Yanhee Hospital to introduce skincare products
- June 14, 2012
Published: 13/06/2012 at 07:49 AM
Bangkok Post / Newspaper section: Business
Yanhee Hospital will invest 500 million baht in three new plants in the Bang Bua Thong area to produce generic drugs and facial and skincare products during the 2012-16 period.
Ya-in Thai Co, the hospital’s subsidiary, is responsible for the investment, and some of the output will be supplied to Asean.
“There will be a lot of opportunities when the Asean Economic Community takes place in 2015,” said managing director Supot Sumritvanitcha. “We will start exporting our facial and skincare products to neighbouring countries like Laos, Myanmar and Cambodia first.”
Demand for facial and skincare products is strong in Thailand and nearby countries, especially among teenagers concerned about their looks. They will have to deal with acne and other skin problems because of hormonal changes.
Moreover, the Yanhee Hospital name has been recognised locally and abroad as a specialist in beauty treatment for two decades.
Ahead of the export plan, Yanhee yesterday brought its facial and skincare products into modern trade for the first time in a decade.
The first two products are whitening and acne creams. They will be sold at 7-Eleven and Family Mart convenience stores and Watsons stores, as well as in sales catalogues like 7 Extra.
Yain Thai Co began producing facial and skincare products for internal use and selling to drugstores in 2000. Last year, its products were sold online to test the wider market and got a good response. “We aim to generate retail sales from the two Yanhee products of about 50 million baht by the end of this year,” said Dr Supot.
Next year, sunscreen will be the third product line for modern trade, followed by food supplements. Retail sales in 2013 are expected at 80-100 million baht.
Dr Supot said Yanhee products have competitive prices because they don’t need massive marketing budgets to build the brand image.Moreover, research and development expense is not high because Ya-in Thai Co can share the R&D lab and researchers with the hospital.
Yanhee expects revenue to reach 1.2 billion baht this year, up 10% from last year, of which 30% of the total will come from the beauty business.