New Amway boss seeks to return sales growth to double digits
February 03, 2012 00:00 By BAMRUNG AMNATCHAROENRIT THE N 5,150 Viewed
The new managing director of Amway Thailand, the country's leading direct-sales operator, yesterday outlined aggressive plans to boost growth this year into double digits against the total market growth of 7-8 per cent.
However, this growth target is conditional on not facing serious incidents such as big floods and political chaos.
From 2007-2009, its sales saw average annual growth of 15 per cent. Last year, saw an 8-per-cent increase in sales to Bt15.5 billion.
“Personally, I believe that our nation has learned a lot about the previous severe issues. As a result, we have learned how to keep our society ahead,” managing director Kittawat Ritteerawee said.
This year, he has set a marketing budget of Bt800 million. Also, 12 new Amway shops, costing a total of Bt200 million, will be opened. In comparison, previous years have seen just one or two new openings annually. Currently, it has 56 shops nationwide.
He said the business outlook for this year remained optimistic. The big drive will come from the government’s spending on fundamental projects. This will help boost consumer spending, including on Amway products. When the economy is on the rise, people look for quality products.
Kittawat, 48, took the top position early last month after working with Amway for 10 years. He succeeded Preecha Prakobkit, who had built Amway to become the market leader during his 23-year tenure.
Kittawat said his company had a lot of room to grow. Currently, it holds about 1 per cent of the retail sector, leaving a big business opportunity for the company.
During his term, he intends to use new technology to help strengthen the business in line with the fast-changing society. Online media will play an important role in dealing with the company’s sale representatives and also in promoting its products. At present, Amway Thailand has 333,000 active sale representatives.
Also, he will build the Amway Thailand website according to the parent company’s global policy. It will take three years to complete, with Bt200 million to be spent this year. Under the concept, Amway websites will share similar information worldwide, in different languages. It will also be developed to become an e-commerce channel.