(Written by: Wong Eu Jun of DIA201204.)
Founded by a man named Yong Koon in 1885, Royal Selangor Pewter is a Malaysian pewter manufacturer-retailer which has since become the largest global brand leader in the line of pewter objects manufacturing and a prominent one in the metal craft industry. It is also recognized as a very highly celebrated Malaysian brand icon because of the success that it has gained throughout more than a century of existence. Looking at what Royal Selangor has done, it is needless to say that Royal Selangor has expanded its product range beyond mere pewter objects to a broader variety such as certain glassware and jewelry. Due to the fact that Royal Selangor made such a bold move by venturing into foreign shores, it cannot be denied that the company is bound to face a myriad of possible challenges if it were to carry on with what it is doing. In this case, having a well-planned STP strategy which allows the company to identify its intended market segment thus enabling the company to single out specific groups of buyers would be a very beneficial move. At the same time, it will also help Royal Selangor to set its target market and position its brands in which as we can see, it is already something that they have accomplished because Royal Selangor is a high-end luxury brand name in the minds of many and that the company makes pewter objects of the best quality. Therefore, on a personal level, I’d like share my insights on the STP strategy and marketing mix of Royal Selangor.
Royal Selangor has been able to divide and partition their market segment in a somewhat organized manner. From where I see this, Royal Selangor has catered to a couple of highly notable figures such as the likes of the former U.S President Bill Clinton, Hollywood actor Mel Gibson and lifestyle talk-show host Martha Stewart. Notable figures like celebrities and political icons are supposed to make up a large portion of Royal Selangor’s market segment because they likely come from the higher-income group which is why they would therefore behave in a very lavish way. In addition, the company also creates trophies for major sports events and tournaments like the Petronas Malaysian F1 Grand Prix and the Sime Darby Golf Tournament. This means that Royal Selangor already has a few clear-cut market segments which consist of notable figures, other companies or organizations that need to have pewter objects given as gifts or prizes and probably higher-income people who are likelier to have a stronger purchasing power of buying luxury goods and that is just what Royal Selangor makes; pewter objects that are categorized as luxury goods. Also, I believe that another group of buyers that are a part of Royal Selangor’s market segment would be people who want to decorate their household with pewter objects. From a personal point of view, I have been able to notice that a lot of affluent people tend to display pewter objects and glass wares in their homes for ornamental purposes because they are characterized by their desire to flaunt their status and hence, this leads me to believe that these people are also a part of the market segment of Royal Selangor.
Now, as I further on to the target market of Royal Selangor, it seems like as though there are only a couple of target markets that Royal Selangor focuses on and these target markets tend to be very niche ones. The first would be notable figures, as I’ve mentioned earlier in the market segment. These people play a very pivotal role as customers and actual buyers of Royal Selangor and its products and the strategy that Royal Selangor has come up with to satisfy their needs and wants is by creating beautiful tableware, wine accessories, jewelry and various luxury products. As we speak of this, the fact that Royal Selangor is a leading brand when it comes to pewter objects and other accessories is already an...