Monday, September 28, 2009

MARKETING TRANSFORMED BY SOCIAL NETWORKING

       Social-network marketing, using both Facebook and Twitter, has become the talk of the town among marketers in all industries.
       The rapid rise in the number of users at both sites in Thailand has demanded the attention of Thai marketers, many of whom are currently calculating what share of their annual budget they should divert to the new online medium.
       An adviser to the Sasin Graduate Institute of Business Administration, Ian Fenwick, has given some pointers to online-marketing success.
       He said marketing was moving towards a new digital era, for which new marketing models would be designed and developed to deliver messages digitally through a variety of end-devices and platforms including Internet web 2.0, mobile phones, Internet television, personal Internet devices, social-networking platforms, and electronic devices yet to be developed.
       Referring to the "Four Ps" of traditional marketing strategy - product, price, place and promotion, he said digital marketing came with its own Four Ps: permission, participation, profile and personalisation.
       "Marketers need to understand the fundamental elements of the new era of marketing first. Then they have to understand how to use their marketing budget to gain the most benefit," Fenwick said.
       This year, Internet penetration around the world amounts to 1.6 billion users. Of these, 42 per cent are in Asia. These people are also spending more of their time on the Internet, from only 15 per cent of their daily life in 2003 to 30 per cent in 2008. Their main activities on the Internet are participating in social networks and reading blogs.
       The best-known social-network site is Facebook. It now has 330 million users - up from 250 million in July. The trends are similar in Thailand, where there are 16 million Internet users and more than 1 million of them are Facebook users.
       Twitter, the most popular microblog site, had more than 7 million users in February, up from fewer than 5 million one year earlier.
       Marketing expert Thunyawat Chaitrakulchai, who is managing editor of MKT magazine, said social-network marketing, especially that using Facebook and Twitter, was the next big thing. Marketers should not ignore it, but should pay more attention to learning about it and understanding it in order to use it as a marketing weapon to reach the right target customers at a lower cost in terms of time and money.
       He said it was better to use both Facebook and Twitter in parallel, with "balanced portions" devoted to each. The size of the portions directed at each channel depended on the requirements of different businesses.
       "There is no one success model for all. This is a time for marketers to pay attention. They have to realise that they cannot ignore this. Both large corporations and small- and medium-sized enterprises should jump in," Thunyawat said.
       A similar message came from Worawisut Pinyoyang, marketing expert and owner of Newmedia.com and MKTtwit.com. He said Facebook and Twitter had a big impact on product and brand awareness.
       The beauty of social networking for marketing is that it provides a huge number of target customers with the correct demographic profile, he said. Personalisation enables marketers to get very quick feedback and their marketing message can reach a mass market in a short time by "going viral".

BETTER WAY HIKES 2009 SALES TARGET TO BT8.6BN

       Better Way (Thailand), a leading direct-sales operator and owner of the Mistine brand, has revised its sales target for this year to Bt8.6 billion, up significantly form Bt8.1 billion set at the beginning of the year.
       Managing director Danai Deerojanawong said the new sales target had followed dramatic year-on-year growth in the third quarter, with figures 15-percent higher than those in last year's third quarter. Company sales grew 13 per cent last year from 2007.
       He said the company had also been encouraged to set the new target by growth in its exports, which would double this year to a value of about Bt300 million.
       "We've been able to open new markets for Mistine products, particularly in the Middle East and Africa, including Iran, Ghana and the Democratic Republic of the Congo. We plan to enter Mauritius by the end of this year and will turn to Ivory Coast and the UAE next year," Danai said.
       The company expects its export sales to grow at least 25 per cent next year.
       "We've achieved sales of Bt6 billion in the first nine months of this year, including exports. We expect sales for the whole year to show growth of 11-12 per cent," he said.
       Danai said the company had increased its number of sales representatives from 700,000 last year to 860,000 now.
       "We've also found the value of purchases per bill from our sales representatives has increased significantly in the third quarter, by more than 5 per cent."
       Danai said Better Way (Thailand) had set a conservative sales target for next year, with year-on-year growth of 10 per cent expected. Sales performance should be similar to this year, depending on "crucial factors", such as local political stability and oil prices.
       "We invested more than Bt100 million last year to upgrade our information-technology(IT) system, so that now we're able to analyse our costs more effectively.
       "The new system supports our Marketing, Sales and Logistics departments, helping them work more efficiently," Danai said.
       With its new IT investment, Better Way expects to shape itself to meet a new trend of "products and marketing on demand," The company will segment its customers geographically and according to their preferred types of merchandise.
       "We plan to open two new distribution centres next year in Chon Buri, which will be responsible for the Eastern Seaboard provinces and one province in the middle of the southern region," Danai said.
       Better Way will launch a new television commercial this week called "Beauty Mind", for its Mistine No 1 Diamond lipstick. Starring movie queen Petchara Chaowarat, the 45-second commercial will be screened for the first time tomorrow, on all channels.
       Part of the sales revenue will be donated to the Foundation for the Blind on Thailand.

       With its new IT investment, Better Way expects to shape itself to meet a new trend of "products and marketing on demand".

