COLGATE-PALMOLIVE Philippines Inc., maker of leading toothpaste brand Colgate, is aiming for a double-digit growth in revenues this year amid an expected increase in disposable income due to the May elections and the robust strong economic growth driven by domestic consumption.
“We have been in the country for 90 years. Our aim is to get double-digit growth. We thank the Filipino consumers,” Stephen Lau, vice president and general manager of Colgate-Palmolive, Lau told reporters after signing an agreement with Operation Smile and Puregold on Monday.
Without disclosing revenue figures, Lau said earnings growth this year will be driven by increased consumer spending boosted by the elections.
“The Philippine market, I think, continues to grow on a high single-digit [rate]in oral care and personal care. This year, I believe, will be even better because historically and interestingly, when election years come, people have more disposable income to buy rice, things they need, food and they also buy personal care products,” Lau said.
“When election time comes, the personal care category grows as much as 15 percent,” he noted.
Lau cited an AGB Nielsen report showing that the company has 60 percent of the local toothpaste market and 27 percent of the shampoo market in the country.
Lau mentioned that with the booming Philippine economy, the group is looking at reinstating a manufacturing facility again in the country, depending on how the next administration delivers.
“With a new president, I hope the infrastructure and everything can be better. People will have more jobs… You have a lot of things to consider, but it’s possible [to build a new facility again],” Lau said.
It can be recalled that the company sold its 3.6-hectare manufacturing facility in Rockwell to Rockwell Land Corp., which is now being converted into the fifth and final tower of Proscenium Residences.
Colgate-Palmolive, Operation Smile and Puregold Price Club Inc. on Monday signed a memorandum of agreement (MOA) that will donate a percentage of Colgate-Palmolive’s product sales to Operation Smile to provide financial help for children with cleft palate who need an operation.
Under the MOA, a portion of Colgate sales will be donated to Operation Smile only if these are bought in Puregold stores. Operation Smile’s Roberto Manzano said the amount to be donated has yet to be determined.
Lau said the company hopes to ease at least one percent of the 5,000 cleft palate cases yearly in the country in its first year of partnership with Operation Smile.