ROX Asia Consultancy is a sourcing, printing and packaging consultancy based in Hong Kong. Christian Rommel's firm was among three small and medium-sized enterprises singled out to receive the inaugural Success Story Award from the Federation of Hong Kong Business Association last October. The company's impressive international clientele includes Audi, Merck, Zwilling and Deutsche Bank. In "Six Questions," he tells us why the "future is bright."
How did you get into the packaging business?
I'm a printing and packaging engineer by profession. Everything sold on the market needs reliable packaging. But our focus has always been on the design element, with premium packaging for branded goods. Of course, the company didn't start out packaging for high-end products. Our first project was quality control for a Swiss chocolate tin box.
How has the economic downturn affected your business?
Whatever we do relates to the spending power of consumers. If our clients don't sell, we don't sell. We had already seen a 25 per cent drop in business even before the start of the financial tsunami, so it will continue. Meantime, we have seen a tightening in payment terms from our mainland suppliers. They won't start a project unless there's a deposit ?in cash. But we don't complain.
Since setting up your business, you have seen your fair share of crises: SARS, the Asian financial crisis, 9/11. What is your advice to SMEs during the current economic instability?
Be prepared to work even harder, but also find a work-life balance. It is important to believe in yourself and stay focused. If you can identify with your work, clients will feel it, and that builds trust.
Has the green trend affected your business?
Not really. For daily consumption items, there certainly has been the trend toward more economical, environmentally friendly products. But for branded goods, environmental packaging is not an issue. For the value-added packaging that ROX focuses on, we use a mix of materials designed to last and meant as a keepsake.
Why Hong Kong?
The key here is to set yourself apart. People have said, 'why Hong Kong? It's expensive.' But we're not competing with the thousands of mass-packaging businesses on the Chinese mainland, where products are offered cheaply. The clientele we aim for is not interested in ready-made packaging. What they want are tailor-made, high-quality products to promote their brands. To deliver that, you need to be based in a place that has the infrastructure, the creative agencies and the variety of specialty shops with the materials to provide for that. Hong Kong does all that. Another reason for being here is that I find the city's entrepreneurial spirit very motivating.
What is your plan for riding out the current economic storm?
We will identify new areas of business by approaching clients directly. We will also invest in sales staff who are knowledgeable about China and the region, and who are able to market China as the best alternative to do their business. The future is bright and we never look back.