BIDDING TO START FOR NEW PHUKET CONVENTION CENTRE

       Bidding will be held by December this year for the construction of an international convention centre in the southern island resort of Phuket.
       Deputy Finance Minister Pruttichai Damrongrat said the project would cost Bt3.74 billion, using budgets from fiscal 2010-12 under the Thai Khemkhaeng stimulas programme.
       Construction of the facilities for meetings, incentives, conferences and exhibitions are expected to provede new economic opportunities in the southern island province.
       The project will be located on a 150-rai plot owned by the Treasury Department, close to Phuket Airport.
       Construction will take about two years. Pruttichai said the project needed an environmental-impact assessment before work could begin.
       Sources said the site might face a shortage of fresh water during the dry season. In addition, the location is not close to most hotels, and it takes about an hour to drive to popular Patong Beach.
       Overall, the Phuket convention centre will be designed to serve 2 million visitors a year.
       Besides the four exhibition buildings, there well be a four-star hotel with 350 rooms.
       Its carpark will accommodate 1,000 cars and buses.
       Pruttichai said Phuket had already been allocated a Bt779-million budget for fiscal 2010 under the Bt1.43-trillion economic stimulus package, which runs through fiscal 2012.

A model kit mecca

       "From the Beginning Beyond the Future" is the theme of "Gundam Expo Thailand 2009", which will be held from October 21-25 in the Fashion Hall of Siam Paragon to celebrate the 30th anniversary of the animated series this year.One of the event's highlights will be the six-metre fibreglass representation of the upper body of Gundam RX-78-2.The expo will be divided into many different zones, featuring the history of the Gundam franchise in Thailand as well as in Japan dating back to its beginning in 1979; a visual zone featuring images from the Gundam animated series; a music zone featuring the signature and signing-off Gundam songs over the past 30 years;a lifestyle zone highlighting a wide range of Gundam products under the concept of a dream "Gundam bedroom"; and a not-to-be-missed shopping zone where Gundam model kits, DVDs and limited-edition goods will be available.At the event Kunio Okawara, Gundam's mechanical designer and one of the three creators of Gundam, will be giving a talk on his work, and Mark Bakuc, an expert in model assembly and modification, will be conducting a tutorial workshop. Other activities include a Gundam cosplay (a term of Japanese origin and short for "costume role play") competition and a Gundam karaoke singing contest.
       Call 02-310-1904/5, or 02-310-1005/6, or visit www.dexclub.com. Admission is free.

Giants in animation

       There is more to Gundam than just Japanese robots. To its fans around the globe, Gundam is a passion for life. "Gundam, to me, is like a drug," said Rittikrai Kraikrengsri, 30, a model maker at an animated series production company. "Assembling Gundam figurines has become an activity that I am addicted to whenever I have time."
       FULL HOUSE: Tokyo’s Shiokaze Park is packed with Gundam diehard fans towered over by the 18-metre-tall statue of Gundam RX-78-2 specially created to celebrate its 30th anniversary.
       "I like Gundam's characters. They're real," said Marisa Zennun, 28, an animator. "I have been following the Gundam TV series and reading Gundam comics since I was a child."
       RARE FINDS: Gundam followers buy heaps of Gundam model kits, right, in a shop in Japan despite their exorbitant prices.
       Like Marisa and the majority of Gundam disciples, Rittikrai's zest for the robots started off as a childhood fascination. It was the time, he recalled, when animated series featuring super robots proliferated. In contrast with the concept of super robots featured in stories of transformable, damage-resistant giant robots with an arsenal of superpowers yet unrealistic weapons, Gundam seemed to offer the only "real" robots - common robot machines used by the military forces such as tanks or aircraft - in that era. And that was the main reason why young Rittikrai suddenly fell in love with all of them.
       Gundam maintains a very strong fan base not only in Thailand and Japan, but also in many other countries. Diehard Gundam fans are usually referred to as "Gundam Otaku", a term borrowed from Japanese to describe people who have an obsessive interest in Gundam.
       To celebrate its 30th anniversary this year, Bandai Japan recently held "Gundam Big Expo", an exhibition featuring the long history of Gundam figurines, the Gundam animated series, Gundam video games and every spin-off from the Japanese heroes. In the late morning, hundreds of people lined up patiently to enter the exhibition venue.
       Gundam Big Expo was held in Odaiba, Tokyo, and its star attraction was an 18-metre statue of Gundam RX-78-2, standing firmly and elegantly in Shiokaze Park. It was considered the highlight of the anniversary event.
       IN PRINT: Apart from the animated TV series, Gundam is also available in other media genres, below right, one of which is comics.
       Gundam first came into existence in 1979 as an animated science fiction television series called Mobile Suit Gundam. The story of Gundam is simply about the giant piloted robots or the mobile suits and their pilots fighting in a war some time in the future where total destruction and dehumanisation are inherent.
       The television series found its way to Thailand in 1981. It was first aired on Channel 7 under the name Apiniharn Gundam, which literally means "Gundam, the Super Power".
       The storyline in the original Gundam series later gave birth to a number of sequels, prequels and side stories. The popularity of Mobile Suit Gundam finally expanded to other media genres, including mangas, video games and, of course, figurines.
       According to the Hong Kong-based assistant manager of Bandai Asia, Tsutomu Suzuki, there are several reasons why Gundam has such a strong following, even though it has been 30 years since it was first released.
       "The designs are so cool. The narrative is not complicated, so it is not difficult for people to understand it. More importantly, the stories are closely related to our everyday lives," said Mr Suzuki, who is also Bandai's chief Gundam overseas officer.
       And for those who think that Gundam robots are only playthings created particularly for children, they are absolutely wrong. In Japan, Mr Suzuki said, half of all Gundam diehard fans are, in fact, more than 30 years old, while 30% of all fans are teenagers. Family and children fill up the rest of the pie chart. In Thailand, children account for only 10% of all Gundam devotees, while 50% of all fans are adults and 40% are teenagers.
       Bandai's factory in Shizuoka, a few hours by bus from Tokyo, produces about 15 million Gundam model kits annually. The plant boasts that its model-production technique is one of the most advanced dye-injection technologies in the world, and that it is the only place where 17 patented four-colour injection-moulding machines are located. In 2006, the Bandai Hobby Centre was founded within the factory's compound to function as a mini museum showcasing the proud history of the company's product creation and development.
       The Bandai Hobby Centre and the factory have implemented a number of important environmentally-friendly measures. For example, the solar panels on the building's exterior generate the energy used within the centre as well as the factory. In addition, a system is used to recycle rain and groundwater.
       The model kits manufactured at this factory are sold both in the Land of the Rising Sun as well as in 10 other countries, most of which are in Asia. The annual global sales revenue from Gundam figurines is about 200,000 million (72 billion baht). Despite such a commendable sales achievement, the chief Gundam overseas officers disclosed that the company's plan is to increase its sales performance by 10% every year.
       "Our company's sales strategies are consistently implemented, especially in the area of product development. We conduct a lot of research to see which mobile suit is suitable for people in which period of time.
       "In line with product development is the development of production technology to support our future growth," explained Mr Suzuki.
       Rittikrai now has more than 50 Gundam figurines in his plastic model collection. Even though the prices of Gundam model kits remains high - starting from a few hundred baht for beginner model sets to more than 20,000 baht for perfect-grade figurine assemblies - as a Gundam otaku, his love for the robots will never die, he said.
       "I think one of the major difficulties facing Gundam aficionados is that the model kits are so expensive and are, in many cases, unaffordable, especially as far as children are concerned.
       "And this is the reason why non-fans think that we are crazy when we spend such huge sums of money on Gundam models. I think our case is similar to that of Blythe lovers.
       "Blythe dolls are extremely expensive, but people still buy them simply because they like them. And it is the same with Gundam.
       "Others might think that we are crazy, but to me, passion and craziness are two different things," he said.
       ------------A MODEL KIT MECCA
       'From the Beginning Beyond the Future' is the theme of 'Gundam Expo Thailand 2009', which will be held from October 21-25 in the Fashion Hall of Siam Paragon to celebrate the 30th anniversary of the animated series this year.
       One of the event's highlights will be the six-metre fibreglass representation of the upper body of Gundam RX-78-2.
       The expo will be divided into many different zones, featuring the history of the Gundam franchise in Thailand as well as in Japan dating back to its beginning in 1979; a visual zone featuring images from the Gundam animated series; a music zone featuring the signature and signing-off Gundam songs over the past 30 years; a lifestyle zone highlighting a wide range of Gundam products under the concept of a dream ''Gundam bedroom''; and a not-to-be-missed shopping zone where Gundam model kits, DVDs and limited-edition goods will be available.
       At the event Kunio Okawara, Gundam's mechanical designer and one of the three creators of Gundam, will be giving a talk on his work, and Mark Bakuc, an expert in model assembly and modification, will be conducting a tutorial workshop. Other activities include a Gundam cosplay (a term of Japanese origin and short for ''costume role play'') competition and a Gundam karaoke singing contest.
       Call 02-310-1904/5, or 02-310-1005/6, or visit www.dexclub.com. Admission is free.

