SET-listed fashion, textile and beauty companies under Saha Group are beefing up innovation and exploring new ways to approach customers and distribute products to cope with the changing trade environment.
According to Thammarat Chokwatana, president of ICC International Plc, Saha Group's marketing arm for cosmetic and fashion products, the company is revising its business strategy by discontinuing some products with poor performance and concentrating on more promising brands.
"We're looking at the sales record, performance and the future trend of each brand," Mr Thammarat said. "If they don't meet our criteria, we are ready to discontinue selling them to put more focus on the bright-future products. At the same time, we are focusing on efficiency in logistics management to cut operating costs."
Sales at several fashion companies were flat last year, due to poor consumer purchasing power. Consumers are also doing more of their shopping online, causing ICC sales to dip 2-3% in the first half of 2018.
In a bid to tackle the bearish sales view, ICC plans to open more "beauty fashion" stores this year to make beauty and cosmetic products accessible to a wider range of customers.
In addition, the company is using big data as an important part of the working process. ICC is training employees in big data analysis to help the company develop appropriate products to meet the requirements of each sales channel.
ICC sells products not only through department stores, but also at its own stores, online and through other channels such as the Lazada website.
Online shopping contributes just 2-3% of ICC's sales, but it represents the fastest-growing channel.
The company aims to increase online sales to about 10% of total sales over the next five years.
According to Pravara Ekaraphanich, managing director of Boutique Newcity Plc, the marketer of fashion brands such as Guy Laroche and C&D, the company is changing its approach to potential customers.
The company is scheduled to open the first A'Maze multi-brand store on the ground floor of Zpell at Future Park Rangsit in August. The second shop will open in Siam Square this September.
Meanwhile, Arnut Rattanapathimakorn, deputy managing director of Textile Prestige Plc, a maker and distributor of nonwoven fabric for automobiles and materials for apparel and decorative products, said the company has invested 100 million baht to expand facilities to produce raw materials for bedding products and extend the portfolio to serve the hospital segment.
More products for ageing people are also in the pipeline to respond to Thailand's ageing society, Mr Arnut said.
