SPLASH Corp. continued to strongly grow its revenues from Philippine operations with domestic sales of its personal-care products increasing by 7 percent, and sales of food, mainly due to its Barrio Fiesta products, rising by 6 percent, in the first semester of this year.
Splash said in a statement its eponymous brand in homegrown personal care continues to outpace the sales growth of the industry as a whole, growing almost four times faster than the industry, which saw a flat 2-percent growth. “The strong Philippine performance of our two major product families validates the strategies we have put in place for Splash: focus on innovation, research and development; aggressive marketing from our deep understanding of the Philippine consumer; and efficient backroom processes like manufacturing and distribution,” Splash President and COO Vicci Tomas said.
The revenue growth in the Philippines was tempered by the decline in revenue from direct sales, after Splash changed its business model early this year. The successful transformation of the business model has resulted in wider coverage and lower costs for Splash’s direct sales business.
The revenue growth in personal care was driven mostly by the introduction of innovative new products in the Philippine market that gained quick acceptance from consumers. Introduced in January, Maxi-Peel Zero, an exfoliant that uniquely removes dead skin cells without causing redness or peeling, has zoomed to become the largest selling product of Splash.
Driven by a dynamic television campaign and strong word-of-mouth endorsements from satisfied users, sales growth was phenomenal, such that the product sold four times more than originally forecast.
Other new products that quickly captured market share and contributed to the strong revenue growth were Flawlessly U Kojic-Gluta Soap and Vitress Hair Freshener, the first-ever hair freshener product in the Philippine market. Other Splash flagship personal-care products like SkinWhite skin-whitening lotions and soaps, and Kolours hair coloring also performed well.
For food, domestic growth came from the introduction of new product lines like Gourmet Patis, Barrio Fiesta Sweet Chili Bagoong and Spicy Gata with Garlic Bits. The growth in food sales in the international market resulted from Splash’s regaining its strong foothold in the United States.