MALAYSIA: Direct selling company Amway (Malaysia) Holdings expects to launch 14 new products that will contribute millions of dollars to its total sales in the financial year 2007.
Cautiously optimistic for the financial year, its executive director Paul Yee said that the new products would help the company to achieve a single digit growth in view of easing inflation and stable interest rates as well as improved overall consumer sentiment this year. The company would continue to manage costs and put in place the necessary initiatives to spur its distributors to intensify their retailing and sponsoring efforts.
“Aside from the wider choice of products now available, the group will also embark on aggressive sales and marketing initiatives and exciting product promotions to spur retailing activities and boost productivity among Amway’s 176,800 strong core distributor force,” Mr. Yee said.
Amway said the new product offerings would come from four core product lines, including its Artistry skin care and cosmetics.
Meanwhile, in Thailand, Amway is aiming to double its sales in 2012. Preecha Prakobkit, the company’s managing director, said the target would be in line with its U.S. parent firm’s goal to double its business at the same time.
To achieve its target, Amway plans to adopt three main strategies to generate growth. They include focusing on customers, boosting performance and innovation. Mr. Prakobkit said the company would study consumer needs to develop new products that fit their demands.
Sales in the first quarter remained unchanged from last year due to the poor economy, Mr. Prakobkit said.
In tune with the economy, the company will increase its advertising and promotional spending by 20%. It will push fast-moving items and introduce new products every month to spur consumer demand.
“I believe direct sales has huge potential to go ahead every time we add just one new product to the market and have one more representative,” Mr. Prakobkit said.
He said Thailand’s direct selling business was worth 1% of the country’s retail market.