By Patrick Avenell
SYDNEY: Philips and HWI today confirmed that their distribution agreement will extended for a further three years, with the goal for that period being a doubling of market share, and of business, from around $60m to $120m. Driving this projected growth will be a new range of home and kitchen appliances, being released on 1 October, targeted at the 800 Class range from Breville and the Café series from Sunbeam.
Although no actual clauses from the contract were revealed, Philips senior customer marketing manager Peter Bosscher confirmed that there are “always KPIs [key performance indicators] in agreements”.
Ultimately, Bosscher is looking for Philips to move clear of a large chasing pack and claim an outright third in the market. Part of this market share is expected to be taken following Braun’s department from key small appliance categories.
The competition will not all be so comfortable, however, with HWI general manager – sales, Jeremy Sargeant acknowledging that Philips must work hard to achieve these goals. He singled out one supplier especially for consideration, saying, “Sunbeam are a formidable competitor” (sic).
The attack on the market will be fuelled by a new range of home appliances and the recruitment of more staff to promote the brand.