Thursday, September 24, 2009

THROUGH THE LOOKING GLASS

       Images and art are typically opaque with pigment, dense depictions of objects or impressions of the un-representable, paradoxically becoming more mesmerising when the medium used is as translucent and profane as glass, a material possessing ghostly qualities beyond its commonplace applications.
       While exhibitions of glass art are not unusual in many countries, they are unheard of in Thailand, so the first two glass exhibitions by Thai artists are almost historic events or at least milestones in the making of Thai art history.
       The second of the two shows is now open at PSG Art Gallery, Silpakorn University. Titled "Our Best Recent Work and Glass Art Project: the 26th Art Exhibition by Members of the Faculty of Painting, Sculpture and Graphic Arts",it contains many of the works created during a recent project by the faculty to establish the skills, techniques and technologies required for glass art production in Thailand.
       Held from March to May at Silpakorn's Sanam Chand campus in Nakhon Pathom, the workshop focused on training teachers from around the country in both warm glass and cold forming techniques. The initial showing of the workshop's output was simply titled "Glass Exhibition" and was held from August 17 to September 4 at Sanam Chand campus.
       A course designed to "train the trainer", it produced extremely innovative work, perhaps because none of the some 60 art teachers were familiar with the millennium-old traditions or schools in the glass art movement established elsewhere. Nevertheless, the work was of international quality.
       If the response of the students, who flooded to attend the Sanam Chand opening, is anything to judge by, the future of glass art in Thailand is transparently bright. Substantial financial backing by sponsors including Loctite,Glass Dec and Ferro also indicates the medium has great potential to develop and benefit a new generation of artists.
       The current show at Na Phralan cam-pus allows some of Thailand's most accomplished practitioners to express themselves using a material none had previously tried until participating in the workshop. Artists of the calibre of National Artist Nonthivathn Chandhanaphalin and Panya Vijinthanasarn have put down their spatulas and paintbrushes and have begun fusing, foiling and staining glass, exploring the almost unlimited possibilities glass possesses.
       While not all the work in the exhibition is glass, the installation in the centre of the gallery is made up of a series of 30cm x 30cm glass panels contributed by each of the artists. Framed by a circle of stainless steel, the installation, which has been purchased by Kasikornbank PLC, demonstrates the versatility and natural beauty of the material.
       Another example of the glasswork on show is Krisana Honguten's Golden Lotus on Starry Night which fuses materials with different properties including glass,wood, gold leaf and carborundum to portray the sky at night. Krisana's piece,painterly in its execution, warmly expresses the artist's vision with textural vitality.
       In A Little Bit of Passion Can Refine Our Mind , Panya Vijinthanasarn recreates his signature representation of the Buddha gazing down from the top right corner of the work which he has famously replicated many times in gold leaf and paint, only here he has sandblasted his impression across six framed
       panels of clear glass.
       On the other hand,Surapon Saenkham has been inspired by the architecture of Italy, famous for its long history of glass art as evinced by the innumerable stained glass windows to be found in the country's cathedrals and churches. His Fi-renze Italy successfully captures the glory and splendour of those medieval and Renaissance monuments.
       Glass maintains a fascination with the human mind because it accompanied humanity as numinous ornaments throughout the Palaeolithic period and thus has a symbolic power. Glass is simply sand transformed through fire into a substance so sublime as to become a metaphor or mirror for our own evolution from the archaic to the civilised, or unconscious into conscious.
       The alchemical character of glass art will continue to captivate Thailand, and the glass seed now planted here in the hearts of so many art educators will crystallise at Silpakorn University and grow at art schools across the country,burgeoning in the years to come as a new branch of contemporary Thai art.
       "Our Best Recent Work and Glass Art Project:26th Art Exhibition by Members of the Faculty of Painting, Sculpture and Graphic Arts" is on show until October 9 at PSG Art Gallery,Silpakorn University, Na Phra Lan campus.Open Monday to Saturday,10am to 6pm.Call 02-221-0820.

