DHC remodels to skin the market

DHC (Thailand) Ltd, the importer and distributor of DHC cosmetics and skincare products from Japan through a home delivery system, targets doubling its business in the next three years.
The company has reshuffled its distribution model to enter local retail outlets, particularly supermarkets. DHC (Thailand), which launched operations in 2004, yesterday announced a target to achieve sales of Bt450 million this year, up 25 per cent from last year's Bt360 million. It also expects to increase its membership using the DHC home delivery service, from 80,000 to more than 120,000 by the end of next year. "We have seen great potential for our 'beauty delivery' business in Thailand. And we have set a target of more than Bt1 billion in sales in the next three years, with more than 300,000 members," said Wisarn Meksamanasak, vice president and head of operations. DHC (Thailand) also announced the reshuffle of its distribution system to expand its outlets into supermarket shelves, starting with DHC For-Men products. "We have seen a business opportunity to expand our for-men cosmetics and skincare products through supermarkets. This is to overcome the limitation that male customers don't want to order cosmetics for home delivery, but prefer to shop for them in supermarkets," said Wisarn, adding that DHC entered the for-men segment in the third quarter last year. He said For-Men merchandise accounted for only 5 per cent of total DHC products, but was expected to enjoy dramatic growth of more than 200 per cent this year. "We are looking at importing DHC products of a more compact size for supermarket outlets," said Wisarn. He said the first flagship DHC store would be opened next year at Siam Paragon or Central World Plaza, with an investment of more than Bt50 million. The 200-square-metre store will display the complete line-up of DHC cosmetics and skincare products, as well as recruit new home-delivery members and provide extra services to its clients, such as facial and body massage and spa treatment. DHC imports some 500 products for the Thai market.
Kwanchai Rungfapaisarn The Nation
|