Total consumer experience in the digital era

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Total-consumer-experience-in-the-digital-era-30289159.html

MARKETING and media experts have suggested that in the digital era brands should adopt online-to-offline (O2O) marketing strategies to attract digital consumers by creating a total consumer experience.

“Online media is playing key role in Thai consumers’ lives. Daily time spent on the Internet is a key indicator in this regard,” said Wisut Ua-anant, assistant vice president for online channel management at telecom giant Advance Info Service (AIS).

Wisut said that according to GlobalWebIndex’s survey of Internet users aged 16 to 64, in the fourth quarter last year Thailand was ranked No 4 in the world in terms of the average length of time spent using the Internet per day.

Thais sent an average of 4.7 hours per day on the Internet, behind Brazil (5.2 hours), the Philippines (5.2 hours) and South Africa (4.9 hours).

Wisut said the time Thais sent on the Internet continued to rise, particularly via smart phones.

“Social media is the first touch point for customers. Therefore, AIS is developing a digital store bundled with our physical stores to create a total experience for our customers,” he added.

To cash in on this O2O marketing trend, LINE Thailand is transforming itself from a chatting platform to a business gateway.

Nam Do, commercial director of corporate business for LINE Thailand, said that Thailand was a mobile-first country, meaning most online activities were done via smartphones.

Interestingly, Nam said 60 per cent of web-browsing was for e-commerce and as such e-commerce was evolving into mobile and social commerce.

Dangjaithawin Anantachai, chief executive officer of Intage Thailand, a marketing research agency, said via the O2O approach brands should collaborate with customers and deliver a total consumer experience to create long-term engagement with target groups, particularly the new generation.

John Smurthwaite, Asia-Pacific ambassador of the European Society for Opinion and Marketing Research, a global association, suggested that because of advances in digital technology brands should collect real actionable data that helped them find the right way to analyse consumer insights, leading to data-driven customisation.

In line with the rise of Internet use in the Kingdom, the Digital Advertising Association (Thailand) said that advertising investment was not only used to publicise brands but to boost sales.

Siwat Chawareewong, vice president of the association, said that Thai consumer behaviour had rapidly changed in the past two years following the launch of 3G/4G wireless broadband Internet. “Thai audiences always loved watching online videos. But now they have become online shoppers,” Siwat said.

Siwat, who is chief executive officer of mInteraction, a digital media agency, explained that his company was witnessing an increasing number of clients that had added budgets for e-commerce on top of publicising their brands and products, particularly for dairy and hair preparation products, food delivery, and financial and insurance services.

In line with this increasing demand, major retailers in the Kingdom are also jumping on the bandwagon by making their products available online for consumers. Banks are also improving their mobile-banking services to support financial transactions between retailers and buyers. Those quoted in this article shared their insights about how to deal with challenges amid changes in the marketing ecosystem, as well as how to gain a better understanding of coming trends, at a forum last week entitled “What’s Coming Next: Thailand’s Future Trends”. The event was organised by the Thailand Marketing Research Society.

CAT board backs use of 20MHz for 4G service

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/CAT-board-backs-use-of-20MHz-for-4G-service-30289154.html

THE BOARD of CAT Telecom on Thursday approved the state agency’s plan to upgrade the idle 20MHz band of its 1800MHz spectrum to provide 4G service under a possible partnership with Total Access Communication (DTAC), acting CAT president Surapant Meknavin said.

The service will last until 2018 when the concession CAT has granted to DTAC for this spectrum expires.

The upgrade is expected to take place in the third quarter.

CAT granted the concession to DTAC to offer a cellular service on 50MHz of 1800MHz, half of which DTAC currently uses. Later CAT allocated 5MHz of the remaining idle 25MHz to the National Broadcasting and Telecommunications Commission to auction off, leaving 20MHz unused.

