Berger Paints Jamaica Limited (BPJL) plans to forge more partnerships to further grow its presence in the automotive sector, following a 30 per cent increase in sales in that market segment last year.
The strategy is one of several by Berger aimed at offsetting the fallout in revenues caused by the reduction in housing starts and tourism projects amid the coronavirus pandemic.
In its 2020 annual report, the company said it also introduced updated digital tinting and shaker systems to add value. to its automotive dealer locations.
“This will not only add value to our direct customers but enhance the consumers’ service experience, giving them limitless options in terms of applications and colours,” the company said.
Despite what it said was a “significant” 30 per cent increase in revenues in its Automative Channel, Berger said its “appetite for stronger growth in this channel remains unsatisfied.
“We continue to work with key automotive dealerships towards developing a partnership and creation of the first eco-friendly service centre,” Berger said, adding “We were able to create new partnerships with dealers throughout the island to add to our existing automotive dealer network.”
Berger Paints Jamaica Limited is a member of the Ansa McAL Group of Companies which operates across 10 sectors offering a diversified range of products and services.
The company opened its Colour Shop in November 2020 aimed at complementing and enhancing sales and service delivery from existing partner outlets that carry Berger products.
A decline in housing starts due to reduced government spending amid the pandemic was among the major challenges faced by Berger in 2020, according to the annual report.
Against that background, the company continued to look for creative means of maintaining revenue streams but there were additional challenges in raw material supply and inclement weather.
Berger achieved net revenues of $2.37 billion in 2020 compared to $2.5 billion for the prior year ended December 31, 2019, or a six per cent decrease.
Total assets decreased by $495.42 million or 21 per cent moving from $2.32 billion for the year ended December 31, 2019 to $1.83 billion as at December 31, 2020 primarily due to decreases in inventories and cash and bank balances.
Berger said that while the COVID-19 pandemic has disrupted the lives of persons globally, as vaccines become more accessible and available, it brings with it a sense of renewed hope that “the worst will soon be behind us.”
-Caribbean Business Report.