Friday, February 22, 2008

Coway plans to use Malaysia as the outpost to the Southeast Asian market.


According to a survey about drinking water, 45% of Malaysians drank bottled water, 36% filtered water and 16% tap water in 2006. This trend, however, began to change recently, and use and sales of water filtration devices is on the increase. In addition, as over 60% of water filtration systems are sold through door-to-door sales in Malaysia, Coway, which has accomplished a great success in the type of sales in Korea, has another chance of a great success in Malaysia. Using the advantage that the company found through its own market research, the company plans to take a marketing strategy aimed at middle and upper class. The price level of Malaysia is about 80% of Korea, but its market for high-priced items is similar to that of Korea. Considering such conditions, Coway works out a premium marketing strategy and deems it worthwhile to challenge the market. Coway has strived to raise customers' satisfaction with service of the company through the development of service type suitable to Malaysian conditions by tailoring to local conditions the service know-how it has developed in Korea. Having found that Malaysian consumers have much complaints about high price paid for poor service system, Coway decided to introduce CODY service system that has worked well in Korea to Malaysia.

0 comments: