SET-listed media firm RS Plc is exploring opportunities abroad through a partnership strategy as it seeks to achieve sales of 10 billion baht by 2022.
Surachai Chetchotisak, the company's chief executive, said RS is preparing to branch out in 2021, focusing on the CLMV (Cambodia, Laos, Myanmar, Vietnam) market and China.
The overseas expansion will mark Phase 3 of RS's transformation plan, which commenced four years ago and aims to keep the company growing sustainably in the long term.
Mr Surachai and the company's management team recently visited the head offices of Alibaba and JD.com, the two biggest e-commerce firms in China, to study their business management, automated warehouses and logistics systems.
"Our business in CLMV will start in 2021 via partnership strategies," Mr Surachai said. "We won't invest 100% by ourselves in the overseas market because of relatively high business risk."
RS is in the second phase (2019-20) of its transformation plan, focusing on expanding the multi-platform commerce (MPC) business horizontally via partnership strategies to increase the customer base.
The company has teamed up with Thairath TV to sell its consumer products via the latter's shopping channel, while augmenting the existing sales platform through owned properties such as Channel 8, Channel 2, Sabaidee TV 141, Ploen TV, Cool Fahrenheit radio station and shop1781.com.
RS is also partnering with original equipment manufacturers and original brand manufacturers to make its own branded products.
The partnerships with manufacturers will strengthen the company's product management efficiency, address product shortages and support future overseas expansion, Mr Surachai said.
The company aims to increase sales by at least 30% a year over the next three years to reach 10 billion baht by 2022, up from this year's 5 billion baht.
Of the total, 80% of sales will come from MPC and the rest from media and radio.
According to Mr Surachai, RS will shift from a listed media company to a listed commerce and retail company starting this Friday.
"Thailand's commerce and retail business is worth 2.5 trillion baht and is expected to grow further, particularly in the second half of this year after having a new government," he said. "Consumer sentiment will significantly improve if the new government comes up with stability."
