BONIA – An Asian Sensation

In collaboration with Convergence, VOICE OF ASIA is proud to present timeless articles from the archives, reproduced digitally for your reading pleasure. Originally published in Convergence Volume 10 in 2012, we present this story on BONIA, and how this fashion brand broke into the international scene.

One of the most impressive stories in the annals of Malaysian retail, the name BONIA has penetrated across the Asia. Boasting a repertoire which includes bags, shoes, clothes, and other accessories, BONIA along with sister brands such as SEMBONIA, Carlo Rino, have made parent company – Bonia Corporation – one of the leading lights of fashion, and together they have more than 800 outlets and 80 boutiques in 12 countries including Malaysia, Singapore, Japan, China, Taiwan, and Saudi Arabia to name but a few. Join Convergence as we take a look at the rise of this international fashion brand.

The Early Days

The BONIA story started as far back as 1974 when a then 21-year old Chiang Sang Sem (S.S Chiang) started a business dealing with the design, manufacture and wholesale of leather goods in Singapore. Having established a name in the market, Chiang decided to visit the Leather Trade Fair in Europe in 1977.

It was a trip which changed everything. Because not only was S.S Chiang exposed to the wider world of the leather goods business, it also brought to his attention the works of the 16th century sculptor Giambologna. An inspired Chiang would go on to register the trademark BONIA in Singapore. To paraphrase the song, he was onto something good.

By 1978, BONIA set up in Malaysia, and over the next two years, the brand became a cross-Causeway leader, thanks in no small part to Chiang’s dynamism and the gung-ho advertising and marketing strategies the brand embraced. In many ways, the aggressiveness was the right move, as BONIA then was very much an upstart label, competing against more established foreign names.

The rise was certainly stratospheric, and by 1981 – just four years after the brand was founded – BONIA opened its first stand-alone boutique, which was located in Singapore. It would take another seven years for Malaysia to follow suit, owing in part to the different levels of market maturity. Nevertheless, by 1988, the first BONIA boutique in Malaysia opened its doors, and that sparked off the next phase of the brand’s development…overseas expansion. And in 1990, the label made its appearance outside the shores of Malaysia and Singapore, when it went to Hong Kong, Brunei, Indonesia and Taiwan.

Making A Name for Quality

The fact that it took just 13 years to bring BONIA to the international market was quite impressive, especially when one takes into consideration the fact that neither Malaysia nor Singapore then were famous for leather or indeed, high-street fashion. In many ways, the expansion of BONIA is a reflection of S.S Chiang’s expertise in the field, a fact alluded to by these words from Group Managing Director Albert Chiang – who is the younger brother to S.S – “We know our leather.”

These words were no empty boast, and more than just knowing leather, the team at BONIA knows business as well. In 1994, Bonia Corporation listed itself on the second board of the Kuala Lumpur Stock Exchange) and in 2007, it was transfered to the main board of Bursa Malaysia. As the Group Executive Chairman S.S is responsible for the overall direction, mission and vision of the company, and Albert as the Group Managing Director has the brief to handle day-to-day affairs. Another brother – Sang Bon – also joined the Board and has taken charge of production.

The Secrets of Success

It is easy to see how the dynamics of each of the Chiang brothers – who are supported by other directors (including three of S.S Chiang’s sons) – have helped made BONIA into a Pan-Asian success. Furthermore, the brand has also managed to establish its name in the luxury travel segment, a position which it cemented by setting up boutiques in airports. In 1997, it became one of the first retailers to open in KL International Airport (KLIA), and would later go on to have a presence in other aviation hubs across the continent.

Another important factor behind the company’s stellar accomplishments is its ability to read the market and offer customers quality and value for money. Whereas its main brand BONIA appeals to the high-end luxury market, it has also made allowance for the mass market through SEMBONIA as well as the youth segment by way of Carlo Rino.

Adding to the reputation of the company is the fact that it has also secured exclusive distributor rights for fashion labels such as Valentino Rudy, Carven, The Savile Row Company, Austin Reed, Santa Barbara Polo & Racquet Club, and Jeep. In fact, Bonia Corporation also holds manufacturing licenses from some of these brands, which testifies to the high regard in which the company is held by its peers. This is reflected in the BONIA brand name being listed as one of Malaysia’s Most Valuable Brands in 2007 and 2009.

Another means that BONIA has adopted in order to reinforce its market position has been through its luxuriously appointed boutiques, which as of 2011, can be found in Malaysia, Singapore, Taiwan, Brunei, Thailand, Indonesia, China, Japan, Myanmar, Vietnam, Saudi Arabia and Syria.

While most of the growth has so far been in Asia and the Middle East, the firm has not ruled out going beyond the boundaries, and in one interview, Albert Chiang even said, “We will go to Europe as well as the United States if there is an opportunity to do so.”

Evolution of a Brand

The evolution of BONIA – both as a company and as brand – has also resulted in changes to their product offerings, most notably the recent addition of fragrances into its repertoire. Furthermore, it also made a successful bid for Singapore-based JECO, which holds the dealership for brands such as Braun Buffel, Renoma, and Pierre Cardin, thus enhancing Bonia Corporation’s value.

Despite the success of their company, the Chiangs – led by S.S – have neither forgotten their roots nor the community, and thus corporate social responsibility is an important part of the business, with most of the efforts channelled towards education. Aside from donating money to such causes, Bonia Corporation has also adopted Green and sustainable means of production including the use of vegetable dyes, which do less harm to the environment compared with chemical dyes.