Toto flush with optimism as it bids to expand its sanitary ware network
TOTO GROUP, a Japanese manufacturer of sanitary ware, plans to expand its sales network in Bangkok and other key cities as a part of its marketing strategy to establish itself as a high-grade brand and achieve a contribution of 158 billion yen (Bt47 billi
“Thailand is among the big four Asian markets, excluding China. The others are India, Indonesia and Vietnam. Sales in Asian markets represented 21 per cent of the total of last year’s turnover,” said Hiromoto Harano, assistant general manager for Toto’s international business coordinating division.
Toto has set up both factories and sales and marketing offices in those countries to enable it to serve the different needs in each market.
In Thailand, after selling its shares in two joint ventures with Siam Cement Group – Siam Sanitary Ware and Siam Sanitary Fittings – two years ago, Toto Group now has its own factory in Saraburi province and manages its own sales network.
Tsuyoshi Morita, vice president and general manager for sales and marketing at Toto (Thailand), said that on top of building brand awareness in the Kingdom, the Bangkok office would focus on creating a sales network in high-potential provinces and continue to promote the company’s Washlet line-up of toilets and accessories.
“We expect to see 20-per-cent annual growth on average until 2017. We also [plan] to create our brand image as high-end products that target big upscale projects like Central Embassy, Okura Prestige Bangkok hotel and Le Meridien Bangkok hotel,” Morita said.
From 2018 onwards, the company will penetrate the medium market through expansion of distribution channels in the provinces and continue to promote Washlet, he said.
Toto wants to promote its Washlet water-saving toilets across the globe in the near future. The company expects its water-saving toilets to account for 80 per cent of its total exports within two years, up from 54 per cent now. The rest are standard models.
As of July, it had exported a total of 40 million Washlet units.
Under the “Toto Global Environmental Vision”, the company aims to support a comfortable living environment for customers through its products while continuing to lower the burden on the environment through its hygienic technology such as self-cleansing “ewater+” (electrolysed water) and self-sanitising “Actilight” (light-activated technology).
Toto plans to produce and sell its sanitary ware with Actilight technology in Thailand next year.
To mark its 100th anniversary, Toto Group targets net sales of 650 billion yen and operating income of 61 billion yen in its 2017 fiscal year. Of total net sales, 455 billion yen will come from housing business in Japan, 158 billion yen from overseas business and 37 billion yen from new business – advanced ceramics and green buildings.
