Teddy House looks to Europe

       Local teddy-bear manufacturer and franchiser Teddy House plans to focus more on Europe through franchising, as the local market is saturated.

       Managing director Pituphum Hirunyapich yesterday said an agent had been secured in Sweden for product distribution to European retail markets.
       The company plans to open a stand-alone shop in one European country, possibly Sweden or Germany. Pituphum said Germany's strong economy and leading teddy-bear brands made it an "interesting market".
       The company has its master franchise in Vietnam and one franchisee in Indonesia.
       It will open franchises in Hong Kong this year.
       Foreign markets account for 40 per cent of sales revenue, most of that from Europe, followed by Japan, Singapore and Taiwan.
       The domestic market represents 40 per cent of revenue, while 20 per cent comes from e-commerce and original-equipment manufacturing (OEM).
       He said the revenue contribution from exports would rise once it opened its shop in Europe.
       Pituphum said sales growth for this year was targeted at 5 per cent over last year's Bt70 million.
       "We cut the sales-growth target from 10 per cent to 5 per cent after seeing a slight declined in sales of premium products through OEM," he said.
       The company has consistently posted average annual sales growth of 10 per cent in the past.
       Pituphum said Teddy House would not open any more shops in Thailand, because there were already enough to meet local demand.
       There are nine Teddy House shops in Bangkok and six upcountry. Six of these 15 are managed by franchisees, including one that opened yesterday: Teddy House Siam Square, run by actress Khemanit "Pancake" Jamikorn and actor Sukolwat "Weir" Kanaros.
       Teddy House Siam Square is also the master franchise for the Teira Zeira collection, sold both domestically and abroad.