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Published on December 10, 2007

The facility started manufacturing last week.

The company's managing director Kyeong Sig Cho said the tiny market meant big market potential. The penetration rate is low compared to Korea, where almost every room has an air-purifier, as well as Japan and the US. In addition, the environment in many parts of Thailand means an air-purifier is needed to freshen the atmosphere.

The company will also use the plant as an export base for its Scana purifiers to other countries in Southeast Asia and countries with a similar environment, such as India. The company expects to export 60 per cent of all products made at the plant and sell the rest in the domestic market. It formerly imported from Korea all products for sale here.

Thailand is the fourth country that the company has chosen for investment due to the investment benefits provided by the Thai government through the Board of Investment. Another advantage is that it would be able to offer lower prices. Kyoeng said the company's policy was to offer quality products with the lowest prices in the air-purifier market. It may start offering cheaper prices again in April next year.

This year the company has three models, and next year it plans to launch two maj

or models. Having the plant, it has also allocated a substantial separate marketing budget for the first time of Bt40 million. Advertisements and

marketing activities are planned for next year. Kyoeng said they would focus on educating consumers on the "benefit" of using air-purifiers.

The firm targets a 50-per-cent market share. Meanwhile, monthly sales will increase from Bt40 million now to Bt100 million by June next year, which will also include export sales. The market has approximately six operators.

The company has achieved a 50-per-cent sales increase. Its distribution channels include 13 selling points in modern trade channels to reach targeted consumers from low-end to medium. Its corporate customers include hospitals, clinics, spas and fitness clubs.

The company also has plants in Korea, China and the US.

It started selling air-purifiers in Thailand two years ago and also manufactures electrical parts for air-conditioners and washing machines. Its overall sales this year are estimated to be Bt2 billion, which will represent 20-per-cent growth in sales. Next year its targeted overall sales are Bt3 billion with 30-per-cent sales growth.

Nitida Asawanipont

The Nation