CAT will draw up the partnership contract with DTAC, which will see DTAC rolling out 9,500 cellular base stations for a 4G service. But the network will still be owned by DTAC. Then CAT will send the contract for examination by the Council of State, the ICT Ministry, and the Cabinet.

DTAC will use 85 per cent of capacity of the planned network to provide the 4G service, while CAT will wholesale the balance capacity to interested companies.

DTAC has declined to comment on the matter.

A CAT source said that CAT board wanted to extend the use of this idle band from 2018 until 2025. The board had advised management to tell the government that if the valid period of the spectrum was extended, CAT would continue to gain substantial revenue from using the spectrum to develop wireless broadband services.

Rolls-Royce congratulates Senior Aerospace Thailand on facility expansion

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Rolls-Royce-congratulates-Senior-Aerospace-Thailan-30289094.html

ROLLS-ROYCE Holdings yesterday joined celebrations with Senior Aerospace Thailand Ltd to open officially a state-of-the-art 20,000-square-metre expansion of its aerospace manufacturing facility in Chon Buri province.

The expansion follows the signing of a 10-year contract between Rolls-Royce and Senior Aerospace Thailand to supply a range of aerofoils for the Trent XWB engine, which powers the Airbus A350.

Rolls-Royce executive Hugh Vanijprabha, managing director for Thailand, joined executives from Senior Aerospace and key executives from partners and customers at the opening ceremony.

“We congratulate Senior Aerospace Thailand on its expanded facility and look forward to continuing our long-term relationship,” he said.

“Southeast Asia is an important region for Rolls-Royce as a strategic base and business opportunity. As the civil aerospace market grows globally, our strategy is to create strong regional aerospace supply chains. Southeast Asia, for example, has the potential to be a supply hub for our manufacturing operations in Singapore.

“There is strong potential for new supply-chain opportunities in Thailand given its existing aerospace ecosystem, and Senior Aerospace is proof of this. It is great to see our long-term supply partners like Senior Aerospace establishing and growing their presence here. It’s a testament to the efforts of Thailand to nurture opportunities to expand its aircraft-parts-production and aircraft-maintenance industry.”

Rolls-Royce Holdings operates across five businesses: civil aerospace, defence aerospace, marine, nuclear, and power systems.

The company has customers in more than 120 countries, comprising more than 400 airlines and leasing customers, 160 armed forces, 4,000 marine customers including 70 navies, and more than 5,000 power and nuclear customers.

Annual underlying revenue was 13.4 billion pounds (Bt658 billion) in 2015, around half of which came from the provision of aftermarket services. The firm and announced order book stood at 76.4 billion pounds at the end of 2015.

In 2015, Rolls-Royce invested 1.2 billion pounds on research and development. It also supports a global network of 31 University Technology Centres.

Rolls-Royce employs more than 50,000 people in more than 46 countries. Nearly 15,700 of these are engineers. The group says it has a strong commitment to apprentice and graduate recruitment and to developing employee skills. In 2015 it employed 228 graduates and 277 apprentices through its worldwide training programmes.

Fifth-ranked Chiangrai United in major revamp

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Fifth-ranked-Chiangrai-United-in-major-revamp-30289089.html

SPORTS MARKETING

Chiangrai United FC's football fans.

Chiangrai United FC’s football fans.

Chiangrai United Football Club yesterday announced a major marketing revamp for the first time in its eight-year history, setting to draw more fan clubs.

“The football club has earned about Bt80 million annually in revenue, of which 80 per cent is from sponsors, 15 per cent from selling merchandise, and the remaining 5 per cent from ticket sales. With the three-year revamp, we want to double our annual revenue over the period, and to increase the contribution from sales of tickets and merchandises to 40 per cent,” said Miti Tiyapairat, president of Chiangrai United FC.

The scheme will cost between Bt400 million and Bt450 million. The focus is on physical assets, including the United Stadium and sports complex in Chiang Rai, and in branding and marketing activities to communicate the brand to potential fans not only in Chiang Rai but all over Thailand.

