Bangkok--Apr 27--Siam PR. Consultant
Star Sanitaryware determines strategy to help boost sales in 2005 with growth target at 20% Company to launch stylish Suite Collections to attract consumers
Star Sanitaryware Public Company Limited, specialized manufacturer and distributor of quality sanitary ware products for over 20 years under the trademark of “Star” is responding to the demand of consumers with greater added value. The company is also preparing to launch the latest Suite Collections in 4 different designs to bolster sales to 500 million baht by the end of the year. The new collections will be showcased at the Architecture Fair 2005 in Impact Muangthong Thani during May 4-8, 2005.
Dr. Somchai Wongaroon, President of Star Sanitaryware Public Company Limited, manufacturer and distributor of Star sanitary ware products, disclosed that a research conducted by Krungthai Bank found that manufacturing and distribution of the sanitary ware products increased 8.4% and 22.7% respectively. “Industrial growth was attributed to domestic market expansion, which was in proportion with the growing property sector. Manufacturers have been upbeat in terms of sales promotions especially the policy to sell directly to property project operators. As for the retail operation, sales venues have been modernized and decorated to highlight outstanding product quality,” he said.
The imported value of sanitary ware for the year was 755.9 million baht up 37.9%. Most of the imported products came from China and Italy with import ratio of 35.6% and 12.8% respectively. Export of sanitary ware products on the other hand increased 9.1% to 3.818 billion baht. Key export destinations such as Japan saw decline of 57.7%, while markets in the European Union and ASEAN continued to grow at29.7% and 12.3% respectively.
‘In 2005, the market is expected to grow at a slight growth rate unlike during the last 2-3 years due to the slow down in the country’s property sector. The market this year is predicted to include 4 million units at 10% growth rate. Import of sanitary ware in Thailand during the first 2 months of the year valued at 148 million baht up 75.2%. Most of these products came from China, Italy, Taiwan and Germany. Export for the period meanwhile rose 11.8% to 607 million baht. Major export markets included the United States and Japan, whose export value continued riding on the uptrend,” he explained.
“Influential factors for the growth of Thailand’s sanitary ware industry include the movements within the property sector for instance, the emergence of Eua-atorn Housing Project, development of residential projects, condominium and office buildings, offices, home repair and spas. Markets within Asia and the Indochina also show sign of strong growth potential,” he said.
“As for business plan and policy, the company will focus on producing products with highest quality for utmost customer satisfaction through quality control monitoring, consistent services, punctual production and product delivery and good management with follow up to ensure further improvement in manufacturing and raw material sourcing and efficiency and safety in the operation,” he said.
In 2005, Star Sanitaryware has clearly determined its focus on domestic and international markets with the following ratio in the next 2 years:
2005 — 75% export and 25% domestic
2006 — 70% export and 30% domestic
In the first quarter of 2005, the company achieved projected sales. The performance for the entire year is predicted at 500 million baht or 20% in terms of growth. In 2004, the company recorded sales worth 300 million baht in sales growth with 80% of the sales attributed to export to Europe, the United States, Japan, Brunei and the Philippines. The remaining 20% of the sales came from domestic sales through 250 retail outlets nationwide.
The strategy lied on increasing product capacity and offering new product designs and variety to cater to the demands of modern consumers. “Under the concept of ‘The Definition of Creation’, Star Sanitaryware will please consumers with stylish products. Around 20 to 30 new product items will be launched to promote customer satisfaction through great quality and beautiful designs, along with advertising campaign and sales promotion for both domestic and international markets. Star Sanitaryware will be concentrating more on domestic consumption to improve the ratio of sales performance. During the first half of 2005, we are providing support to Eua-atorn Housing Project, under the National Housing Authority, whose objective is to allow people the chance to own a home. In the remaining half of the year, the company will be launching new suite collections to please the market. The first of the series of product launch will be held during the upcoming Architecture Fair 2005 at Impact Muangthong Thani during May 4-8 this year with 4 new suite collections in luxurious and stylish designs. The company will then continuously introduce new products to the marketing starting middle of this year,” he said.
Star Sanitaryware has already started advertising campaign for its new products since New Year with plan to attract architects with new product designs and styles during Architecture Fair 2005 and Home & Garden Fair. “The company is also planning to hold a meeting with retailers nationwide to inform them of the improvement in the company’s business direction and operation — direct selling to property projects with potential and strong distribution through 250 retailers nationwide. The advertising budget has been set at 10 million baht, which is targeted to help propel marketing activities and raise competitiveness within the domestic market,” he said.
“At present, Star Sanitaryware Public Company Limited is determined to rise to excellence in terms of quality products and services with attempt to strengthen Thailand’s sanitary ware industry among global competition. Star Sanitaryware the name Thai people are proud of,” he concluded.
For more information please contact:
Jidapa Pramualsub, Nunthaporn Boonlong
Siam PR. Consultant Co., Ltd.
Tel. 0-2693-7835-8 ext 32,33, 0-1817-7153
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E-mail: [email protected]
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