“Monopoly at its Best“
Town Ray Holdings Limited (“Town Ray”) proves its head is in the game as the market leader in electrothermic household appliance manufacturing.
Town Ray is a leading developer, industrial designer, manufacturer, and supplier for a broad range of mid-to-high-end electrothermic household appliances spanning categories such as garment care, coffee machines, cooking appliances, and baby food makers. Town Ray’s one-stop solutions comprise product design, engineering, research and development (R&D), and manufacturing.
As a market leader in the electrothermic household appliance manufacturing industry, Town Ray’s strong commitment to staying one step ahead of evolving market demands has enabled it to persistently meet market drivers and opportunities while coping with various challenges and threats. In doing so, the manufacturer never rests on its laurels and continuously strengthens every stratum of its operations as well as core competencies to outperform repeatedly.
According to the Guang Dong Household Electrical Appliances Trade Association, Town Ray ranks top 3 in terms of production scale, sales volume, and market share within the coffee machine sector across the province. With an optimum cost performance index and solid customer feedback, Town Ray has essentially played a significant role in shifting the monopolized production of coffee machines from manufacturers in Europe to those in Hong Kong.
In fact, over time Town Ray has managed to secure a reputable roster of clients consisting of global brands, with over 85% of them headquartered in Europe. The company largely attributes its success to its unbeatable expertise in products and markets, diversified product offering, cutting-edge design, strong R&D capabilities, stringent quality control, and comprehensive after-sales service that is increasingly reliable.
To bolster such an impact, Town Ray stresses the importance of collaboration, applying its Triple Helix Innovation theory that effectively fuses propositions from all levels of the company, its consultants, and customers in order to maximize product value, capture market trends, and validate various operational parameters. This creates a winning culture that encourages openness and transparency as all the relevant stakeholders work towards a common goal.
These efforts have unequivocally paid off. Though the business was limited to ODM on electric irons in 2005, it entered the cooking appliances market by 2006. By 2017, the manufacturer had launched 3 generations of fully automatic coffee machines alongside securing multiple patents for core brewing, steaming, and water filling technologies. It was subsequently listed on the Hong Kong Stock Exchange in 2019 prior to establishing a new R&D center in Hong Kong.
Aside from being ISO9001:2015 certified, Town Ray’s testing laboratory has also been accredited as a Stage 1 testing facility by TÜV Rheinland and DEKRA Certification B.V.. Furthermore, the manufacturer has garnered countless accolades throughout the years. Amongst them include being a constituent stock of the MSCI Hong Kong Micro Cap Index, and being acknowledged repeatedly by Forbes Asia under its 200 Best Under A Billion list.
Scaling a company further is always contingent on adapting to evolving changes, and Town Ray has done just that through ascertaining compliance with its corporate governance policies, implementing a 3-year strategic plan to achieve a production capacity target across all areas, and integrating various digital transformation initiatives, such as the use of a Manufacturing Executive System (MES), Internet of Things (IoT), and Robotic Process Automation (RPA).
It stands to reason that Town Ray recognizes excellent corporate governance as a crucial cornerstone of its business. Designed to set the seal on business transparency and accountability, its governance policies are strictly abided by in line with customary legislations and regulations as well as its goals and strategies. This thus elicits robust and effective decision-making and acts as the first line of defense against any corporate interference.
Happy employees directly correspond to greater success, and Town Ray recognizes this by applying a holistic approach to nurture talent and maximize potential. To advocate its employees to become true ambassadors of the company, a supportive and transparent work environment is coupled with employee experience and engagement policies centered upon purpose, enablement, autonomy, reward, and leadership.
Complementing these policies are comprehensive learning and development (“L&D”) programs that ensure mutual growth in alignment with the company’s goal to move toward smart manufacturing. Town Ray spotlights a shared vision, team learning, mental model, personal mastery, and system thinking across its L&D programs, and the effectiveness of these programs is consistently measured against industry standards to be further optimized.
In tackling its biggest challenges for the next 5 years, Town Ray has narrowed down core directions that involve addressing the gap in skilled labour through human development, incentives, and automation, skewing towards automated manufacturing, diversifying the supply of materials due to costs and scarcity, investing in data-driven business tools to remain competitive, and developing economically and environmentally sustainable business practices.
Business aside, the manufacturer equally steps up to the plate with regard to sustainability and its surrounding communities. Besides developing the local industry through its R&D center and striving to create a green business throughout, Town Ray supports philanthropic projects through its TUNBOW Charity Foundation via monetary aid, product donation, services, and employee participation. It also promotes employment opportunities within local universities.
Town Ray has come a long way to prove that it certainly has skin in the game, and winning the prestigious honour as ACES Industry Champions of the Year further solidifies its stature as a trustworthy industrialist within a crowded and saturated marketplace. In making headway for future growth, Town Ray promises to ceaselessly build upon both its tangible and intangible core competitive strengths in order to continue dominating the market and make its presence known.
“It is a near impossible feat to be able to monopolize a manufacturing stream, let alone when it involves another continent, and Town Ray has done just that through sheer diligence and sound best practices. The way in which the manufacturer has eliminated meaningful competition and consistently makes headway for future growth is exceptional.”
Shanggari Balakrishnan, Chief Executive Officer, MORS Group
“Despite being the market leader in the electrothermic household appliance manufacturing industry, Town Ray remains fluid and innovative to be able to change tack when existing competitive advantages no longer remain. The presumption of stability results in wrong reflexes, and the manufacturer has successfully stayed out of that trap.”
Dr. Jayanthi Desan, Lead Jury, ACES Awards