The club has appointed Jarken Group, which specialises in branding and facility management, to take responsibility for branding strategy and marketing.

Jarken will be in charge of the architectural design of the club and players’ uniforms, as well as the stadium and sports complex, and make those facilities a landmark and tourism destination of the province.

Professional management techniques will be also applied effectively, the club says.

The football club’s first concept store in Bangkok will be opened in October at Siam Square, occupying 100 square metres of retail space at a cost of Bt10 million. It will handle 100 items of the club’s merchandise and will be a market test for building the Chiangrai United brand and communicating with fans.

Miti said winning games in the field was not enough, but winning business outside the stadium was also an important strategy.

“We think it is the most suitable time for us to make a revamp, as we are well prepared in fundamental areas, including players and academy, accounting and financial support. What we need to do next is to promote the brand and marketing value of the football club,” he said.

Tanapol Viratepsuporn, vice president for marketing and public relations, said that under the scheme the club was expected to increase its fan base by 100 per cent in the same period. The club claims at least 5 million fans throughout the country, including 90-95 per cent of the 1.2 million people living in Chiang Rai.

Kuldej Sinthawanarong, Jarken Group chief executive officer and designer, said the revamp would be carried out in different phases over the three-year period.

He added that the revamp will also include the development of a new 200-room boutique hotel at the United Stadium complex, locating on 35 rai (5.6 hectares) near Chiang Rai International Airport.

The team is now ranked No 5 in Thai Premier League standings.

Skin cream entrepreneur banks on nanotech

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Skin-cream-entrepreneur-banks-on-nanotech-30289091.html

SMES CORNER

Siwapat presents the skin-cream products under the T&D brand.

Siwapat presents the skin-cream products under the T&D brand.

T&D COSMETIC Limited Partnership is collaborating with the Thailand Research Fund in the research and development of nanotechnology for use in skin cream, in a bid to double monthly sales to Bt200,000 by the end of this year.

“We have to develop our products to serve the premium market by using nanotechnology, as the overall market is highly competitive with the presence of global brands,” owner and managing director Siwapat Wangpol said during an interview with The Nation recently.

Siwapat, 27, started to produce skin cream in 2011 after graduating with a bachelor’s degree in law from Khon Kaen University and moving to Bangkok to study further with a view to becoming a barrister.

Her interest in skin cream began while studying at university, during which time she learned about all the products on the market, and the raw materials contained in each of them, before trying out her own formulations and testing which were best for her skin.

After graduating, she initially produced 500 packages, which she distributed free via her Facebookfan page and to her friends.

Half of the people then got back to her and asked to buy more of the skin cream, which led to initial sales of Bt2,000 per month.

This small but promising beginning inspired her to research and develop her products for wider sale, for which she used Bt10,000 of her savings before putting them on the market via her T&DFacebook page.

With sales then rising to an average of Bt10,000 per month, Siwapat decided to expand the operation through an investment of Bt150,000, some Bt50,000 of which was from her family and the remainder in the form of a loan of Bt100,000 from the Small and Medium Enterprises Development Bank of Thailand. She also applied to have her products licensed by the Food and Drug Administration.

After being granted a licence, she started to promote her creams and lotions by taking part in a trade fair conducted by the Commerce Ministry last year, which resulted in monthly sales shooting up to Bt100,000.

She then decided to open the Ziva Beauty Centre by T&D in Surin province in the Northeast last year.

This year’s focus is on joint R&D of nanotechnology for the T&D-branded range with the Thailand Research Fund, her target being to launch nanotech items that focus on the premium market and to distribute them via modern-trade outlets in 2017.

Thai Gasma sees Thai hub for CLMV

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Thai-Gasma-sees-Thai-hub-for-CLMV-30289069.html

Chaiwat Harnsomwong, president of the THAI Graphic Arts Suppliers & Manufacturers Trade Association (Thai GASMA).

