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NEWS UPDATES 31 August 2009

Personal care products:
Philippines’ Splash, Malaysian firm in distribution deal

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Philippines’ personal care product firm Splash Corp. said it forged an agreement with a new distributor that will fortify its market position in Malaysia, the Manila Times reported.

In a statement, the personal care products manufacturer said its wholly owned subsidiary, Splash International, signed a distributorship agreement with Carepro Marketing.

The Malaysian firm has a wide distribution coverage across a network of chain pharmacies, personal care stores, hypermarkets, supermarkets and beauty saloons in West Malaysia.

Carepro will distribute Splash’s products including two flagship brands, namely Maxipeel and SkinWhite.

Splash products are available in selected supermarkets like Mydin Hypermarket Stores in Kuala Lumpur. Splash products are initially available in 10 Mydin stores and eventually in all its 29 stores in West Malaysia.

Splash products are sold in East Malaysia, particularly in Kotah Kinabalu, the capital of Sabah. The company’s products are carried by GCH Retail (M) Sdn Bhd also known as Giant, Malaysia’s biggest retailer through another Malaysian distributor Rejoice Moments Sdn Bhd.

“We are very optimistic about our Malaysian market. Our presence in West Malaysia is a very big move in increasing our market base,” Rolando Hortaleza, Splash chairman and chief executive said.

The partnership among Splash, Rejoice Moments and Carepro enables the Philippine company to tap Southeast Asia’s burgeoning population, given its growing disposable income and strong aspiration to look and feel good.

“Our aim is to build brand equity for a strong presence in Malaysia. We want to become a strong player in the personal care industry in Asean, and Malaysia is a key component in our strategy,” Hortaleza said.

The Association of Southeast Asian Nations are scheduled to bring down tariffs on a wide swath of products starting next year in line with the Asean Free Trade Area-Common Effective Preferential Tariff (Asean-CEPT) scheme.

Splash has established market presence in over 30 countries through its distributors. These countries include Algeria, Australia, Bahrain, Canada, Egypt, Hong Kong, India, Indonesia, Iran, Japan, Jordan, Korea, Kuwait, Lebanon, Malaysia, Nigeria, Oman, Pakistan, Qatar, Saudi Arabia, Singapore, Sudan, United Arab Emirates, Vietnam and the United States.

The company began as a small family-owned enterprise, but has since listed at the Philippine Stock Exchange, and has grown to a P4.39 billion firm.


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