Havaianas posts 20% growth despite recall

CEBU, Philippines – Despite the recent recall of some Havaianas for kids’ flipflop category in the Philippines, the credibility of the brand remains in the Visayas with sales increasing by 20 percent during the months of March and April this year.

“There was a time that the sales of Havaianas brand in our area slowed down because of the issue, but after we made information campaign in educating the consumers of the real issue, the sales has immediately bounced back,” said Aimil G. Sarmiento managing director of Amizade Marketing Inc.

Amizade Marketing Inc., is the exclusive distributor of the product for Central and Eastern Visayas areas.

She said because the brand has made its strong reputation in the Philippines, including those in the provincial areas, the “pullout” of some kids’ flipflop products in March of this year, has not made lingering impact on the sales.

Havaianas Philippines recalled and made a voluntary pullout the said products from the stores here in Philippines after some batches of Havaianas “For Kids” have been recalled in the United States.

Although the products sold here are of a different batch from those recalled in the US, which is said to have a high level of lead in the slippers, they still made a voluntary pullout, so that the Department of Trade and Industry can test them for lead content.

This Brazilian-brand has pioneered the trend of flip-flop casual footwear in the Philippines. It has significantly, made a big hit in the country, including Cebu, and other neighboring provinces despite its high cost component, because of the tropical environment.

Sarmiento’s partner Leanne Tonnette M. Florendo said in an interview with The Freeman yesterday said that the recent led content issue for some of its product lines, has not really made a big impact, instead, what threatens the brand’s sustaining high consumer take-up is the existence of imitations, and availability of the same products sourced via parallel importation.

Since the company has made a “voluntary” pullout and even asked the assistance from the DTI, Sarmiento said the market has been able to wipe out the impression or “misconception” that the entire brand was facing health-threatening problems.

“The brand has been in existence for over 40 years now. It has been a proven brand worldwide,” Florendo said.

Although there was a slight effect of the on their sales in the next few days after the issue, “it has died down right away, because in the first place the recall was voluntary in our part and it was Havaianas Philippines’ initiative and we just sought help from DTI,” Florendo reiterated.

Florendo dismissed impression that the highly publicized chemical contamination issue on some Havaianas products, may have been orchestrated by competitors saying “nobody’s doing it on purpose.”

To date, there are 17 Havaianas retailers in Central and Eastern Visayas. Florendo said the company is still increasing and expanding its retail network in the area to take advantage of the good market reception.

 In fact, the company disposed over 2,000 pairs of flip-flops during the last “Make Your Own Havaianas” event held late last year at Northwing SM Cebu. —Ehda M. Dagooc