Harnn eyes domestic, overseas growth
Harnn Global Co, the owner of Harnn natural beauty and aromatherapy products, is looking to beef up its domestic market and overseas expansion over the next three years.
Chief executive Tanapong Chirapanidchakul said under the three-year business plan that runs to 2022 the company plans to open 12 new Harnn retail stores and three Harnn spas in Thailand.
The expansion will bring the number of local retail stores and spas to 46 by 2022.
Established in 1999 as a pioneer in body care, skincare and spa products, as well as Thailand’s first organic aromatherapy brand, Harnn has expanded its business to 16 countries with over 40 branches.
By 2022, the company plans to have 45 overseas branches.
Based on these expansion plans, the company aims to have sales of 770 million baht in 2022, up from 350 million last year, said Mr Tanapong.
Harnn came under the umbrella of Tanachira Retail Corporation, the distributor of international fashion and lifestyle brands, last October in a deal worth 1 billion baht.
The acquisition was a part of Tanachira’s strategic plan to become a regional lifestyle company.
As Harnn’s sales are heavily reliant on foreign tourists, figures this year have been weaker than expected, he said. The company plans to focus more on local customers during the remainder of this year, said Mr Tanapong.
To draw in more local customers, the company allocated over 10 million baht to open its first concept store promising “the new era of Thainess” at CentralFestival Eastville last month.
This new concept store will be rolled out domestically and internationally to reflect the unique brand character of Harnn.
Mr Tanapong said after building a strong foothold in Thailand, the company wants to strengthen its overseas business in 2021.
Tanachira is the distributor of imported lifestyle products covering fashion, jewellery, accessories, holistic health care and beauty.
It also manages five international brands, comprising Pandora, Marimekko and Cath Kidston, and its own brands Tilda and Harnn.
In the first year under the Tanachira Group, Harnn has reorganised its structure to be in line with its planned business expansion. It remodelled the business by setting apart the clarity of the sub-groups of Harnn.
Thanachira Group expects total sales to shrink to 1.35 billion baht this year from 1.5 billion in 2018. Sales are projected to reach 2.2 billion baht in 2022.
‘‘ As Harnn’s sales are heavily reliant on foreign tourists, figures this year have been weaker than expected.
TANAPONG CHIRAPANIDCHAKUL
Chief executive, Harnn Global