Chaiwat Harnsomwong, president of the THAI Graphic Arts Suppliers & Manufacturers Trade Association (Thai GASMA).

THE THAI Graphic Arts Suppliers & Manufacturers Trade Association (Thai GASMA) sees Thailand developing as the hub for supplying printing products and technology to Cambodia, Laos, Myanmar and Vietnam, as trade and investment expands in this part of the region.

Rising sales of printing machines in the CLMV area, along with technologies and new printing innovation launched recently in Germany by global manufacturers, have significantly improved the overall printing industry, the association said.

Thai GASMA will conduct roadshows in neighbouring countries in a bid to persuade printing houses to buy new printing technologies that will be showcased at the “Gasma Print 2016” trade show, due to be held in Thailand from September 14-17.

President Chaiwat Harnsomwong said the association was announcing Thailand as the printing-technology hub for CLMV because sales of printing machines and technologies in the Kingdom had risen significantly, while Thai investors had been active in forming joint printing houses with local businessmen in CLMV markets.

This means businesses in these neighbouring markets are now purchasing printing machines and materials such as paper and ink from Thailand, he said.

While the situation is favourable for Thailand to be the regional printing-technology hub, the country is also an aviation hub, so air travel in and out |of CLMV countries for business and trade is very convenient and cheap, he said.

Moreover, land transportation through border checkpoints is smooth and convenient, as well, with basic infrastructures such as new roads to facilitate border trade also resulting in trucks being able to deliver Thai products to the capitals and other major industrial cities in neighbouring markets.

The political situation in the four CLMV countries has also become more stable, he added.

A major factor driving sales of printing machines and technologies is the launch of new innovations by many manufacturers at the “Drupa 2016” trade fair, which was held in Germany early this month.

These innovations are expected to help lower printing costs, enhance printing efficiency and increase profits, Chaiwat said, adding that they could help revive the overall printing industry, which had been saturated for years.

Kosol Chotikarn, Thai GASMA vice president and chairman of the organising committee for “Gasma Print 2016”, said the launch of new printing innovations by major manufacturers worldwide at the German trade fair was perfectly timed, as many of them would be showcased in September at the Thai event, to be held at Bitec in Bang Na.

“From our experience of trade negotiations in neighbouring countries, we have found that the purchase of printing machines and technologies for printing houses in those countries must be made through distributors in Thailand. Leading international brands have their sales offices or distributors in Thailand.

Central Food budgets for new stores

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Central-Food-budgets-for-new-stores-30288945.html

INVESTMENT

Alistair Taylor, left, president of Central Food Retail Co Ltd, together with Phattaraporn Phenpraphat, right, executive vice president for marketing and PR, pose at the media conference yesterday held to celebrate its 20th anniversary and business direct

Alistair Taylor, left, president of Central Food Retail Co Ltd, together with Phattaraporn Phenpraphat, right, executive vice president for marketing and PR, pose at the media conference yesterday held to celebrate its 20th anniversary and business direct

CENTRAL Food Retail Co, Thailand’s largest food retailer and the supermarket unit of Central Group, yesterday revealed its plan to allocate Bt6.5 billion in investment capital to be spent in large part on new store openings over the next five years.

The company aims to add about 70 new stores every year and reach 600 stores in total by the end of 2021.

Central Food Retail started its business in 1994 with 13 supermarkets in Central Department Stores. The company currently operates 205 stores in eight different formats including Central Food Hall (seven locations); Tops Market (85 locations); Tops Superstore (two locations); Tops SuperKoom (37 locations); Tops Daily (51 locations); and Eathai (one location).

The future expansion will focus on the Tops Market and Tops Daily formats, the company’s mid- and mini-scale supermarkets, which are flexible and can be opened at any location throughout the Kingdom.

Alistair Taylor, president of Central Food Retail, which celebrates its 20th anniversary this year, has said that the expansion will allow the company to maintain average growth of 10-15 per cent over the next five years. However, the company’s organic growth is estimated at about 6 per cent over the period, he said.

