Global domination

Operations in five continents, 100,000 clients and US$100 million in revenue ? that?s the plan for Buffalo Tours by 2015. An ambitious strategy for the company that made its debut in 1994 with a base in Vietnam that yielded 150 clients and US$150,000 in revenue in the first year of operations.

The last 12 months have seen a major expansionary drive from the company, which became a regional player with operations in Cambodia, Thailand and Laos... and eventually, if founder and CEO, Tran Trong Kien, has his way, the world. Tran?s goal is to run responsible tourism operations in Australia, the US, Europe and the rest of Asia. This year, Buffalo intends to enter China and open a new sales office in the US West Coast.

?I know it will be challenging to enter mature markets such as Europe where there are setup barriers. But anyone going for global business will always face challenges,? Tran acknowledged.

Job creation is one of the key reasons for the expansion, according to Tran, who cited his commitment to retain staff especially during crisis periods such as last year. ?But we are not stupid. We realised that last year was going to be tough so we exercised a 10-month salary freeze.?

Still, the troubles of 2009 did not derail Buffalo?s growth track. It grew manpower from 250 employees in 2008 to 350, including three new executives. The company also expanded its reach, opening a sales office in London and appointing a sales representative in Moscow. These came on top of the 2008 opening of its Sydney sales office. Funds were also poured into technology enhancement and staff training.

?Despite our expansion and higher overheads, we achieved a 29 per cent rise in revenue last year, handling 35,000 clients and earning US$20 to 25 million.?

The 2010 target is 45,000 clients. ?Our focus for this year is to continue to enhance customer service and improve efficiency, and implement the second round of our cost-cutting strategy.?

All this without sacrificing the company?s reputation for being innovative, said Tran. Buffalo Tours, according to him, was the first adventure tour company in Vietnam and the first to introduce bicycle tours and rock climbing, among others.

?Our city tour is a new city tour. We highlight elements that are new and sustainable and cannot be copied easily.?

Before conquering the world, Buffalo Tours wants to first get into the ranks of leading operators in the countries where it operates. It is already in Vietnam?s top three, said Tran.