Published on May 13, 2005
Boonrawd Trading Co is pinning some of its international expansion hopes on the Miss Universe Pageant 2005 as domestic sales continue to stagnate.
The brewer, which has a 33-per-cent share of the Thai beer market, is one of the major Miss Universe sponsors.
It has begun to aggressively expand overseas because of flat growth in domestic sales, caused mostly by the government’s stricter regulations on alcohol sales. Marketing manager Chatchai Wiratyosin said yesterday all alcohol companies had been hit by flat sales growth. The government has enforced stricter rules on television advertising times, restricted advertising content and limited channel distribution. Chatchai said that before the crackdown, advertising of alcohol was based around stimulating sales and encouraging new consumers of the products. Now ads have as their main objective the building of brand loyalty among consumers. “Alcohol companies cannot launch any ads or activities to draw new customers as it’s against the social tide and the government’s regulations,” he added. The brewery feels there is more potential in international markets despite fierce competition. All of its brands – Singha, Leo, Thai beer, and Kloster – are being exported. Chatchai said various marketing tools would be used to boost sales, such as being a major sponsor of the Miss Universe Pageant. He said the beauty queens represent 82 countries and thousands of people would visit Thailand for the pageant, include the international press. As well, the contest is being broadcast to 171 countries, where many people watch it with great interest, giving Singha high exposure. Economic problems caused by inflation and oil prices are other factors in the stagnant domestic sales, but they are not as significant as Thais are keen drinkers. They will not stop drinking but rather shift from premium to economy beers, Chatchai said, so the company cannot lose as it has products in all categories. Boonrawd is employing another marketing tactic of putting the Miss Universe Pageant 2005 logo on three million cans of Singha beer and its bottled water to be sold during the contest. Next month the company will launch a new product, Mochi green tea. Chatchai said a new company, headed by Sant Bhirombhakdi, had been formed for the tea. Boonrawd will organise 12 activities for the pageant on the last day of the event, May 31, at Impact Arena, Muang Thong Thani. Nitida Asawanipont The Nation
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