Question
The story of Heng Foh Tong Medical Hall has always been about supporting families and caring for people. Since its establishment in 1957 by Madam
The story of Heng Foh Tong Medical Hall has always been about supporting families and caring for people. Since its establishment in 1957 by Madam Ng Sock Eng, a traditional Chinese medicine (TCM) practitioner, the small and medium-sized enterprise (SME) has stayed true to its mission to empower customers to live a full life complemented by TCM herbs and solutions.
This family-run traditional Chinese medicine (TCM) hall Heng Foh Tong saw business improve after going digital, with revenue up 20 per cent and footfall rising 10 per cent at its physical store compared with before the Covid-19 pandemic.
It had taken steps which included: setting up an online store and tapping e-commerce platforms such as Shopee and Fave. The shop, located in Bukit Batok, is also on navigation app Waze and business listing app Google My Business.
Mr Lee Chin Siong, 53, vice-president of Heng Foh Tong, said he was sceptical at first about the effectiveness of having an online shop as people usually buy TCM products in person. "We just wanted to set up a simple website to increase awareness of Heng Foh Tong, but one of the criteria for getting government grants for the website was to develop an e-commerce website," said Mr Lee.
During the circuit breaker in 2020, he saw a boost in the online shop's revenue and realised that there was a demand for e-commerce. The digital presence transformed the Bukit Batok shop into an international business as people from different countries are now able to purchase its products online. "Some customers travel across the island from places such as Pasir Ris and Seng Kang to see our products. They wouldn't have known about Heng Foh Tong if not for our website," he added.
After introducing new products such as herbal tea and confinement packages, Heng Foh Tong's clientele now includes new mothers as well. Their online store features standalone herbs, as well as easy-to-use, pre-packed herbal solutions where the food preparer just needs to "add the meat and water, simmer, season and serve". The preparation process is intentionally made as "non-labour-intensive as possible" to gain wider acceptance, he explained.
The business also participated in the Visual Merchandising Programme in 2021 and had its shopfront refreshed with new flooring, a new display fridge, racks and ample lighting. It has also installed a new signboard. All these redesigning of their storefront helped to attract more customers.
Question: Evaluate the current distribution / channel strategy that the Heng Foh Tong Medical Hall has adopted and the benefits it can reap, and infer how its multichannel strategy can be further improved to increase its sales.
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