- Washing Machine
- Purifier Water
- Vacuum cleaner
The concept of direct sales (door to door), personal services and the proximity of the relationship with the customer are specific values of Lux Asia Pacific, and moreover proper to Vorwerk Group.
Vorwerk & Co is a private German company, which owns several businesses about high quality products and services around the house.
With the motto “Our best for your family”, the Vorwerk group has in 2009 annual sales of more than 1 billion USD with a manpower of 23 000 employees and 540 000 partners around the world in more than 60 countries. It makes the Vorwerk group the biggest direct sales company for high quality home items.
At the beginning, in 1883, Vorwerk was a carpet factory, which introduced year by year the direct sales concept and diversified its activity with a vacuum cleaner: the Kobold. And then, the firm developed several electrical appliances (Thermomix, washing machine) in abroad countries like Italy or France and finally conquered the Asian market.
Today, the headquarter is in Wuppertal, Germany and the main businesses of Vorwerk group are:
- Direct sales
- Vaccum Cleaner, Kolbod
- Multifunctional kitchen appliance, Thermomix
- Ironing system, Feelina
- Cosmetic products, Jafra Cosmetics
- Household appliance, Lux Asia Pasific
- Vorwerk Carpets
- Infrastructural building services, Hectas Facility Services
- Leasing and financing of investment goods, fleet management, akf Group
Lux Asia pacific joined the group in 2001. To resume, Lux Asia Pacific is a part of Vorwerk group and the company where I am working is Luxindo Raya, the Indonesian part of Lux Asia Pacific.
The activity of Lux Asia Pacific is the direct sales of household appliances in Asia. The Headquarter is in Singapore and the sales are focused in 5 countries:
- Japan, with Worwerk Lux Japan Ltd
- Taïwan, with Lux Far East Ltd
- Vietnam, with Lux Vietnam C. Ltd
- Thailand, with Lux Royal CO. Ltd
- Indonesia, with Pt. Luxindo Raya
There are also partners, suppliers, factories and distributors in China, Malaysia, Philippines, South Korea, Australia and of course in Germany.
The 3 main products sold are
- Washing machine
- Purifier water
- Vacuum cleaner
First, Lux AB was created in 1901 by a Swedish entrepreneur and used the direct selling with the method of home demonstration for vacuum cleaner. That was really successful so in 1919, Lux AB merged with Elektromechanista AB to form Elektrolux. They have conquered year by year the Asian market: Singapore in 1970, Japan in 1975, Taiwan in 1978, Indonesia in 1979, Thailand in 1983 and Vietnam in 2001. In 1991, Elektrolux came back to the original name, Lux, to form Lux Asia Pacific, which headquarter is in Singapore. Its motto, “Lux For Life”.
Pt. Luxindo Raya
Luxindo Raya is the Indonesian part of Lux Asia Pacific. The head office is in Jakarta and today there are 53 branches in most of the important islands in Indonesia. The main goal of Luxindo Raya is selling high quality products joined by high quality services. That’s why one of its new projects is the launching of a new product in Indonesia: the high-pressure cleaner. This product is has already been tested in Kalimantan, a branch in the island of Kalibata.
Luxindo Raya proposes to its customers facility credit, routine service, consumables, contract services for warranty extension. That’s the point how the company succeeds to be competitor: with the services. Compared to the super/hyper market sector like Carrefour (well-implanted in Indonesia), the customers have a really close relationship with the staff and the quality of a German product.
To optimize the work and the processes, two years ago, Luxindo Raya restructured its Department for Collection of credits to customers and its Service Department. To centralize activities, both jobs were grouped to form one. The purpose is to be more focused on the customer with a close relationship and to reduce high cost of labor.
But as many cases, when you change habits, there are always some troubles, reluctance, time to adapt and fear of change. It must be followed, that’s why I was asked to be intern in the head office in Jakarta and several branches regarding this subject. I will talk about it in more details in my next article.