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Business >> Saturday June 21, 2008
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Amway forecasting B20bn in five years

PITSINEE JITPLEECHEEP

KOH SAMUI : Amway (Thailand) Co, the country's largest direct sales company, is carrying out new strategies to sustain long-term business growth and achieve its ambitious sales target of 20 billion baht within five years.

Managing director Preecha Prakobkit said that although the economy and political conditions were not quite good, Amway was confident that huge opportunity remained for the direct sales business in Thailand.

''We expect sales to reach 20 billion baht over the next five years with three core marketing strategies: consumer focus, performance-driven and innovation,'' he said.

The first marketing campaign, Amway Member, will begin on July 2 to invite new customers who are interested in becoming Amway members and using its products in the long term.

The company has developed four channels for customers to become Amway members: through Amway Business Owners, a call centre (0-2725-8000), online at www.amwayshopping.com and at 41 Amway shops nationwide.

Significantly, the company is reducing annual membership fees to only 100 baht, from 400 baht in the past. Membership renewal will be reduced to 100 baht per year from 150 baht. Expanded benefits for members will include a point collection system for premium products and prizes, privileges to apply for Amway credit cards, and purchases of Amway products at member prices.

All new Amway members who apply between July 2 and 31 with a minimum first-time purchase of 600 baht will receive a free 65-gramme package of Glister fluoride toothpaste.

Kittawat Ritteerawee, the company's business relations director, said it would spend 150 million baht on the Amway Member campaign. The budget will be used for IT development at Amway shops to provide more efficient service to members and business owners, as well as for promotions and advertising activities.

The company is confident that in July, applications for Amway members will rise by at least 300%. It also expects to achieve a 15% increase in the number of Amway members by the end of this year, up from 5-10% growth in the past.

Currently, there are 440,000 Amway members and 300,000 Amway Business Owners nationwide. Sales of Amway this year are forecast to grow by 10% from last year's total of 10.15 billion baht.


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