UNI-SQUARE

UNIVA AWARDS 2023 Company of the Year
Naturally Plus Malaysia's breakthrough

Appearing in the June issue of UNI-SQUARE is Naturally Plus Malaysia (NPMY), which won Company of the Year at the UNIVA AWARDS 2023. The reason why NPMY was awarded is that it achieved sales targets and increased profits. In recent years, the business environment has become more severe due to soaring costs of all kinds such as raw materials, transportation, and labor costs, and you may be wondering "how did you achieve your goals?" We asked Mr. Kazuki Iwasa, Managing Director of Naturally Plus Southeast Asia, about the secret.

Congratulations to Mr./Ms. of NPMY on winning this award!


Total sales of 2,768,470,000 yen! The secret to achieving goals lies in "recognition"

NPMY's total sales in 2023 were 2,768.47 million yen, achieving 103.2% year-on-year. The results of the activities of the members are reflected in the numbers. There are 93 new spirit achievers and 6 new CFC achievers, the most difficult title, three times the number from last year. In addition, 882 people participated in the Bali tour and 682 people participated in the "Go Go Festa" incentive tour. It was precisely the incentive tour that supported the sales.

"We were able to generate 2.18 billion yen in sales through these two campaigns, and it is an honor and the best motivation for our members to meet their quota and participate in the tour. As the circle of efforts and motivation of each and every member Mr./Ms. expanded, the number of new registrations as well as the number of title achievers increased. I'm really grateful for that."

However, it is very difficult to maintain motivation. How to keep that motivation and results for a year with just a few campaigns a year? Is there a secret plan???

"As expected, Ms. Juan, you're sharp. In fact, we hold real events about every two months. In addition to the events organized by the company, there are also events for 1,000 people organized by the hardest working groups. In fact, the main purpose of the event is to give awards."

At the event once every two months, 200 to 300 members are awarded each time!

"Being honored motivates them even more, and even if they don't get an award, they want to be on that stage next time! It motivates them. This leads to an increase in the number of new members and the development of leaders. Events are the best place to communicate directly with leaders. The stimulation of people who are working hard has led to an increase in sales."

New products developed in-house that contributed to sales

It seems that the release of the new product "WAKAKU+" also contributed greatly to sales! Please tell us about the story behind the birth of the new product.

"I don't have a big story to tell about the birth story (laughs), but I was interested in the raw materials of 'rejuvenation,' because in Malaysia in the summer all year round, women don't wear much makeup. Instead, they spend a lot of time and money on anti-aging and skincare."

In this way, NPMY's unique new product "wakaku+" was completed and released in July 2023. So far, 20,572 units have been sold, and 429 million yen has been sold. Even now, it contributes to 7~10% of total product sales. In addition, a new product is about to be launched!

"We will be releasing a new skin lightening supplement this June, which will be unveiled at the biggest event of the year, 'My Kizuna,' and will be available the next day. This is also a unique product of NPMY developed in Malaysia. Skin whitening is also very much in demand. Our competitors were selling very well with similar products, and we decided to develop them because of requests from our members."

Mr. Iwasa says that the voices of members are indispensable for planning new products. The key to increasing sales and profits was close communication with the members.

48 employees behind a 146.4% year-on-year increase in profits

NPMY's profit was 303.59 million yen, up 46.4% from the previous year. We asked him about the measures that have achieved this number.

"There are two measures. The first is the increase in the selling price of products. As a result of raising the price by about 158 yen per product, it led to an increase in sales of approximately 27.3 million yen. However, the price of raw materials and transportation costs are also rising, so if we do not raise prices, we will be in the red. We will need to raise prices in the future, but to be honest, it will not contribute significantly to the expansion of profits. Therefore, another measure is the bonus cap, which has been in place since 2020. In other words, it is a measure to set a maximum bonus amount and reduce payouts. Prior to the implementation, we were in the red in months when bonus payouts were 60-70%, but in FY2023, we maintained the payout rate at 42.9%, which led to an increase in profits."

However, this measure should be repulsed by top members. Besides, isn't the risk of switching to another company greater for top members?

"You're right. It's true that NP's bonus system isn't superior compared to other companies. So, what can leaders and members do to prevent them from switching to other companies? The answer is simple. I think it's about making them continue to be fans of NPMY and their products. The only thing we can do to achieve this is to listen carefully to the voices of our members and continue to respond sincerely to their voices. NPMY's 48 employees understand the importance of this and carefully practice communication with our members. I think that led to sales as a result. It's all thanks to the hard work of all our employees."

It is because of the relationship of trust that has been built up between the company and the members that they have shown their understanding of the implementation of the bonus cap.

"NPMY aims to be a company that will last for 100 years, and all of our employees worked together to patiently convey that these measures are necessary for that purpose. By gaining the understanding of all leaders, our thoughts are permeated by our members. I'm really grateful for that."

10 years later, a 10 billion yen company

We would also like to hear your projections for the future of NPMY.

"Malaysia is aging, and the demand for health awareness and disease prevention is increasing year by year. In addition, consumers are increasingly interested not only in the quality of "inpotent drugs" and "additive-free," but also in environmental considerations. I think it is very important to keep an eye on this kind of domestic demand in Malaysia."

We can expect a lot of things this year as well. Where does NPMY rank in Malaysia's MLM market? Haven't you risen quite a bit this year?

"That's why the overall market is doing well, so other companies' sales are also up, and NPMY is currently in the top 29. My immediate goal is to get into the top 10. In 5 years, we will achieve sales of 5 billion yen in Southeast Asia and 10 billion yen in 10 years!"

What do you need to do to achieve this goal?

"Again, I think it's about how well we can meet the needs of members. Understanding consumer interests and changes comes first, followed by raw material sourcing and product development. Also, the Malaysian government regulates the activities of MLM companies and introduces laws and regulations for consumer protection. There is also a growing need to become a reliable company that consumers can trust to make decisions. I would like to continue to work closely with our 48 employees to maintain close communication with our members and focus on developing new top leaders."

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