Top executives of Mitsubishi Electric Kangyong Watana, including managing director Mitsushige Dehari, right, and deputy managing director Praphon Potivorakun, yesterday presented the company’s latest refrigerator model to be launched in Thailand.

The company has targeted Bt10 billion in domestic sales of cooling appliances and pumps within five years after achieving Bt6.7 billion in sales last year, its 35th anniversary.

Anun Bunjerdtum, general manager for marketing and sales, yesterday did not give the exact production capacity of the new plant but said it would manufacture large air-conditioners for the domestic and international markets. Its existing plant makes only small models for household use.

While waiting for the plant, the company is concentrating on achieving market leadership in all five of its markets.

It is near the top in Thailand's 520,000-unit air-conditioner market with a 26-per-cent share and the leader in electric fans. Anun said it was also ranked as the leader or second in other markets.

The company budgets 10 per cent of its annual sales for marketing and advertising each year. This year's budget is Bt700 million - up from Bt650 million last year - with 40 per cent earmarked for its air-conditioning products.

Its electric fan, ventilator fan and water pump sales grew 6 per cent while refrigerator sales shot up 10 per cent last year. This year, it expects refrigerator sales to grow 7 per cent, water pumps 6 per cent, fans 3 per cent and ventilator fans 2 per cent.

Eventually, it expects sales to expand 10 per cent to Bt7.5 billion, with refrigerators and air-conditioners the main contributors.

The company hiked prices late last year 3-5 per cent across the board, due to higher manufacturing and raw-material costs.

The first marketing activity of the year is VIP Sales 2007, which runs to February 11 at Siam Centre.

Nitida Asawanipont

The Nation