(MENAFN- Arab Times) Tim Parker, Chairman of Board of Directors, Samsonite along with the Kuwait store manager Ramesh Tainwala spoke exclusively to Arab Times on Thursday when Baker paid a visit to Kuwait. Parker, aged 59, is the Chairman of the Board of Directors of Samsonite International S.A. He served as Non-Executive Chairman of the Company from November 2008 until January 2009, and as Executive Chairman and Chief Executive Officer of the Company from January 2009 until September 2014. He now heads the Board.
Question: Why do you choose to come to Kuwait?
Answer: It is an interesting question. I relish to come here regularly as CEO, I have been to the Middle East for some time, went to Dubai which is also an important market. We want to look at another important market, and Kuwait is a big part of our business in the Middle East, so that's why I am here. Kuwait was the first market in which Samsonite was introduced in the whole of the region. We came to Kuwait in 1962. Way before we came to Saudi or UAE, Behbehani enterprise thought of bringing Samsonite in 1962. So we've been here for a very long time.
Q: What is your relationship with the retailers?
A: We have our partner here, the Behbehani family and we have been dealing with them since 1962. So basically the retail business we have here, the store is run by them, otherwise we deal with hypermarkets like Geants, Lulu, Carrefour, as well as department stores.
Q: You were here for the opening of this store two years ago, how is business going?
A: I must say that Kuwait has been a satisfying market for us, and we have been growing in excess of 25% year on year over the last two years. And irrespective of what is happening to the market, we have seen that our business, the travel luggage business is very resolute. Even when crude price is going down, which is a little bit soft here, we see our own business going strong. Primarily, we depend on peoples' urge to travel, and you know Kuwaitis, for every reason they are ready to go for holidays.
Q: How has tips2go helped your fortunes as a company?
A: I won't really say that directly helps our business, but travel, and more particularly the cost of traveling, if you look at the budget airlines, cost of travel globally has been reducing and trip2go is one of the other ways people find it easier to book their flights, book their hotels and go for holidays, it's much more economical you know than it was in the past. There is more travel happening in the region. Luggage has become more fun and more interesting, if you looked at all product ranges a few years ago, like many luggage companies you will see a lot of black and blue cases, now there's a lot more color, a lot more variety and I think consumers are more interested in what they are buying. .
Q: In 2013 and 2014 Samsonite was rewarded as the brand with the best carry-on luggage, what do you feel about that?
A: Well, I think you look back over the last twenty, thirty years, our company has been responsible probably for many of the biggest innovations in our industry. We were the first to put wheels on cases and I think we are very proud whenever we win an award, but we like to have all of our products winning awards.
Q: What's the newest collection?
A: If you look in this store, the current newest collection is the flower print over there. That we launched one week back, so it's the newest collection in Kuwait right now. Internationally, the white one is one of our best selling ones. It's very light, if you lift it, and at the same time it's extremely strong.
Q: Can you tell us something about your collaboration with Disney?
A: Yes, I think we have got a license which extends to many territories, very extensive relationship with Disney. But we have not been working for that long, just a few months, we are starting to build up a strong range of products. I think Disney is a fantastic brand for young people, with the expectations of luggage; we are looking at potentially millions of dollars in business, potentially.
Q: How is social media impacting your sales?
A: In many ways. I think we no longer rely on just advertising on television. Our consumer now is better informed, they want to research products, they want to talk to people about products, and they look very carefully on what people are commenting on. We are very keen to interact with our customers, and we are keen as well that obviously people have very good things to say about us. We are able to talk to them in terms of publicity. The amount of hours spent as a percentage of our total marketing spent on social media is gone up by a factor of three or four. And we do believe that going forward, the influence of social media on consumer behavior and the choices they are making is going to keep increasing because people who are born in the 1990s, live their lives on the net, they don't watch television, they don't look at newspapers, the only way they interact is through the social media. They make friends, shop and so forth on social media. Of course, there are still people like me who would come to the shop to buy things, but the younger generation lives their lives almost completely on social media. As a company, we are very much committed to make sure that we remain the market leaders even on the internet.
Q: Which country makes the most sales of your product?
A: Globally, America is till our most important market, followed by China, Korea, and India. Our businesses are very spread geographically, because, America is such a large market, and we have several brands. A quarter of our business is US. But when you look at the GCC countries, the fastest growing market is Kuwait. Kuwait is one of the best markets we have right now. That is the reason why we have invited our Chairman to come and see this market. We are proud of what our team has been achieving in Kuwait not just in terms of the sales, but more importantly in terms of the presentation of our brand.
Q: What are the sales figures like in the GCC region, and do you plan opening new showrooms anywhere in the region?
A: Our retail value for the GCC region is around a hundred million dollars. Right now we operate fifty stores in the GCC region, but on the average we add ten to twelve stores every year. In Kuwait we plan to add one more stores.
Q: How was business in Kuwait in the last year and what are your projections for 2015?
A: Last year our business grew by 25%. Our team is very confident in this year growth will be around the same figure.
Q: Do you have anything to add?
A: I think Kuwait is a jewel in our crown and a superbly run market with an exciting future where we can sell a bigger range of products.
Providing an extravagant and elegant shopping atmosphere in a prime downtown location, it is an ideal choice for Samsonite to reflect and compliment the high-end class and elegant designs of its exclusive Black Label collection of travel products. With the opening of the new Al Hamra mega-boutique, Samsonite is now present in 4 strategic locations in Kuwait that include the Al Hamra Mall, Avenues, 360 Mall and Marina Mall.
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