months. Many suppliers will only hold quotations for just a few days, some for as little as 24 hours. This is due to the volatility of the USB flash memory market, which has been in a state of flux, due to an imbalance of supply v demand and the falling US Dollar exchange rate.
There are many examples of customers who have received quotation for Customised USB Memory Sticks, then tried to place an order a few weeks later, only to find that the price has risen significantly! This is an unfortunate bi-product of this instability.

Back in 2008 the price for Branded USB memory sticks were considerably less than they are now. The US Dollar exchange rate was roughly $2 to the £ and there was an oversupply of USB Flash memory. A 1Gb branded memory stick could be purchased for less than £3. Since then, the $ exchange rate has dropped dramatically, at one point down to $1.53 to the £. This immediately added a 25% increase in price. In addition, earlier this year Apple placed an order worth an estimated $500M to purchase flash memory for their iPhone. This took a large proportion of the supply out of the USB flash market. This in turn increased the price of flash by over 30%. This was particular prevalent on the 1GB and 2GB USB Flash chipsets, as these are the most popular Branded USB Memory sizes. Apple are not the only driving force as many other mobile phone and consumer electronic companies have placed large orders for flash memory in the months leading up to Christmas.
However, there are some green shoots in the market. Apple and many of the other flash hungry companies have now completed their Christmas manufacturing and as a result we have seen reductions in the flash memory prices over the past few days!
This coupled with the Dollar exchange rate increasing to $1.65, has seen a large reduction in Branded USB Flash prices.
Market analysts suggest that this is the calm before the next pricing storm, as Branded USB prices are due to increase again in 2010 – so the window of opportunity is short.
At USB2U we’ve been supplying custom memory sticks and branded memory sticks for the last 7 years at very competitive prices. Give us a call or complete the on-line enquiry form and we’ll get back to you in a flash!
The Rise And Fall Of Branded USB Memory Sticks











