In summary, KARMART focuses on 5 key distribution channels in relation to sales and marketing:
Presently, KARMART distributes through the following modern trade channels:
- Convenience Store
Convenience stores offer advantages with the mass number of branches and the convenient locations. Our existing partners in this aspect include 7-Eleven, Family Mart, MaxValu, Jiffy, Big C Mini, Lotus Express, Tops Daily, CJ Express, Lawson108, etc.
- Supermarket/ Hypermarket and Discount Store
Listed under this category are retail megastores which focus on delivering huge variety of products of moderate to high quality at affordable prices to mass markets. KARMART’s partners in this category include Tops, Home Fresh Mart, Gourmet Market, Food Hall, Tesco Lotus, Big C, Makro, etc.
- Specialty Store
Focusing on consumables, pharmaceuticals, cosmetics, skin care and hair care products, specialty stores are obtaining popularity in view of their friendly services, convenient locations and up-to-date product offerings which can be considered as one of the high-potential sales channels that has manifested sustainable growth potential. To this end, KARMART currently distributes through Watsons, Boots, Beautrium and EVEANDBOY as well as affiliate stores such as Beauty Buffet that presently operates more than 200 branches.
Additionally, we also distribute the products in pharmacies for special groups such as the health-conscious consumers. Unique diet supplementary and pharmaceutical products are selected to match this distribution channel.
Focusing on general consumers, unique products well suited to the mass markets are selected for publication and sales via catalogs such as Friday Catalog, 7-Catalog, etc.
KARMART shop is an important channel for the company, ensuring convenient access to all KARMART products in mass markets. It is also a key channel through which the company continuously study consumer needs and create effective customer relationships, which is a critical factor contributing to unceasing augmentation of brand loyalty.
Formerly, KARMART shops operate under 2 types of business models, namely 1. Fully-Owned Investment Stores and 2. Franchise Store. However, from year 2019 onwards, the Company has been systematically reclaiming all franchise stores in order to maintain and improve the efficiency of store appearance and management as well as inventory organization.
The Company also plans to develop CRM system (Customer Relationship Management) to appreciate customer relationship in the long run through automated and systematic data monitoring and analysis, whereby outputs of current store management systems which integrates pricing and promotion are upgraded. In addition, KARMART continues to engage with consumers by utilizing pricing and promotional strategies, including alternative forms of sales kits and the company also initiates projects between business partners such as financial institution and telecommunications company to expand customer base.
At present, there are a total of 48 KARMART shops nationwide, of which 21 branches are standalone or retail shops, and 27 branches are in department stores’ beauty hall zone such as The Mall and Robinson.
Traditional Trade or Dealer
Despite the expeditious expansion of modern trade channel, the traditional trade channel remains a key sales generator for the company by integrity of their strategic locations across the entire country.
In addition, the exceptional network of retail stores and traditional trade distributors aggregates to approximately 800 and escalate extensively across Thailand in the past year which resulted in effective reach to all targeted consumer segments. This sales channel can be broadly sub-categorized as follows:
- Retailers: Cosmetic shop retailer, local supermarket, local convenience store, hair tools store, pharmacy as well as hospital, welfare store in the hospital, hotel, spa, tourist souvenir shop, etc.
- Wholesalers: Cosmetic shop wholesaler, consumer products megastore, distribution center, etc.
- Distributor: Dealers of relatively bigger operational scales and who distribute comprehensive variety of products across Thailand.
Ventures into overseas export markets are prudently strategized following in-depth market analysis and the Company went to substantial lengths to launch our household brands internationally. Export partners or potential business partners are generally divided into 3 groups: Sole Distributor, Distributor and Joint Venture Partner. Presently, KARMART has successfully secured 16distributorships in overseas markets which are Singapore, Cambodia, Vietnam, Myanmar, China, Laos, Indonesia, the Philippines, United Arab Emirates, Malaysia, Taiwan, Iraq, United State of America, Hong Kong, Russia and India, while establishing joint venture in Vietnam.
Social Media is currently the most important communication tool predisposing consumers’ buying behavior, and KARMART penetrates this channel with invasive marketing efforts comprising delivery of extensive product information across the internet , thus allowing consumers to shop with utmost convenience anywhere at any time via E-commerce platforms. The company designs and builds the online sales channels upon critical founding aspects of offering prompt responses to meet customer needs, building and preserving positive relationships with customers as well as increasing brand loyalty.
There are 3 types of online channels which have been established presently:
- KARMART Online Store: www.karmarts.com
- Social Commerce:
- LINE Official Account: @karmart and @karmarts_onlineshop
- Facebook and Instagram Official Account: karmartsclub
- Facebook and Instagram Account of other KARMART’S house brands
- Electronic Marketplace: Lazada, Shopee, Konvy, ShopAT24, JD Central, Buzzebees, etc.
Moreover, the Company plans to enhance the online sales channel with the development of Mobile Application that provides seamless buying experiences for consumers and better reach out to target customers, as well as the implementation of CRM system to build strong Customer Loyalty.