Sluggish sales reported from Yangon Expo 2010

Sunday, 17 January 2010 18:07 Myo Thein

Mizzima News - Despite high turnout, most visitors to Yangon Expo 2010, an annual trade fair in Burma’s former capital, bought only low-priced products, with only a few people purchasing high-end goods, according to participating companies and entrepreneurs.

"We joined this trade fair to promote our company, but it was uneconomical. We could sell only mobile phone accessories. We incurred a loss if we count the exhibition hall rental and other expenses," related a mobile phone shop owner.

"Sales from Expo 2010 were less than we expected. We joined this trade fair to promote our brand and company but few people were interested in our laptops, though we were selling them at a 10 percent discount. People bought only low-priced products such as memory sticks, webcams and other accessories, most of which cost in the tens of thousands of kyats (one dollar = 1,000 kyat). We could only advertise our company name in this fair,” explained a computer shop manager.

Similarly, well-known and large companies took part in the exhibition primarily to market their image, the profit margin from sales deemed too low.

"We joined…only to compete with our rival companies,” said a representative from a famous computer shop located on Rangoon’s Lewis Street (Seikkantha Street) of his business’ approach to domestic trade shows. “Only sales from the IT Show in November 2008 generated profit with a good volume of sales. Other shops and companies face a similar dilemma.”

Though most exhibitors incurred losses at the trade fair, some companies selling domestically made foodstuffs, cosmetics and kitchen utensils did manage to pull a profit, with the hottest items being Chinese manufactured TVs, refrigerators, DVD players and washing machines sold at a discount.

"Our company sold well here. Most people bought DVD and DEVD players at a price tag of 20,000 to 35,000 kyats. And also people bought TVs at prices varying from 50,000, to 100,000 kyats. Now we are almost out of stock of these products,” voiced an employee of an electronics company specializing in Chinese goods.

Over 90 companies exhibited products at Yangon Expo 2010, an event sponsored by Smart Business Group that ran from January 8 to 11. Rent for a stall at the fair ranged from the equivalent of 200 to 300 US dollars.