PACIFIC MOTOR SHOW READY TO ROLL

       The Pacific Motor Show will be staged in Chon Buri's Sri Racha district again next month, with the 12th annual event expected to attract 400,000 visitors to look over the products and displays of 15 auto manufacturers.
       Organisers expect the show, to be held at Pacific Park Sri Racha from October 3-11, to lead to purchases worth Bt450 million.
       Thirteen exhibitors will be carmakers and two motorcycle manufacturers. They are BMW, Volvo, Toyota, Honda, Mazda, Nissan, Isuzu, Chevrolet, Mitsubishi, Ford, Suzuki, Tata, Chery. AP Honda and Yamaha.
       At last year's show, 433 cars and 155 motorcycles were sold.
       "The show will be held under the concept 'Energy and Automobiles', aiming to exhibit various alternative vehicles, such as hybrid cars and E85-capable vehicles," said Pacific Park Group managing director Somboon Vorapanyasakul.
       "During the first half of 2009, the economic slowdown and political turmoil affected consumer confidence. However, thanks to the government's stimulus measures and positive signs in the global and local economies, consumers are now regaining confidence. Moreover, the automobile industry is also picking up, as seen from the upward employment trend. Many of the employees who were laid off have returned to their jobs back."
       The Pacific Motor Show has been hailed as one of the most successful shows along the Eastern Seaboard, because of its location.
       Somboon expects auto companies to have strong marketing campaigns at the show, to help boost sales.
       "New products from auto companies will also be a main driving force. We'll be accepting orders for the Mazda2 subcompact car even though it has not yet been officially launched in Thailand," Somboon said.
       "Other highlights will include the BMW 520d, the Volvo V50, the Toyota Camry Hybrid, Toyota Vigo 2.5VN Turbo and the new Mitsubishi Lander EX."

Yahoo! to spend $100m in bid for more brand buzz

       Yahoo! believes a lot of its good work has been overlooked by investors and the media so it's spending more than US$100 million (Bt3.3 billion) to get the word out to consumers directly.
       The money is going toward the Internet company's most expensive marketing campaign since Standford University graduate students Jerry Yang and David Filo started Yahoo's website 15 years ago. Yahoo! provided a peek at the 15-month blitz on Tuesday in New York.
       The ads will run on television, online and other media in the United States and nine other countries where Yahoo! hopes to expand on a worldwide audience that is alrady approaching 600 million.
       Despite its extensive reach, Yahoo's brand has been bruised in recent years as its profits sagged and many people turned to Internet search leader Goodgle and relative newcomers like Facebook and Twtiter - none of which have spent much money on self-promotion.
       Yahoo's financial struggles were magnified last year when Yang and the rest of the Sunnyvale-based company's board spurned a $47.5-billion takeover offer from Microsoft.
       The rebuff alienated many Yahoo! shareholders, and the missed Microsoft opportunity has remained a recurring theme in the business press because the company's market value now is about 50 per cent below Microsoft's last takeover offer in May 2008, before the rivals ultimately agreed on a search partnership nearly two months ago.
       Yahoo! chief executive Carol Bartz, hired eight months ago to steer a turnaround, believes the company has been getting a bum rap - something she hopes to reverse with the new advertising push.
       "When you get outside of New York City and Silicon Valley, everybody loves Yahoo!," Bartz said on Tuesday during a press conference that was webcast. "Why are you [the media] so cynical about us? Be cynical about frigging Google. If you don't love us, leave us alone."
       Wall Street's affinity for Google is driven by money.
       Google's revenue has been rising in recent years, even during the US recession, largely because it dominates the Internet search market and can thus sell more text-based ads that appear on the side of search results. Yahoo's share of the search market has shrunk in the past few years and, more recently, the recession has made it more difficult to sell the visual ads that have long been its specialty.

