Playmaxx, the sole distributor in Thailand of Japanese Kinka-brand gold-mixed cosmetics, will expand its distribution channels by entering shopping malls in a bid to increase sales 10-15 per cent.
To date, it has been relying on a call-centre system for sales.
Vice president Pornpimol Silakupt yesterday said the company began importing Kinka products early this year. There has been a good market response, with revenue of roughly Bt1 million a month generated despite the reliance on call-centre sales.
Playmaxx will sell Kinka products over the counter for the first time in Siam Paragon by the end of this month. It expects to have a second counter in a high-end shopping mall later this year and plans thereafter to increase its counters by two locations every year.
"We expect our sales to increase 10-15 per cent from roughly Bt1 million monthly after we expand into shopping malls. Our revenue target this year is Bt15 million," she said.
In the first stages of marketing Kinka products in Thailand, Playmaxx has focused on giving out free samples. It now plans to begin advertising on television. Hakuichi, the manufacturer of Kinka, is considering approval for television commercials to be shot in Thailand.
Kinka products are premium cosmetics in the Japanese market, where it is the leading brand in the gold-mixed cosmetics segment. All Kinka products have platinum as a main ingredient.
Kinka has more than 30 products selling in Japan. Playmaxx has imported 12 of them for local sales, including skincare and makeup products. It plans to bring in another five products next year.
Pornpimol said Playmaxx was also interested in expanding its distribution channels into spa-therapy centres. It is negotiating with some high-end spa centres and expects an early outcome.
Playmaxx intends to market Kinka products through three distribution channels: the call-centre system, which will continue to serve clients upcountry; shopping malls; and spa centres, contributing 40 per cent, 50 per cent and 10 per cent of revenue, respectively. The company expects sales to grow 10 per cent next year.
"We target consumers who are using premium brands priced at more than Bt10,000 apiece. We hope to persuade them to switch to our brand, which offers better value if you compare quantity with price," she said.
Kinka's prices range from Bt2,000 to Bt7,000 per item.
Wednesday, October 28, 2009
BETTER WAY SHIFTS FOCUS TO BOOST REVENUE
Better Way(Thailand), the direect-sales cosmetics business under the Mistine brand, will focus more on the sale of products costing at least Bt200 in a bid to boost revenue to Bt10 billion within two years.
Managing director Danai Deerojanawong yesterday said the company planned to boost the revenue contribution from products in this category to 50 per cent in the period.
Last year, products costing about Bt100 apiece-targeting the mass market-contributed 80 per cent of sales value.
The company began to focus more on higher-priced items early this year, since which time their revnue contribution has risen to 30 per cent.
Better Way earlier targeted 2009 revenue growing by 7 per cent from last year. Howerver, its revenue growth in the first half far exceeded expectations, coming in at 15 per cent.
The two main factors behind the good permance are its shift to focusing on higher-priced products and the increasig number of Mistine sales agents, said Danai.
Customers who buy products worth Bt and up spend an average of Bt1,500 per bill, while those purchasing cheaper products spend Bt900 to Bt1,000.
Danai said the company would double the number of upper-level Mistine products to 50 this year.
It will also increase the marketing budget for all products this year to Bt600 million, up from the previously allocated Bt550 million, as it foresees continued bright prospects.
"We're willing to spend more on marketing activities in the second half, in order to maintain revenue growth at 15 per cent for the rest of the year. We expect revenue of Bt8.3 billion to Bt8.5 billion this year. The only factors we're concerned about are the political situation and global oil prices, which will affect consumer sentiment," he said.
Managing director Danai Deerojanawong yesterday said the company planned to boost the revenue contribution from products in this category to 50 per cent in the period.
Last year, products costing about Bt100 apiece-targeting the mass market-contributed 80 per cent of sales value.
The company began to focus more on higher-priced items early this year, since which time their revnue contribution has risen to 30 per cent.
Better Way earlier targeted 2009 revenue growing by 7 per cent from last year. Howerver, its revenue growth in the first half far exceeded expectations, coming in at 15 per cent.
The two main factors behind the good permance are its shift to focusing on higher-priced products and the increasig number of Mistine sales agents, said Danai.
Customers who buy products worth Bt and up spend an average of Bt1,500 per bill, while those purchasing cheaper products spend Bt900 to Bt1,000.
Danai said the company would double the number of upper-level Mistine products to 50 this year.
It will also increase the marketing budget for all products this year to Bt600 million, up from the previously allocated Bt550 million, as it foresees continued bright prospects.
"We're willing to spend more on marketing activities in the second half, in order to maintain revenue growth at 15 per cent for the rest of the year. We expect revenue of Bt8.3 billion to Bt8.5 billion this year. The only factors we're concerned about are the political situation and global oil prices, which will affect consumer sentiment," he said.
