Friday, January 12, 2007

CONSUMER GOODS / GROWTH TARGET : Kao to attack market with detergent combo

CONSUMER GOODS / GROWTH TARGET : Kao to attack market with detergent combo.

PITSINEE JITPLEECHEEP

Kao Commercial (Thailand) Co, the producer of Attack detergent, aims to regain the lead in the detergent market that it lost several years ago to its rival Unilever Thai Holding. According to Chutima Panurach, the senior category manager for the marketing department at Kao Commercial, the goal was unlikely to be achieved within next year.

However, the company did expect its share of the detergent market in 2007 to stand at 20%, up from 15.3% last year.

Unilever Thai Holdings' Breeze Excel brand currently enjoys a 21% share of Thailand's detergent market, estimated to be worth about 12 billion baht annually.

Up until a few years ago, Attack detergent was the market leader, with a 20% stake, until Unilever Thai Holding stepped into first place.

The country's detergent market grew only 3% in terms of value in 2006 against 15% the year before as most companies last year were engaged in price wars.

As for this year, sales growth is expected to be better than last year because major players are planning marketing campaigns and new product launches.

Shigeru Ueyama, the company's president and CEO, said Kao would spend about 500 million baht to promote Attack detergent products this year, particularly its latest Attack Soft Plus, which will be available in the Thai market this month.

Attack Soft Plus will be among the company's highlighted products as it looks to help boost overall sales of Kao Commercial to grow by double digits this year.

Attack Soft Plus is a premium two-in-one concentrated detergent and softener.

With the launch of new products including its own, the company expects to see the growth of the concentrated detergent segment reach about 7% this year.

Mr Ueyama said that sales of Kao Commercial last year grew by 12% to 7.3 billion baht, much higher than its earlier projection.

Bangkok Post
Friday January 12, 2007

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