Brand-new territory

The Ariul, Mediheal, Torriden and Olive Young PB Brands cosmetics and healthcare brands have a few things in common. For starters, they all share a commitment to quality and enjoy the respect of their markets. Additionally, they all fall under the umbrella of Asia Kudos Worldwide Group (AKWG), a Hong Kong-based integrated brand management company.

AKWG’s diverse portfolio is the enviable result of the company’s tireless advertising, pricing and market research abilities. The firm itself, however, is the brainchild of Managing Director Andy Wong, who traded a career as a strategic consultant for the world of brand management in 2005. Even from the start, Wong says he was determined to take a different approach.

“Some distributors just buy and sell and try to make a profit in between,” he tells The CEO Magazine. “That’s not for us.”

The AKWG difference, he says, is deceptively simple.

“We treat the brand as our own, which is rare in the market. And we do it very sincerely.”

This style of assumed ownership means the AKWG team is forced to think from the brand’s perspective, an area where, in Wong’s belief, other brand management companies fall short.

“A lot of firms listen to the principal 100 percent of the time,” he explains. “We take a few more steps: we’ll break it down and tell them why we’re doing something, or why we don’t want to do something.

“We’ll feed them the correct information, the right data, insights and show them the hows and whys of doing business in Asia.”

Diversifying

The approach has paid great dividends for AKWG, which has surged since COVID-19.

“It was a chance to prove to the market we’re reliable suppliers,” Wong says. “We’ve done well enough that we’ve diversified from beauty, which has been our focus for the past decades, to personal care and even fashion.”

In recent years much of the firm’s diversification has been focused around South Korea. Even more has been in reaction to what Wong says the market wants.

“You’ve got to act quickly. The market, trends and demand changes so rapidly. You have to understand what the trends are and where the demands are, then you need adopt changes and fill in the missing gaps rather than continuing to focus on declining products and market segments,” he points out.

Wong’s refreshing take on brand management – rather than distribution – has put AKWG in hot demand for brands wishing to enter the Asian market. He says that aside from the AKWG touch, the company’s in-house data analytics capabilities are helping to attract business.

“Data says everything, and the figures don’t lie,” he says. “We’ve spent a lot on building our data infrastructure and it’s allowed us to respond to the market in such a timely manner.”

However, Wong admits the beauty industry in particular is a place where vibes still carry a certain value.

“I travel the world; I see what’s going on. I see potential, something that might work, something that won’t. Yes, the data is solid, but a gut feeling, however faint, shouldn’t entirely be ignored,” he asserts.

A blend of hard numbers and gut feelings has helped Wong build AKWG’s strong team.

“Hiring the right people is pretty much the biggest challenge. And once you take them on, you have to give them the right role and max out their capabilities. So far, so good,” he adds.

Back to nature

It’s also helped Wong peer into his industry’s future and make decisions on where to go next.

“The future of beauty is tech and AI-powered at-home treatment,” he predicts. “That’s my vision. It may take a few years, but there’s so much potential in recreating the beauty clinic experience at home, and I’m working with brands capable of doing so.”

The beauty industry has also responded in no small way to clean, green consumer sentiment.

“People are going back to nature for premium ingredients,” Wong says. “They’re paying much more attention to personal health what they eat, what they use – than even 10 years ago. It’s more than a trend; it’s the main direction going forward.”

Many of the brands in the AKWG stable are long-term relationships and have been there as fads have come and gone, as so often happens in beauty.

“With some of our brands, it gets more to the level of being a regional partner,” Wong reveals. “Word of mouth then does a lot for us, and credentialed friends and partners of those brands will approach us with an interest in working together. They want to improve and they can see how we could make things better for them. I’m very proud of that.”

That’s not to say AKWG is passive. The Asia–Pacific region is diverse, and the brands that exist within it are even more so. Despite the size and scope, there’s only so much room and Wong says it’s very much a case of survival of the fittest.

“I’m always looking for new opportunities to work with. There are new brands emerging every day. New tech, new ideas, everything,” he says.

“I want to select the best concept and products, bring them to the market, and then build everything together. That’s how you build a superb relationship not only with the brand owners but the consumers as well.”

It is, he adds, a matter of belief on both ends of the business.

“We build strong and solid relationships built on trust, and we do trust each other,” Wong concludes.

“In the end, the consumer needs to be sent a clear message that they can get a high-quality and good product from us. That’s ultimately what we’re working toward, and that’s why representing the right product is essential.”