Slump alters consumer behaviour

       The recession has transformed consumers' behaviour, says a study by the advertising agency BBDO Bangkok.
       But although economic problems have weakened people's purchasing power,some product categories still have growth potential, said CEO Songkran Sethesompobe.BBDO Bangkok's survey of 15,000 respondents in 15 countries worldwide - including 1,300 Thais - in the first half of 2009 found that most respondents have become more economical and spend more time choosing products.
       Most have cut their out-of-home entertainment and fashion spending, preferring to stay home and spend more time with family.
       "As a result, the market for indoor entertainment products like DVDs and DVD players, online games, internet packages and mobile phone packages is likely to grow," said Mr Songkran.
       About 51% of respondents also buy more house-brand products.
       The survey found consumers could be divided into four groups: strugglers,who lack financial stability and look for cheap goods; middle-class consumers,who are optimistic; secessionists, who are unaffected by the crisis; and spectators, who are young and free from worries but lack financial planning.
       Thai respondents were most upset by the global recession, followed by those in the US, Singapore, Taiwan and France.About 49% were more concerned by the current downturn than the 1997 crisis because they felt a direct impact on tourism and exports, but 51% disagreed.
       About 54% said they were unable to save because of high costs of living. They also used credit cards less.
       "Local economic and political uncertainties have also forced middle- to low-income groups to hold down more than one job or to work harder to ensure their survival amid the economic hardship," said Mr Songkran.
       But rising product prices had increased consumers' interest in environmental issues. Higher living costs had also had a positive impact on family relationships.
       Although consumers are uncertain about the economy, they take time to visit temples and give more to charity.

Tuesday, September 22, 2009

AD AGENCIES "NEED TO ADOPT HOLISTIC APPROACH"

       Local advertising agencies need to adopt a holistic approach to cope with the challenges in this new era of integrated marketing communications, experts said last week.
       "It's downhill for mainstream media advertising as vendors have shifted part of their budget to other communications activities, such as public relations, event marketing, seminars and the use of IT, such as Twitter, blogging, message boards and Web communities," said Seri Wongmontha, a marketing communications professional.
       Nowadays, the image of advertising is that of manipulative, intrusive and misleading, he told a seminar on "Advertising and Social Responsibility in the Business Sector" held by the Thai Soap, Detergent and Personal Care Manufacturers' Association.
       Advertising is also low in taste, vulgar and a victim of zapping. Many works are unethical and interested only in getting sales. They have no responsibility to society, he said.
       "The popularity of mainstream media advertising among business vendors will decline gradually and be shared by other channels of marketing communications," he said.
       Public relations firms for instance would play a larger role in brand and marketing communications, as they can provide messages at less cost, but with greater complexity and credibility.
       "Business vendors need to find PR agencies that are creative, and doing communications things beyond just giving press releases or hosting press conferences," he said.
       To deal with the new challenges, ad agencies need to adjust to provide, not only advertising work, but fully integrated marketing communications to their clients, he added.
       Niwat Wongprompreeda, secretary-general of the Advertising Association of Thailand, said most local ad agencies had adjusted their business portfolio by moving up to brand agencies.
       No ad agency provides a purely advertising service in the marketplace anymore, he said.
       "The way of marketing communications has been changed substantially. Ad agencies now have become companies that can provide full marketing communications services. All communication tools have been used by them to build brands," he said.
       Niwat, who is the managing director of The Searcher, a local marketing research house, said that all ad agencies would no longer do advertising spots and spend money. They have created holistic approaches to make those products successful in the market.
       "I myself however believe that mainstream media advertising will not totally disappear and business vendors still allocate a certain level of budget to mainstream advertising," he said.
       To promote ethics among business organisations, including in advertising, all vendors should group together to monitor all of the ethical issues and such self-regulating activities, he added.

CHINESE PRODUCTS "UP TO STANDARDS"

       China's manufacturers of medical products claim to have upgraded their goods in order to overcome a negative image of offering low-quality products, and to enable them to compete with rival manufacturers around the world.
       Many of them joined last week's Fourth Medical Fair Thailand 2009. Among about 250 exhibitors at the fair, about 55 were from China, the highest number from any participating country.
       Danny Gao, sales manager of Shenzhen Creative Industry, which makes a wide range of patient-monitoring equipment and home-care products, said that some medical products manufactured by Chinese firms in the past might have had lower quality than those of their foreign rivals.
       However, they have now improved their product quality in a bid to export to the world's markets.
       His company, for example, has developed its medical equipment over the past nine years and its products are now distributed both within China and overseas, to markets such as the United States, European countries, South Africa and South America.
       Over recent years his company has been earning 70 per cent of its income from within China and the rest from exports. However, this year, revenue from the domestic market has fallen to 60 per cent of the total and 40 per cent has come from exports.
       "We would like to expand our world markets, which are much bigger than our domestic market. Exporting to world markets such the US and Europe would guarantee that Chinese medical products, like those of our company, have high quality," he said.
       Shenzhen Creative Industry's products have been approved by the US Food and Drug Administration, Gao said.
       Hollye Chen, marketing director of Reach Surgical, a manufacturer of medical staplers, said she believed that medical products made by Chinese manufacturers were these days of the same quality as those produced in other countries. However, Chinese firms could manufacture at lower prices because some of their costs, such as overhead expenses, were much lower than those of overseas companies.
       "Medical technology is something that every country can learn. I can say that Chinese people have the same talent as the Americans, for example. But our production costs are much lower, depending on the competitive situation and regions. So, I can't say for how much less Chinese companies can produce medical equipment," Chen said.
       Reach Surgical has been operating for four years. Its exhibit at the Medical Fair Thailand was its first foray into international markets.
       "I've heard that the healthcare business in Thailand is growing and the government supports the industry to become a medical hub for the region. So, there is a big opportunity for us to expand our business to this kingdom," she said.
       The company is also looking for other export destinations in Asia, as well as in the US, Europe and South America.
       Kris Su, international sales manager for Guoteng Science and Technology Development, one of China's leading manufacturers of patient monitors, said the medical products of some Chinese companies had low quality because fierce competition forced them to cut costs in order to set the lowest prices.
       However, some manufacturers maintain a focus on manufacturing high quality products in a bid to compete with overseas firms. So, customers - both end users and hospitals - have to study the products on the market very carefully before deciding to purchase or place orders.
       China has many manufacturers of patient monitors. However, his company exports its products to 60 countries and 75 per cent of its revenue last year came from export sales, he said.

