TV Direct, which operates direct sales mainly through television, has decided to apply a conservative marketing strategy this year.

It is cutting all aggressive plans and revising targeted sales from Bt1 billion to Bt800 million to reduce business risk amid political and economic instability, said marketing director Songpol Shanmatkit.

The company has delayed its plan to add 15 new showrooms to its current 30. Instead, it will use the budget to arrange "caravan sales events" using 100 vehicles in 20 provinces, focusing on those that don't have TV Direct showrooms.

It has also changed its advertising strategy. Instead of using free TV stations, it will use satellite stations in specific provincial markets, saving 30 per cent of its earlier budget.

Songpol said the company planned to strengthen ties

with the 600,000 customers

in its database, expecting to receive repeat orders, rather than aggressively seeking new customers.

However, TV Direct will still maintain its allocated Bt20-million marketing budget, the same as last year.

Songpol is confident that the political and economic situation will get better next year because Thailand is expected to have a general election this year and people will have a clear picture of the next government, regardless of who will lead it.

TV Direct expects to join with a partner to re-establish a TV channel to advertise its products next year. The company ran a channel last year but the project failed.

The company also expects to start advertising its products through a radio station. Songpol said it would consider whether to operate part-time or use the entire air-time. Initial investment would be Bt200 million.

TV Direct has 70 products with average prices ranging between Bt4,000 and Bt5,000. Songpol said it would maintain this number while stopping sales of products if it found high-potential items to replace them.

Currently, television is the medium that contributes its highest proportion of sales at 54 per cent. It is followed by retail shops, 22 per cent; direct mail, 16 per cent; and events, 6 per cent. The rest is contributed by other businesses including service marketing.

Nitida Asawanipont

The Nation