With business of the company growing as per expectations in the North Eastern states in the recent years, direct selling FMCG (fast moving consumer goods) company Amway is now betting big on the region. The company targets a "double digit" growth in its business in the region in 2013 (the financial year of Amway starts from January and ends in December). The company has also unveiled its first 'Brand Experience Centre' in Guwahati recently, making it the third city in the eastern region with such experiential initiative.
"I see lots of opportunity here. The North Eastern region has high growth potential. We expect a double digit growth in our business in the region in 2013," said William S Pinckney, managing director and CEO of Amway India.
Spread over 9,500 square feet area, the Amway office in Guwahati will assess various parameters of skin and health conditions, provide personalised consultancy service to the consumers on their nutrition wellness and beauty needs and recommend health and beauty products from Amway.
Pinckney said North East was a key market for the company and the introduction of the experiential office in Guwahati is the logical step to cater to the burgeoning urban population in Guwahati and neighbouring state of Meghalaya.
The North Eastern region contributed 27 per cent of the company's total turnover in 2012. The business of Amway grew by 18 per cent in 2012 over the previous year in North Eastern states, as compared to 7 per cent nationwide during the same period.
The company is presently in the process of setting up a greenfield manufacturing plant at Nilakottai near Madurai in Tamil Nadu at an investment of Rs 500 crore. The proposed plant will cater to a $1 billion market by 2020.
When asked why does not the company put up a industrial plant in the region, given that the Centre offers various incentives to investors, Pickney told Business Standard: "It's not an easy decision to take. We have to look into lot of things if we plan to put up a plant. The infrastructure, road, power, investor confidence, etc. matter a lot for an investor to invest, not just cash incentives. I don't see North East to be ready yet, but yes, I see the region for future. It's not a criticism, but the region can offer a lot in the future."
