It’s back!

For Electrolux, a major factor in its return to the Philippines in June last year was its acquisition of the White Westinghouse brand for refrigerators and washing machines.

"We had a trusted brand here and we intended to reclaim its share in the market," said president for East Asia Fredrick Ramen. "Right now, the brand is number two in terms of top of mind. We recently held a contest for the oldest working White Westinghouse and that went to the owner of a 28-year-old refrigerator in good working condition."

Prior to Electrolux, White Westinghouse refrigerators was locally manufactured by Philippine Appliances Corp. When Philacor stopped production, the market leadership for refrigerators was claimed by General Electric.

The first months back in the country were difficult.

"We had problems penetrating the market but we were able to weather that. We found ourselves slowly regaining our foothold when SARS (severe acute respiratory syndrome) struck," said Ramen. "The incident worked well for us because our products address the basics of hygiene, which we have been advocating for a long time."

Plans

Electrolux is eyeing market dominance in home appliances in the next three years, moving from annual single-digit to double-digit growth. (In its first full year ending May 2003, the company sold 30,000 to 40,000 refrigerators).

"In the next three years, we will do a step-by-step building of our distribution network, launch excellent products, and make sure that we have a growing organization that will take care of our customers needs," said Electrolux Phils. president Vichai Lorattawoult. To date, the company has more than 50 authorized service centers all over the country.

"The future for us is very bright in the Philippines. All we have to do is be both a global company and a local company. To be market leader, we must accommodate the needs of our customers, giving consideration to the local situation, and find out how to address these," said Lorattawoult.