“For this year alone, we plan to allocate between Bt1.2 billion and Bt1.3 billion of investment capital in two areas,” he said.

“Between Bt200 million and Bt300 million will be spent on a system to support our growth. Another Bt600 million will be spent on new store [openings], and between Bt400 million and Bt500 million [will be spent] on renovations of our existing supermarkets.

“With the budget, we expect to increase the number of our supermarket outlets from 205 stores currently to 250 by the end of this year.”

Taylor said the company was considering opportunities for the expansion of its supermarkets outside Thailand.

“There are many opportunities occurring all the time,” he said. “Central Group recently made an acquisition deal for Big C in Vietnam. The group has operated retail businesses in many international markets including in Europe, Indonesia and Malaysia.

“There are also many opportunities we have seen in neighbouring countries. However, there is no fixed plan decided by the company at this moment.”

Taylor said from now on the company would focus on key success factors – format strategy, customers and innovation.

Central Food Retail says it has designed new brand concepts for its store formats that meet customers’ changing needs. The company focuses on its customers via many elements including customer experience, technology transformation and product quality.

“We are a customer-centric retailer. We try to find out customer insights and turn those insights into action,” Taylor said.

He said the company had developed new innovations, especially in terms of payment channels. Those innovations include e-signature, tablet, QR (quick response) codes, self-checkout, gift cards and a digital wall.

He said these were “in line with the company’s vision to be recognised as an innovative and exciting supermarket for a wide range of quality foods at good value and a friendly service”.

More e-commerce sites may follow Ensogo’s demise

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/More-e-commerce-sites-may-follow-Ensogos-demise-30288940.html

E-COMMERCE

THE downfall of Ensogo, Southeast Asia’s top daily-deal and flash-sales website, is rocking Thailand’s e-commerce ecosystem, but more victims could emerge as giant multinational players are parading to the business scene, observers say.

Pawoot Pongvitayapanu, president of the Thai E-Commerce Association, said the Thai e-commerce industry was now the game of giant players. China’s Alibaba and US-based Amazon are cited as the big players that are venturing into the local market.

The association is now working to find ways to help local e-commerce businesses survive the fiercer competition, he said.

It is also looking for better oversight by regulators.

“The regulators should monitor whether any player is dominating the market. They should also come up with a policy or measures to prevent monopolies,” Pawoot said.

Alibaba Group Holding has built a presence in this region through the acquisition of Lazada. Its financial arm, Ant Financial Services Group, this month also announced a plan to acquire a 20-per-cent stake in Ascend Money, an online payment service provider in Thailand.

China’s Commerce Ministry said on its website on Monday that as a part of Ant Financial Services, Alipay Hong Kong Corp had the right to raise the share to 30 per cent in the future. Ant, providing services such as online payment, is valued at close to US$60 billion (Bt2.1 trillion).

Meanwhile, Amazon has announced a plan to invest hundreds of millions of dollars in Indonesia.

“It’s clear that Alibaba is using Lazada as the channel to ship Chinese products to the region. That will not only put pressure on e-commerce businesses in Thailand but also all SMEs in Thailand,” Pawoot said.

Tiwa York, chief executive officer of Kaidee.com, said that though e-commerce marketing in Thailand was still in an early stage, it was necessary that all local players improve their services and ensure that their sites offer the right variety to fight big players.

Local e-commerce businesses have to identify what their position is and where their target market is. They should be niche players and focus on segmented e-commerce, he suggested.

His Kaidee.com focuses on customer-to-customer deals. It is positioned as a platform for consumers who want to sell and buy used products.

Regarding Ensogo’s sudden death, he said a daily-deal business model tended to grow slowly, as those deals are in fact a price war.

Consumer values ‘changing’

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Consumer-values-changing-30288939.html

CONSUMER BEHAVIOR

AS THEY TRANSFORM into the digital communication era, marketers and brands should keep their eyes on what future customers value, particularly younger people, and not rely on their demographic data alone, a forum was told.