CINEMA OPERATORS HAVE MIXED EXPECTATIONS

       The film-exhibition industry as a whole is expected to see solid growth this year, but individual firms are predicting mixed results, executives said.
       Cinema multiplex operator Major Cineplex Group expects consolidated income from ticket sales and cinema advertising will be flat this year, said Anavach Ongvasith, chief cinema and bowling officer.
       "We expect to sell about 30 million movie tickets this year, which is similar to last year. The local political unrest, economic difficulties and the outbreak of H1N1 influenza have affected our performance this year," he said.
       Anavach said that digital cinema was the future of the industry, as operators look to reduce costs.
       Digital cinema has some big economic advantages over film, Anavach said, explaining that the final movie can be distributed electronically and projected using a digital projector, instead of a conventional film projector. Digital cinema also has lower shooting and editing costs.
       "We [Major Cineplex] operate 372 cinema screens in 46 different locations throughout the country. We have about 18 digital screens and our plan is to increase the number of digital cinemas significantly," Anavach said.
       James R Dhiraputra, managing director of film distributor Columbia Tristar Buena Vista Films (Thailand), said the local film industry is expected to grow by 5 per cent this year from 2008 to see more than Bt3.4 billion in sales.
       "It is the first time in the past four to five years that the local industry has experienced [this] level of growth," said Dhiraputra.
       He said the growth had been encouraged by a strong line-up of both imported blockbusters and Thai films.
       "We have seen growth in Thai films, which have increased their share of the local film market from between 10 per cent and 20 per cent six to seven years ago to about 45 per cent today," said Dhiraputra.
       He added that between 40 and 50 Thai films were released to local theatres annually, and were earning higher ticket sales on average than were imported films. There are between 140 and 150 imported films screened in Thailand every year.
       Suvit Thongrompo, managing director of SF Cinema City, was upbeat on the industry's performance.
       "We are quite optimistic that the cinema business will record strong growth this year, thanks mainly to the blockbusters that hit local screens from the second quarter," he said.
       SF Cinema City expected to achieve its sales-growth target of between 15 and 20 percent this year, he said.
       "We do not expect issues such as the political turmoil or the influenza outbreak to have any significant impact on our performance," Suvit said.

Wednesday, September 16, 2009

OTOP PRODUCERS, SMES PENETRATE LAOS

       The Industrial Promotion Department and the Otop Thailand Association will lead 100 One Tambon One Product and SME operators to Laos in a bid to promote their products.
       The move is aimed at offsetting shrinking domestic sales.
       Association chairman Sakda Siridechakul yesterday said the operators would promote their products at a Thai-Lao handicraft festival that will run between next Tuesday and September 27.
       "This event will serve as a channel for Thai SMEs and Otop producters to sell their wares internationally. We expect no less than US$600,000 [Bt20.25 million] worth of orders from the event," he said.
       He listed dried seafood, herbal and spa products, souvenirs and garments as potential products for the Lao market.
       "We want to penetrate Laos because its gross domestic product is expected to grow 3.4 per cent this year, thanks to the country's resilience in the face of the global economic crisis.
       Laos will also host the 25th Southeast Asian Games this year, whcih should attract more visitors and give its tourism industry a boost," Sakda said.
       He said Vietnam and Malaysia were already beginning to enter the Lao market, and so Thai operators must act quickly.

GLOBAL TOURISM OPERATORS TO FLOCK TO CHINA FAIR

       Tourism operators from around the world are set to join the annual PATA Travel Mart in Hangzhou from September 22-25, with Thailand intending to win back Chinese visitors.
       Altogether 591 sellers from 38 countries and 305 buyers from 51 countries including Thailand have confirmed their attendance at the tourism mart to be organised by the Pacific Asia Travel Association (PATA).
       Chairwoman Phornsiri Manoharn yesterday said China was ranked as the fifth-strongest source market globally by the World Tourism Organisation, as measured by tourism-related expenditures. That means there is no doubt operators will be in the right country at the right time this year.
       More than 4.2 million Chinese travelled to Southeast Asian countries last year. Singapore gained the most, with nearly 1 million visitors. However, the figure was down due to the global economic crisis and type-A (H1N1) influenza.
       CEO Greg Duffell said Chinese arrivals to the Kingdom during the first half dropped 38 per cent year on year, due to political issues.
       However, tourism here and in other countries would recover soon and operators hoped to reclaim customers from China and also other markets, he said.
       Some of the new participants this year include tourism ministers from Tonga and Vanuatu.
       Suparerk Thongsuk, deputy managing director of Fair House Villa and Spa Samui, said it would be first time for the hotel to join the event and that he expected to draw interest from China and other short-haul markets.
       Luzi Matzig, CEO of Bangkok-based Asia Trails, said it was an opportunity to discover a new and most interesting destination, which most operators do not know about yet, and also to network with existing clients and secure new ones.
       "I expect our company to meet with many first-time participants at the Pata Mart for further deals," he said.
       Alison Partridge, president of Canada's Proof Positive Solutions, said attendees were decision-makers from every corner of the world and that they were there to do business.
       Akbar Shareef, CEO of Pakistan's Rakaposhi Tours, said the company had prescheduled appointments that some of the other travel exhibitions do not have even though they are bigger in size and in number, so it was a chance for local sellers to exhibit in greater numbers.
       Bob Malcolm, managing director of Australia's Travel Masters, said he wanted new relationships with product providers to be established that would hopefully be mutually beneficial over time.

