Sunday, 8 April 2012
Business Times: Hai-O in deal to market bamboo salt worldwide
MULTI-level marketing (MLM) company Hai-O Enterprise Bhd's unit Hai-O Marketing Sdn Bhd hopes to sustain between 15 and 20 per cent sales growth from its bamboo salt segment this year.
Last year, the organic KAEAM bamboo salt posted RM20 million in sales.
Yesterday, Hai-O Marketing signed a global distributorship agreement with the manufacturer of KAEAM bamboo salt, KAEAM Food Corp from South Korea, to market the product in the region and subsequently worldwide.
"We are keen to tap on the growing demand of organic and healthy food market in Malaysia. Our main focus will still be in the country before we expand regionally within the next two years," Hai-O Marketing general manager Teoh Nee Siang said.
The direct-selling company began marketing KAEAM Bamboo Salt some four years ago selling only about 200 boxes a month.
Today, it distributes between 12,000 and 14,000 boxes a month among its 140,000 members.
The KAEAM Bamboo Salt was manufactured commercially in 1988.
The product was initiated more than 1,000 years ago when Buddhist monks in South Korea started making bamboo salt by burning seawater that was filled in bamboo.
Today, it is commercially marketed as bamboo salt, which is said to be very rich in nutrients, to cater to the demand of a growing health conscious society today.
KAEAM Bamboo Salt is Hai-O Marketing's best selling product, contributing more than 10 per cent to its revenue.
Its other products include beauty, nutrition, personal care and wellness.
Its parent, Hai-O Enterprise, posted a 34 per cent jump in net profit for its third quarter ended January 31 2012 to RM9 million on the back of RM63 million revenue.
The MLM division continues to be the pillar of the group, contributing 56.1 per cent of total revenue, while wholesale division commands about 10 per cent of its revenue.
Read more: Hai-O in deal to market bamboo salt worldwide http://www.btimes.com.my/Current_News/BTIMES/articles/haiop/Article/#ixzz1rJst3z3G