EXPRESS –THE COMPETITIVE STRATEGIC WEAPON IN A TURBULENT MARKET
With the 2011 year of market challenges and turbulence, especially to enterprises in real estate and supportive industries such as construction materials, finishing and decorating, elevators, etc., most CEOs are focused on business monitoring and development in the coming challenging years. In order to share with our readers the strategies to overcome challenges in 2012, Vietnam Investment Review correspondents have interviewed CEOs in these industries of real estate and relatives in Vietnam. The interview with Mrs. Laurence Antignac, Managing Director of Otis Vietnam is an interesting story that we can see how the CEOs manipulate in difficulties.
For the last three years, said Mr. Didier Michaud-Daniel – President, OTIS Elevator Company – Vietnam has been a regional success story with its high growth rate and super-projects such as the Bitexco Financial Tower, KUMHO ASIANA PLAZA, Crown Plaza Complex, GRAND PLAZA Hotel. Otis Vietnam has won some major investors’ trust; New Equipment and Service contracts have been signed. While the global economic crisis and decline in FDI investment have delayed the country’s growth, Otis still sees excellent long-term growth prospects in Vietnam.
How this situation has impacted Otis Vietnam business strategy?
According to Laurence Antignac, Otis has paid high attention to market changes and macroeconomic indicators and related governmental policies orientations and subsequent impacts on building projects
FDI investors still believe that Vietnam is a high potential market in the long term, whilst 2012 will be a challenging year for the construction and elevators sectors.
For instance, the development of satellite-citiesin Ho Chi Minh City and Hanoi outskirts including a number of residential apartments, will be a huge and attractive segment for Otis and elevator suppliers with special product requirements.
From accurate market analysis, Otis Vietnam has developed its 2012-2015 business development strategy including Express Elevator as a rich heritage brand from England since 1878 and now the one of three Otis global brands - OTIS, SIGMA, and EXPRESS.
Laurence has emphasized that Otis vision definitely remains to become Number One on Vietnam market and pioneer via products spreading in a wide range of market segments. A huge market potential in the housing segment whether private residential or social along with commercial projects supported by FDI will allow all Vietnamese end users to experience Otis’s latest advanced technology and Excellence Service quality.
The Express Brand will specifically be committed to become the most preferred brand in Vietnam for the low-mid end housing market by 2015.
With the above business goals, Otis Vietnam has determined to apply its experience of Express success story in China to make a Vietnam success story in 2012-2015. Being launched into China market in 2003, Express has made a remarkable growth and brings its story to be a typical successful case through Otis Corporation global. This success story was written through achieving a housing targeted strategy leveraging HYPEX products range.
In addition, Express diversified its selling channels leveraging distributors - Vietnam Development Investment and Trading Group JSC (VTID) and Hagiang Refrigeration Electrical Engineering Company Limited - and direct sales.
Currently, EXPRESS benefits from renowned credantials nationwide such as Sapaly Hotel (Lao cai), Hattoco Tower Complex (Hanoi), Buon Me Thuot Trading Center (Dak Lak), Ideas Trading Center, Liberty QueHuong Hotel, Shiseido Factory (Dong nai).
Customers feedbacks confirm that HYPEX products are perceived as high quality, competitive pricing, elegant design products. In addition, they highlight that these products being engineered and manufactured as to the highest level for Otis’s safety requirements and Green philosophy, comply with increasing demands from developers. In 2011, HYPEX has been awarded the prestigious Red Star Design Award among industrial manufacturers.
According to Laurence Antignac, the customer service level delivered in Vietnam has still to be improved to fully meet the clients’ expectations. Committed employees and a solid customer network including architects, consultants, construction companies and developers will support spread Otis vision among the market players.
The best products on the market, powerful distribution channels, skilled and committed employees, are the key strategic pillars for Otis Vietnam to achieve its vision for 2015 being Number One in the country.