Sunday, September 13, 2009

SPENDING IN AUGUST SEES AN UPTURN FOR 1ST TIME THIS YEAR

       Thailand's ad spending rose for the first time this year, by 2.84 per cent in August,the Nielsen Media Research report said.
       The increase in ad spending was seen in four major media-TV,cinema, transit and Internet.
       AC Nielsen reported overall increase in media spending in August, from Bt7.5 billion to Bt7.7 billion.
       Television advertising, which accounts for about 60 per cent of overall media expenditure, rose 5.3 per cent to Bt4.47 billion in August,following by cinema ads which rose 61 per cent to Bt475 million. Advertising on transit media also jumped by 34.5 percent to Bt148 million in August. Internet ads rose by 22.2 per cent to Bt22 million.
       The survey said many of the mainstream media, such as radio, newspaper, magazine, outdoor and instore media, still show a significant drop in ad expenditure. Ad spending in radio dropped significantly by 8.4 per cent to Bt566 million in August, whild newspaper advertising droppd 9.7 per cent to Bt1.25 billion. Magazine advertising dropped 21.1 per cent to Bt4.3 million in August, followed by out door and in-store media, which dropped by 4.3 per cent and 12.6 per cent respectively to Bt328 million and Bt69 million.
       Overfall ad spending in the first eight months of this year dropped 3.3 per cent year on year to Bt57.2 billion. The decline was seen in various media: TV (minus 0.16 per cent), radio(minus 12.67 per cent), radio(minus 12.67 per cent), newspaper(minus 12.51 per cent),magazine (minus 12.27 per cent), outdoor (minus 5.37 per cent), and in-store media (minus 1.10 per cent).
       Only cinema, transit, and Interned ads showed an improvement in the first eight months of this year. Cinema advertising grew by 9.14 per cent during the period, followed by transit media and Internet, which posted a year-on-year growth of 29.3 per cent and 15.9 per cent respectively in the first eight months of this year.
       A local unit of Unilever boosted its advertising spending by 42 per cent last month, while Toyota motor Thailand increased expenditure by 16 per cent,Nielsen said.Procter and Gamble's Thai unit cut its spending by 6 per cent.

Saturday, September 12, 2009

UP TO BT1 BN IN SALES EXPECTED AT HOME EXPO

       Home-buyers will be treated to a collection of residential projects worth more than Bt10 billion at the Thailand Exclusive Property Show 2009, starting today at Siam Paragon.
       Developers of 13 residential projects, offering homes ranging from condominium units to luxury detached houses, are also offering a wide range of inducements to drive sales.
       The event, organised by the Thailand Real Estate Association, will run until September 20.
       Association president Kittipol Pramoj na Ayudhya said the show would offer residences for buyers from every segment of the property market. The range will include condominium units priced from Bt1.9 million to more than Bt10 million and single detached houses, double houses and townhouses in Bangkok and resort destinations such as Rayong and Hua Hin priced from Bt3 million to more than Bt100 million.
       The residential projects taking part include Issara @ Sukhumvit 42, the Ratchaprasong project, Link Advance by Tararom Group, Fine Home @ River Charoen Nakorn, The Fine by Fine Home at Aree Soi 4, My Resort at Phetchaburi, Diamond at Sukhumvit, Charn Talay at Hua Hin, Phuphatara at Rayong, Golden Heritage @ Ratchapreuk, Golden Monaco at Bang Na and the Thanyathani project by NC Housing.
       People who buy a residence at the event will get a gift voucher for two nights at Anantara Hotel in Hua Hin or Trang, Kittipol said.
       Now is a good time to buy or invest in residential property because of low mortgage interest rates, he said. Investors will get the best prices on properties that will generate returns averaging 6 or 7 per cent per year - far better than interest on bank deposits.
       "Customers who buy at this time will get tax incentives from the government's stimulus package for the property sector - which expires in March next year - as well as the best conditions from property developers," he said.
       The organisers are hoping to generate sales of between Bt600 million and Bt1 billion from the 10-day show.
       Fine Home Housing Development managing director Sukit Triwanapong said his company was expecting sales of at least Bt50 million from the event. It is offering to fully furnish a home up to a cost of Bt200,000 as a special promotion for customers buying from The Fine by Fine Home at Aree Soi 4 during the show.
       Because of the signs of economic recovery, he believes now is a good time to buy a home.
       "Our customers began to increase in the third quarter of this year. The number of visitors to our projects increased by 10 to 20 per cent over the number in the first half of the year. As a result we believe this is a good time for home-buyers to buy a residence," he said.
       Vilailux Development general manager Teeravat Pipatdhitakul said demand for new homes in Rayong had continued - especially from foreign buyers coming from Scandinavian countries.
       "We believe that this event will be a good time for buyers and investors because they will get the best conditions from property developers," he said, adding that his company would also offer special promotions.
       NC Housing managing director Somchao Tanterdtham said his company would launch what it called its E-Quick Plus promotion for buyers from its residential projects at the show.
       E-Quick Plus will offer price discounts of up to Bt1 million per unit, depending on the type of residence. Customers will also get gift vouchers for furniture or home appliances if they speed up the transfer of residential properties. The customer who achieves the fastest transfer will receive a free package tour for two to Maldives.
       "We expect sales worth between Bt20 million and Bt30 million from this event," Somchao said.

Thursday, September 10, 2009

BT2 BILLION EARMARKED FOR PHUKET CONFERENCE CENTRE

       Phuket will receive a Bt2-billion central government budget in fiscal 2010 to build the long-awaited international convention and exhibition centre at the island's northern tip, the Prime Minister's Office has announced.
       Anchalee Vanich-Thepabutr, who currently serves as deputy secretary of the political affairs section at the PM's Office, made through the Phuket provincial office.
       A Democrat Party insider, Anchalee is also a former president of the Phuket Provincial Administration Organisation (PPAO) and wife of sitting Phuket MP Tossaporn.
       According to the press release, Phuket will get Bt2 billion in funding for the project as part of phase two of the government's Bt100-billion "Strong Thailand Action Plan 2012" stimulus package.
       Administered by the Finance Ministry, the huge spending bill will pump money into the economy, boosting it over the last three months of this year, Anchalee wrote.
       Terms of the spending plan are still under review by Parliament, but final approval is expected prior to the start of fiscal 2010 on October 1.
       When completed, the centre will allow Phuket to host international exhibitions on the same scale as the International Tourism Bourse held annually in Berlin, Germany, she wrote.
       Events hosted at the centre will boost tourist arrivals and lead to increased revenue over the entire resort island, she said.
       Better economic infrastructure and human resources will need to be developed to cope with the expected surge in arrival figures above the present rate of about five million per year, she wrote.
       The site of the project will be a 150-rai plot of seaside land on the northern tip of the island.
       The land is currently held under the Treasury Department's State Property Management and Services Office, or Ratchapassadu.
       The site is near the Bt50-million Phuket Welcome Gate, a facility conceived by Anchalee and built during her tenure as PPAO president.
       Plans to build an international convention and exhibition centre to help support the island's hotel industry have been around for decades, but political instability and infighting over where the project should be located have prevented the dream from ever becoming reality.
       Detractors, especially those with business interests in the more development southern part of the island, feel the location is too remote from the island's main population centre.
       Proponents say the international convention and exhibition centre will help further develop nearby Phang Nga as well as mai Khao, which is already home to the Phuket International Airport and is slated to be the new home of Provincial Police Region 8 headpuarters in a few years' time.

Tuesday, September 8, 2009

Chinese visitor at motor expo

       More than 100 investors and operators in the automotive industry from six Chinese provinces plan to attend the Thailand International Motor Expo 2009 in December while looking for investment opportunities in Thailand.
       The motor expo will be held at Muang Thong Thani from December 2-13.
       The Chinese, who have booked a package tour to thailand with TCL International, an import-export agency and foreign tour operator, will also meet Board of Investment officials to discuss possible coperation and privileges they would receive for investing in the Kingdom.
       "It is good news that investors from China are showing an interest in visiting the motor expo, because this will make the event more widely known internationally, especially in China, with its large population," said Prapong Maicharoen, deputy organising chairman of the moteor expo.
       "The outcome could be an investment stimulus for no only in the auto industry, but also ancillary industriesand tourism."

Sunday, September 6, 2009

Design project

       ThaiGA, together with Siam Discovery, Asahi and Practical Studio, is organising the "I Am A Thai Graphic Designer" project.All you have to do is send in a photograph of yourself holding a sign that reads:"I Am A Thai Graphic Designer".
       And remember, all of the letters in your sign must be creatively designed.
       Every piece of work will be displayed at the "I Am A Thai Graphic Designer" exhibition, beginning October 3 to 11, in the Grand Hall,Siam Discovery.
       Designs should be submitted in jpeg format with 300dpi resolution by Thursday to practicalstudio@gmail.com. The project is open to everyone. Call 02-938-2300-4 ext 1003, or visit iamathaigraphicdesigner.com.

Thursday, September 3, 2009

TCEB SIGNS MOU WITH CITY OF CHIANG MAI

       Sports and Tourism Ministry plans to build new convention centre by 2012
       The Thailand Convention and Exhibition Bureau yesterday signed a memorandum of understanding with Chiang Mai municipality.
       The move is aimed at turning the cityy into a hub for the meetings, incentives, conventions and exhibitions industry.
       It comes after the TCEB agreed to a similar collaboration with Pattaya in late May.
       The TCEB also plans to sign a similar MoU with Phuket.
       Chairman MR Disnadda Diskul said the priority was to develop human resources in preparation for the growth of Chian Mai's MICE industry.
       Besides this agreement with the municipality, the TCEB has teamed up with nine northern univesities to launch the MICE 4 Youth project, aimed at fostering a better unerstanding among young adults of the role and importance of the MICE industry.
       The next step will be to send university lecturers for training at Vienna and Barcelona's international convention and exhibition bureaus, which are allied with the TCEB.
       Yesterday's MoU stipulates the TCEB and Chiang Mai municipality will cooperate iin promiting MICE activities in the city.
       Both sides will share MICE knowledge and information with each other and other relevant organisations.
       As well, both parties will work towards development of infrastructure, communications and facilities that will enhance Chiang Mai's competitiveness in the international MICE market.
       Amornphan Nimanan, governor of Chiang Mai province, said the agreement would allow the municipality to bid on more international events, with an emphasis on emerging markets like China, India and the Middle East.
       Meanwhile, the Tourism and Sports Ministry will in the next few months sign a construction contract to build an international conention and exhibition centre in Chiang Mai that can accommodate 5,000 participants. If all goes to plan, construction will start early next year and be finished in 2011.
       Amornphan said to sustain the industry's developality would form a "MICE cluster" that would formulate both short-and longterm strategies. The clusters will consist of relevant public - and well as academics.