Tuesday, October 20, 2009
ROBINSON TURNS FOCUS TO SUBURBAN AREAS
Robinson Department Store will relocate its marketing activities to its suburban and upcountry branches and customise its strategy to cope with the new realities of consumers preferring to shop nearer to home.
The movie is also because business was flagging at Bangkok stores due to the economic and political unrest.
"We have gradually shifted our marketing strategy from mainstream campaigns to localised activities. The move is to cope better with different lifestyles and shopping habits of consumers at particular locations," Sirinij Chokchairittikul, vice president for marketing, said yesterday.
"We have seen better living standards of consumers in many suburban areas due to the expansion of the city," she said.
The company's Bangkok stores had faced tougher competition, so the company wants to focus more on its suburban and provincial properties, where the rivalry is less and potential is still tremendous.
The company will hold its latest signature fair from Thursday to November 2 at Fashion Island Shopping Complex, a suburban mall on Ramindra Road. It will allocate over Bt10 million to the marketing of "Beauty World @ Robinson Fashion Island".
The event, covering 1,200 square metres of exhibition space, will showcase about 50 cosmetic brands, of which over 20 are high-end, including Shiseido, Nars and David Jones Beauty.
Prasert Sriuranpong, executive director of Siam Retail Development, which manages Fashion Island, said the shopping mall had weathered the recession quite well.
"Despite economic and political difficulties, we have seen year-on-year growth in shopper traffic of 8.5 per cent so far this year," he said.
Ramindra was a prime residential area with homes priced at Bt5 million-Bt30 million. People living there have high purchasing power, he said.
Sirinij said half of Ramindra's households enjoy income of Bt50,000-Bt60,000 a month. Average spending per bill at the Ramindra Robinson has also increased dramatically from close to Bt1,000 five years ago to about Bt2,500 this year. Most best-selling products carry high price tags, such as luxury watches, IT equipment and fashion and lifestyle products.
Cosmetics were among the products less buffeted by the downturn.
"We have seen satisfactory growth of 5 per cent in our cosmetic sales in the first nine months of this year compared to the same period last year. We expect better sales this quarter, which is the peak selling season for cosmetics," she said.
The company targets full-year growth in cosmetic sales at 7-8 per cent. Cosmetics are considered as strategic merchandise, contributing 15 per cent of Robinson's overall sales, which have risen by about 3 per cent so far this year compared to the same nine-month period last year.
The movie is also because business was flagging at Bangkok stores due to the economic and political unrest.
"We have gradually shifted our marketing strategy from mainstream campaigns to localised activities. The move is to cope better with different lifestyles and shopping habits of consumers at particular locations," Sirinij Chokchairittikul, vice president for marketing, said yesterday.
"We have seen better living standards of consumers in many suburban areas due to the expansion of the city," she said.
The company's Bangkok stores had faced tougher competition, so the company wants to focus more on its suburban and provincial properties, where the rivalry is less and potential is still tremendous.
The company will hold its latest signature fair from Thursday to November 2 at Fashion Island Shopping Complex, a suburban mall on Ramindra Road. It will allocate over Bt10 million to the marketing of "Beauty World @ Robinson Fashion Island".
The event, covering 1,200 square metres of exhibition space, will showcase about 50 cosmetic brands, of which over 20 are high-end, including Shiseido, Nars and David Jones Beauty.
Prasert Sriuranpong, executive director of Siam Retail Development, which manages Fashion Island, said the shopping mall had weathered the recession quite well.
"Despite economic and political difficulties, we have seen year-on-year growth in shopper traffic of 8.5 per cent so far this year," he said.
Ramindra was a prime residential area with homes priced at Bt5 million-Bt30 million. People living there have high purchasing power, he said.
Sirinij said half of Ramindra's households enjoy income of Bt50,000-Bt60,000 a month. Average spending per bill at the Ramindra Robinson has also increased dramatically from close to Bt1,000 five years ago to about Bt2,500 this year. Most best-selling products carry high price tags, such as luxury watches, IT equipment and fashion and lifestyle products.
Cosmetics were among the products less buffeted by the downturn.
"We have seen satisfactory growth of 5 per cent in our cosmetic sales in the first nine months of this year compared to the same period last year. We expect better sales this quarter, which is the peak selling season for cosmetics," she said.
The company targets full-year growth in cosmetic sales at 7-8 per cent. Cosmetics are considered as strategic merchandise, contributing 15 per cent of Robinson's overall sales, which have risen by about 3 per cent so far this year compared to the same nine-month period last year.
Friday, October 9, 2009
Skin-friendly formulations
Lime and ginger are recognised for their skin detoxification and softening properties, yet they are known to cause a burning sensation, too. Elemis launches its new Exotic Lime & Ginger Hand & Body Wash and Lotion - an exotic blend of citrus, lime, vetiver, petitgrain and ginger essential oils combined with plant extracts in a skin-friendly base of soy, wheat and milk proteins. This pure formula leaves the skin moisturised and richly nourished,minus the raw feeling on the skin.
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