Liquor importer sees growth

Diageo Moet Hennessy (Thailand), and importer and distributor of alcoholic drinks, recorded high growth last year despite the Kingdom's economic slow-down and an overall downturn in the alcohol industry.
The company enjoyed 43-per-cent overall growth, with a 70-per-cent market share for Johnnie Walker Black Label in its market segment; 79 per cent for Johnnie Walker Red Label in its market segment; and 10 per cent for Benmore in its market segment. Diageo Moet Hennessy remains focused on retaining its existing customer base this year, which it describes as working people with high purchasing power. President Vorathep Rangchaikul said annual sales for the year from July 2005 to June 2006 were Bt7.29 billion, up 43 per cent from the same period one year earlier. In last year's second half, sales grew 11 per cent year on year to Bt4.5 billion. The company gained market share from competitors despite a drop in overall sales for the alcohol industry in Thailand, he said. "Last year's economy slowed down, due to several negative factors, leading to less confidence and more cautious spending by consumers. [Market research company] ACNielsen said the foreign-spirits industry decreased about 14 per cent, but our sales for each product successfully hit their targets. This was due mainly to the high acceptance of our leading-quality alcohol beverages by working people with high purchasing power and who want quality products," said Vorathep. "The striking success of Benmore and Smirnoff, in terms of brand-building, product launches, sales promotions and subsequent excellent acceptance, was a great achievement." This year, the company remains focused on retaining the image of a market leader for premium alcoholic drinks that complies with responsible marketing regulations. The company is committed to accepting increased responsibility in Thai society by conducting various activities regarding the risks of alcohol and creating initiatives based on empirical data and the findings of studies that prove the efficiency of programs to prevent and solve alcohol-related problems and inappropriate drinking habits.
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