ICC sales worst in a decade

Actual growth estimated for the year is much lower than the 10 per cent targeted earlier by the company. A huge decline in sales has been seen since the last two months of this year, with its upsurge in political unrest.

Thamarat Chokwatana, vice president and member of the executive board, ICC International, a subsidiary of Saha Group, said the company expected its sales to reach about Bt12 billion this year, only slight growth from the more than Bt11 billion posted last year.

The sales decline has hit many major apparel brands such as Arrow, Wacoal, Lacoste, and BSC, following a big drop in tourists due to local unrest and political instability. However, the sales performance will not be worse than posted in 1997 when the company suffered a significant drop.

"Having the most impact on our business is the lack of confidence among Thai consumers towards the local economic situation and their future," said Thamarat.

Thamarat said the company has been advised by Boonsithi Chokwatana, Saha Group's chairman to make ICC International more flexible with a fast response to any change.

"I believe that the mass marketing approach will be reduced, to be succeeded by direct marketing activities to specific groups of shoppers," said Thamarat.

ICC International yesterday launched a co-promotional campaign, entitled 'His & Her Big Reward: Only @ Robinson' with Robinson Department Store. The loyalty campaign, which will be held between December 1 this year to January 10 of next year, will allow one million holders of His & Her cards to redeem their points for special discounts of between 10  and 30 per cent when shopping ICC's brands, at all branches of Robinson Department Store.

Robinson Department Store yesterday also announced sales growth of 12.8 per cent year on year to Bt9.04 billion in the first nine months of this year. The also company achieved 29.7 per cent growth to Bt771 million in net profit.

The company announced sales in the third quarter this year increasing by 11.72 per cent year on year to Bt2.9 billion. The growth has been recorded mainly by its stores both in Bangkok and upcountry.

"We (Robinson) achieved a big growth in the first nine months of this year, which is higher than 8 per cent growth earlier targeted for the whole year period. The growth results from our aggressive strategy both in the improvement of our stores and its merchandise to be more modern and fashion-oriented," said President Preecha Ekkunagul.

Robinson Department Store will invest Bt1.4 billion next year on opening new stores and renovating some existing ones.