By Roderick L. Abad
AMERICAN company Stanley Black & Decker is bullish on their newly launched products to contribute around 15 percent to 20 percent to sales revenue in the Philippines in the next three years, on the back of the growing hardware industry driven by enormous developments now taking place nationwide.
“You don’t even have to look at the statistics to know that construction is booming. You just go outside and look at how many cranes are going to Makati City and Fort Bonifacio in Taguig City; or how many buildings are built there. Also, with every bridge, ship or port constructed, they will need tools to be built,” Black & Decker Asia Pacific Pte. Ltd. Commercial Director Anthony Allarey recently told the BusinessMirror on the sidelines of their product presentation in Pasay City. “So, in general, I think the hardware industry is experiencing a boom right now. Unless something really bad happens, it’s going on in the next three years, at least,” he added.
The company’s new product lineups under its hand, power and mechanical tools, as well as storage solutions, include the White Series Tough Case Tape, Snap-off Knife, Laser Distance Measuring Tools (TLM99, TLM165 and TLM330), Cordless Drill Driver, Chipping Hammer, Impact Drill, Click and Connect Toolbox, and 19-Inch Metal Toolbox.
Given the country’s continued economic growth and robust fundamentals, the executive is positive that they will likely meet their business goal.
“Product vitality-wise, we’re targeting at least 15 percent to 20 percent for the Philippines,” he said. “I think, we’re probably the only country right now in Southeast Asia that’s really on track in achieving that.”
This, he said, is also due to luck because the economy is doing well, given the growth in GDP, which increased by 5.2 percent in the first half of this year, and the company’s strategic operations.
“In commercial execution, I think we’re doing a very good job of introducing the product, making sure that commercial distribution is at an optimum level. We are in the position to take advantage of the opportunity that the economy gives us now,” Allarey explained.
At present, the Philippines is the second biggest market in the region—next only to Malaysia—for Stanley Black & Decker.
“On the average, it generates a combined sales of hand and power tools of at least $20 million per year, or almost P1 billion,” according to Allarey.
The iconic brand, he noted, dominates the hand-tool segment, while gaining traction in the power tool category given its introduction to the local market in just a year.
“But you’ll see it more and more as we have a big relaunch brand next year. So, hopefully, maybe two years from now, we’re going to have a significant share in the market already,” Allarey stressed.