Operations Review
The good sales growth achieved in 2014 was
mainly propelled by higher sales in certain Asian
markets. Sales contributions increased for our
non-ointment products, particularly, Plasters,
Neck & Shoulder Rub and Mosquito Repellent
Patch. This is in line with our strategic directions
to widen the consumer franchise by offering a
broader spectrum of consumer appeals through
a wider product range. In 2014 we launched the
Tiger Balm Neck & Shoulder Rub in Australia.
The dengue threats in Singapore and Malaysia
continued unabated and we saw our Tiger Balm
Mosquito Repellent Patch sales soared.
Apart from the higher sales, earnings for the year
benefitted significantly from lower raw material
costs; the strengthening of US currency and the
upward price adjustments for some of our markets.
We faced difficulties during 2014 due to adverse
economic conditions in Europe and the decline
of Chinese tourist visits to Singapore and some
other markets, brought about by the air disasters.
We continued to build our Tiger Balm Plaster and
Tiger Balm Neck & Shoulder Rub business in
Singapore and Hong Kong with new TV campaigns
that generated awareness and promoted wider
consumer usage. We also launched a new TV
campaign in India through Medifacts Healthcare
Information Advertising using a spokesperson to
promote the benefits and uniqueness of Tiger Balm.
Having experienced the success in promoting
our products through sports and encouraging
healthy living, we continued to sponsor various
marathons and keep-fit campaigns. During the
year we participated in marathons in Germany,
France, the United Kingdom, Singapore and
Hong Kong. Our strategy is to selectively sponsor
marathons where there are mass participation
and wide publicity. In February 2014, Tiger Balm
officially appointed Dipna Lim-Prasad, Singapore’s
National sprinter as the brand ambassador for
our sub-brand Tiger Balm ACTIVE. Through our
sponsorship we did our bit for Dipna so that
she could train full-time for the 2015 South
East Asian Games (SEA Games). Similarly, we
appointed BMX rider Terry Adams as the Tiger
Balm ambassador for the United States.
Tiger Balm products being classified by most
countries’ health authorities under pharmaceutical
means our new product’s road to launch tends
to be a long-drawn one as we comply with strict
and stringent measures of each market.
We have been relentlessly taking active action to
combat counterfeits and passing off infringements
to our famous Tiger Mark in some of our markets.
We deem it critical that we protect our IP rights
for us to stay as a credible worldwide respected
brand.
Our outlook for our business in 2015 remains
cautiously optimistic as much of the difficulties we
face now seem to be unresolved. The economic and
political woes along with the latest high security
threats in many of the markets we compete in
are still looming.
In alignment with our strategic directions
to widen the consumer franchise, we offer
a broader spectrum of consumer appeals
through a wider product range.
Left:
Tiger Balm - Promoting active living through supporting marathons
Above:
2014 Tiger Balm Wellness Campaign
in Taiwan launched by Celebrity Trainer
Eddie Pan
Below & right:
Tiger Balm Ambassadors - Singapore’s National Sprinter Dipna
Lim Prasad and the professional flatland BMX Rider Terry Adams
from the United States
Healthcare
Leisure
Property
Investments
The new advertisements for the Tiger Balm Neck & Shoulder Rub
and the Tiger Balm Plaster with a modern execution
Haw Par Corporation Limited
18
annual report 2014
19
