Since acquired by the United States Group, Toshiba Electric Co., Ltd. in its enabling one and a half years of reform, and now Toshiba White is seeking a second expansion in overseas markets.
As a first step toward expansion, Toshiba will open a new headquarters in Thailand to run its business in Southeast Asia this month. The new headquarters will be responsible for developing products and marketing strategies for the Southeast Asian market, which were previously required for Toshiba White Electricity in Kawasaki, Japan, the headquarters of the decision.
As part of Toshiba Consumer Products (Thailand), a subsidiary of Toshiba New International Headquarters located on the outskirts of Bangkok, Toshiba hopes to further its headquarters in Southeast Asia's core markets, including Malaysia and Vietnam, and in refrigerators, washing machines and other Innovative home appliances have a better performance.
'We will cooperate with the United States to start providing new products from Thailand, which is located in the center of Southeast Asia,' said Shi Toshimoto, president of Toshiba Electric Co., Ltd. at a press conference in Bangkok on December 15.
Deep plowing in Southeast Asia
As of December 2017, only 30% of Toshiba White's sales come from overseas, Shitetsu Shinto hopes to increase this number to 50% by 2020. Toshiba White Electronics Thailand headquarters will have a wide range of decision-making power, and is committed to raising Toshiba White Electric's Market Share in Southeast Asia - Southeast Asia accounts for nearly two-thirds of Toshiba White's overseas sales.
'Thailand is a good place to follow regional market trends and consumer preferences,' said Tadahiro Noda, head of Toshiba White's overseas operations, in addition to exporting home appliances, which will also import products from Japanese and Chinese factories , To supply the Southeast Asian market.
However, due to differences in lifestyle and income levels, Toshiba also faces unique marketing challenges in South East Asia.
For example, in most Southeast Asian countries, common washing machines are twin-barrel washing machines and drum washing machines, but there are significant differences in individual markets.In Thailand, consumers tend to buy washing capacity up to 12 Kg of washing machines. In Indonesia, where the average living standard is relatively low, consumers generally prefer to buy small washing machines with a washing capacity of 6 kg.
Arita Takahiro said Toshiba White will also produce Toshiba brand products developed by the United States, and will also be sold in Japan, high-end home appliances to rich consumer groups in Southeast Asia .Taiwan White will be the end of this month will launch joint development with the United States Dishwasher and large fridge.
These products will be sold not only in the three key markets of Thailand, Malaysia and Vietnam, but also in Southeast Asian countries such as Hong Kong, Taiwan, Cambodia and Laos.
Toshiba White is trying to understand the unique needs of a particular market.Before the acquisition of the United States, Toshiba White has developed a washing machine with a special filter, this washing machine to solve the consumer when washing clothes must face the sewage The pain point, the result is very popular in Southeast Asia market.
Toshiba White has the largest market share in the washing machine market in Thailand and the top three in the industry in the refrigerator and microwave markets in Thailand and Malaysia.At present Toshiba White is working with South Korea's LG Electronics, China's Haier and Japan's Matsushita Scramble for market share in Southeast Asia.
To date, in order to better develop products for the Southeast Asian market, Toshiba sends its headquarters staff from Japan to Southeast Asia's local sales staff. In addition, Toshiba White also hired local companies to conduct market research.But Nomoto Guihong said, A remote headquarters is difficult to grasp the nuances of consumer preferences in different markets, such as in several countries the refrigerator is the most popular.
Toshiba White's headquarters in Bangkok employs about 20 people, including employees from local subsidiaries, who often visit customers to learn how to upgrade their products.
Toshiba white vision
Sales of white goods in Southeast Asia were 537 million units in 2016. According to the Japanese market research firm Fuji Economic Forecast, this figure is expected to grow 9.2% by 2021. Compared with Japan, Southeast Asia has become a larger appliance consumer market , And its market growth rate is higher than Japan, Europe and the United States these mature markets.
In 2017, Toshiba sales of home appliances in Southeast Asia increased by more than 5%, Hiroshi Noda hopes to maintain this momentum.
When Midea acquired Toshiba White in 2016, Toshiba lost nearly 60 billion yen in FY2015 as of March 2016, but Midea looked at the brand value of Toshiba. Under Midea Group's enabling, Toshiba White took reform measures to improve profitability, such as joint procurement of components, these reform measures to help Toshiba White quickly turnaround in the first half of 2016, Toshiba White achieved 120.4 billion yen in sales and achieved Small profits. Toshiba White is expected in fiscal year 2017 will continue to be profitable.
Toshiro Ishiman said cooperation with the United States, with its global sales network, which allows Toshiba White 'has the opportunity to compete with global brands.'
Last fall, Toshiba White introduced a new product: a wireless vacuum cleaner.According to its new growth strategy, Toshiba White will force in South East Asia, dishwasher and dispenser business.In addition, Toshiba White is also being carried out The second effort to open the Chinese market shows that Toshiba White has resumed its enthusiasm for growth.
Toshiba White, the one major concern is that the previous parent company of Japan's Toshiba nuclear business Toshiba brand caused tremendous damage.Ishi Toshiro said Japan's financial troubles Toshiba has become well-known in Southeast Asia, which caused the consumer Concerns about Toshiba products.
However, the resumption of earnings is boosting Toshiba White's morale and prompting many to pledge support for the Toshiba brand, whose main challenge is whether it can introduce innovative and high-value products in Japan and other Asian countries.