Laksala records growth of 67% in Q1 2014 with tourism boom

Tuesday, 3 June 2014 01:47 - - {{hitsCtrl.values.hits}}

Laksala continues to remain the leading gift and souvenir boutique chain in Sri Lanka in its chosen segment. It covers a large geographic expanse of the country both for its supply base of 8,000 craft entrepreneurs and its marketing reach with 13 well-designed showrooms maintained at an international level to improve the overall experience of customers. “Currently we are at a 67% growth rate and our profits are increasing by the year. Compared to revenue of Rs. 147.8 million Q1 in 2013, Laksala

recorded an increase in revenue to Rs 246.7 million in Q1 2014.” Laksala Chairman and CEO Anil Koswatte said that the results were noteworthy and recorded impressive growth. He stated that timely initiatives to expand the customer base, both local and tourist, introducing new and value added products and lean and cost saving projects paved the way for Laksala to report this growth. “The target for 2014 is to achieve revenue of Rs. 1 billion, which we are confident we can achieve parallel to the growth of the tourism industry, which has a target of over 1.5 million tourists in 2014. The target is to attract at least 65% of tourists to stopover at Laksala showrooms.” With the major portion of sales revenue coming in from sales to tourists, Laksala is an indirect exporter contributing towards the export revenue of the country’s economy. Laksala acts as an export trading company to a large number of small and medium scale craft entrepreneurs. The Laksala landmark store – Laksala Museum Gallery Café – which was declared opened recently attracts many tourists, as well high-end local clients. “This idea was initiated by Economic Development Minister Basil Rajapaksa as a part of his enthusiasm and activities to boost the tourism industry. We continue to look at a brighter future under the Ministry’s Divi Neguma National program as well,” stated Koswatte, commenting on the newly-opened flagship store. The quality of the products has been upgraded and greater attention is continually paid to this aspect. The product portfolio has reached more than 30,000 products and customers now have a better choice in their selection. Laksala has repositioned the business to attract the attention and goodwill of the customers, both local and foreign.