This is also a new era of co-creation between brands and consumers, via both online and offline approaches, speakers said.

Dangjaithawin Anantachai, chief executive officer of Intage Thailand, a marketing research agency, said yesterday that younger people – Generation Y and millennials – could not be defined by their different demographic backgrounds such as gender, age, education or purchasing power.

She made the remark at a forum titled “What’s Coming Next: Thailand’s Future Trends” organised by the Thailand Marketing Research Society.

At the event, thought leaders in the marketing, branding and digital-media industries were invited to share their ideas and insights about how to deal with challenges amid the changes in the marketing ecosystem as well as gain better understand about coming trends.

“Marketers and brands should understand the real values of targeted consumers. What are those values?” Dangjaithawin asked, and went on to explain that there were four key values among those types of consumers.

First is “now or never”. Influenced by social media, young people are less patient than earlier generations but are still creative. The average attention span among the consumers is an indicator in this regard. Dangjaithawin suggested that the attention span of young consumers had dropped from 13 minutes in 2000 to just eight minutes in 2013.

Entrepreneurship is the second value. Young people want to have their own businesses.

New brand ownership

Marketers should realise that consumers feel that they own brands. “Marketers no longer own the brands,” she stressed.

Third, consumers love to express their ideas and thoughts,

particularly about products and services they have used. The fourth value is that future consumers’ behaviour will be driven by technology.

“Given these factors, brands should collaborate with target customers and deliver total experience via an O2O [online-to-offline] approach,” Dangjaithawin said.

Apart from this trend, consumer insight is also crucial. John Smurthwaite, Asia-Pacific ambassador of ESOMAR, a global association for market research, said that because of the advances in digital technology, brands should collect real actionable data that could help them find the right way to analyse consumer insight, leading to data-driven customisation.

Unilver Thailand is a good example of the use of consumer insight and analysis via integrated communication to boost organic growth for its brands.

“Consumers are at the heart of our marketing strategy while insight from consumers is also key,” said Supattra Paopiamsap, CEO of Unilever Thailand.

She picked Knorr’s brand strategy as an example to explain this marketing execution.

The company recently launched an emotional commercial called “Flavour of Home” to highlight the importance of doing one’s own cooking. The commercial ran on television and online media such as YouTube. The online video got 8 million views within just four weeks.

Along with this, the company provided a number of special recipes on its official website.

Supattra said the creation of this digital ecosystem for Knorr could lead consumers to make purchases at retail stores as well as through e-commerce.

“Despite the economic downturn, Knorr this year has witnessed the highest sales growth in four years,” she said.

Thailand Post Distribution forecasts 60% revenue jump

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

http://www.nationmultimedia.com/business/Thailand-Post-Distribution-forecasts-60-revenue-ju-30288922.html

POST

Thailand Post Distribution, a company wholly owned by Thailand Post Co, forecasts revenue growth of around 60 per cent to Bt480 million this year, up from Bt300 million last year, said Warakan Srinualnad, chief executive officer of the distribution company.

It expects more revenue from new contracts with government agencies and transport and distribution services for e-commerce business and warehouse leasing.

Last year, the company’s main revenue came from the distribution of dialysis packs for the Government Pharmaceutical Organisation, which contributed 90 per cent of the total. This year it is looking at securing more government contracts, including distribution of medical products for the Social Security Office and tobacco products for the Thailand Tobacco Monopoly.

Warakan said this year’s revenue from government-agency contracts would amount to 80 per cent of the total while e-commerce services would contribute 12 per cent and the rest would come from warehouse leasing.

Last year the company posted a loss of around Bt100 million but expects to break even next year.

This year the company will invest Bt50 million in software and a management system.

Thailand Post Distribution was set up in 2014 with an initial Bt350-million of investment by Thailand Post Co.