Amway India plans big push for its health products

Riding on its wellness products such as Nutralite, which accounts for 60 per cent of its business, Amway India Enterprises, one of India's largest direct selling fast moving consumer goods companies, is targeting a 22 per cent growth in 2010 over the Rs1,407 crore turnover it had clocked in 2009. By 2012, it hopes to touch Rs2,500 crore. The company at present offers 115 products and is planning additions.

William S Pinckney, managing director and chief executive officer, said, ''We have grown to Rs1,407 crore essentially as the quality of Amway pick-up centres have undergone a sea change and are more experiential for the consumer. The ability to place orders on the web has also led to higher productivity from distributors and our television advertising campaigns have enhanced the brand on a national scale.''

The company launched its e-commerce platform seven years ago, which it discontinued and re-launched two years ago. Sales from e-commerce account for  currently Rs14 crore per month, compared to Rs2 crore per month that it used to make from e-commerce when it was re-launched two years ago.

Among other developments, Amway had launched energy bars and drinks earlier, but discontinued the line as their limited shelf-life was a challenge. ''We have located a few local manufacturers who can pack the energy drink in cans and we are also looking at adapting global practices in making energy bars to suit Indian tastes. The energy products should be relaunched in one year,'' Pinckney added.

Amway currently has nine brand experience centres. Going forward, it plans to add another 20 over the next year and will also expand its infrastructure by setting up more Amway touch points.

Amway's lead categories - nutrition and wellness and cosmetics - contribute 60 per cent to the company's revenues. Nutrilite Protein Powder and Nutrilite Daily are both Rs100 crore brands.