NEXT 3-YEAR BUSINESS PLAN
The Board of Directors have identified the following key strategic plans to achieve organic growth.
(1) Direct Sourcing of Raw and Packaging Materials
SDMeah FZ LLC have built good business relationship with the suppliers of raw materials (such as milk powder, palm olein) and packaging materials (such as plastic jerry cans, tin containers, cartons, labels) via our Malaysia’s main Company, Eezdee Intrade Sdn. Bhd. and has established mutual business networking with all of our Customers within the Middle East Region and Africa Region.
(2) Developing Own In-House Products Brands
The Directors and Management recognises the risk of revenue loss from customers who are packing their own brands of products. These customers are very price sensitive and may easily switch to other suppliers who can offer them at a lower price.
To secure a more constant revenue stream and ensure a sustainable growth, we have been designing and developing our own brands for the Palm Olein and Dairy products. Our brands, i.e. ROYAL CHEF, TAZA, AEWA, CROWN, ADMIRAL, TWO SPOON, AMERICA GARDEN and NUTRIMEX (as shown below), have been gaining increased market acceptance and sales. Our own brands are registered trademarks where its intellectual property is adequately protected.
We are adopting the following marketing strategies to promote our own brands:
- For existing customers who already have their own good selling brands, we offer them the same product quality with their existing products but at a discounted price to induce a change in their buying behaviour. The strategy is to leverage on their existing strong distribution and selling network to promote our products.
- For new customers or new markets, we are positioning products with our own brands in the middle class consumer market segment. We differentiate our own brand products with better quality ingredients and packaging design.
- We shall fully explore and utilise the available government grants, subsidies, incentives and financial assistance and subsidies to explore new markets for our own brand products.
We foresee our own brand products and market development shall contribute to an annual 5% to 10% increase in our total revenue and net profits.
(3) Introducing New Products and New Markets
Our 3-year business development plan also includes marketing and selling other consumer products with better profit margins. Our business strategy is to utilise our existing network of customers and work strategically with them to introduce good quality Malaysia products to our existing and new customers.
The products that have been identified in our pipeline are as follow:
- Coconut milk powder, coconut oil and other coconut related foodstuffs;
- Concentrated drinks and Ready-to-drinks;
- Healthy soft oil;
- Instant packed coffee;
- Cocoa powder and baking powder;
- Cereals and health food; and
- Canned and prepared foodstuffs
We foresee this new business development will bring about annual 5% to 10% increase in our total revenue.