LONDON, Dec 3, 2003 -- Taiwan based Allied Biotech Corporation has been honored with the 2003 Market Penetration Award from Frost & Sullivan. The award recognizes the recipient's exceptional performance in capturing market share within the highly concentrated and intensely competitive beta-carotene segment of the European carotenoid market.
"Allied is a relatively new entrant to the synthetic beta-carotene segment and has managed to capture market share from both the leading incumbents, DSM Nutritional Products (Roche) and BASF. Allied has done this by adopting competitive pricing and servicing strategies, which have challenged the traditional duopoly," notes Frost & Sullivan Food Research Manager Anna Ibbotson.
Despite being a relatively new entrant, the award recipient has swiftly established its position as a leading supplier of nature-identical beta-carotene to Europe. Together with Roche and BASF, Allied currently controls around 90 percent of the $138.0 million European beta-carotene market.
Allied is on course to expand its six percent share of the market at the expense of its two closest competitors. This expansion will be underpinned by the company's positioning as a viable alternative to the traditional synthetic beta-carotene duopoly of Roche and BASF and through the introduction of novel high quality beta-carotene and other carotenoids products.
Adds Ms. Ibbotson, "Allied has quickly established product awareness, and has gained market share using distribution agreements, which by-passed the traditional channels."
Strong promotion of its Altratene brand has allowed Allied to effectively address the issue of low consumer awareness about beta-carotene and its health benefits. In terms of distribution strategies, the company has displayed a refreshingly 'out-of-the-box' approach.
Lacking a European manufacturing base, Allied has initially and successfully tied up with Helm Benelux, a Belgium based distributor and member of the Helm AG Group. This ingenious alternative to traditional distribution strategies allowed the company to successfully enter and consolidate its presence in the European beta-carotene market and finally during the Summer 2002 establish its own European company Allied Biotech Europe GmbH with base in Karlsruhe in Germany. Today Allied has successfully expanded its European distribution network including several distributors specialized in food ingredients.
To choose the recipient of the Market Penetration Award, Frost & Sullivan analysts tracked market share gain, increase in sales and brand awareness efforts within the European beta-carotene industry. Companies were ranked following extensive primary and secondary research among market participants and end-users.
In choosing Allied Biotech Corporation as the winner of this award, Frost & Sullivan recognizes it as a company whose proven strategic excellence in product innovation, marketing and sales strategies has resulted in the largest gain in market share over the past 2-3 years.
About Frost & Sullivan
Frost & Sullivan, a global leader in international strategic growth consulting and training, bestows Market Engineering Awards to companies demonstrating exceptional market share leadership skills in the increasingly competitive marketplace.
Frost & Sullivan rigorously analyzes specific criteria to determine Market Engineering Award recipients in a variety of regional and global market landscapes. Founded in 1961, Frost & Sullivan is headquartered in San Jose, Calif., with offices located worldwide. For further information, visit www.frost.com.
About Allied Biotech Corporation
Allied Biotech Corporation, a subsidiary of Allied Industrial Corp. Ltd. Group, is a leading supplier of beta-carotene to the global food and dietary supplement industry. The product portfolio includes formulations for all applications. Allied Biotech Corporation has established a global sales and marketing network, which comprises offices in Germany, Denmark, the U.S., Brazil, China and Taiwan, and co-operations in several countries with partners specialized in the distribution of food additives and ingredients. Allied is supplying Beta-carotene formulations under the brand name Altratene to food and supplement companies in more than 30 countries around the world. For more information, visit www.altratene.com.