Engaging in Exports
Robert DeMartini, Exporter, Pomona, Calif.
 China is definitely a top-of-mind issue. A lot of people in the United States are threatened by Chinese products. I disagree. I think it’s an opportunity for U.S. manufacturers to improve some of what they’re doing in the United States.
In fact, market acceptance in the USA for China products is pretty strong because high-end builders are comfortable saying, ‘Hayward, you’ve got good engineering and quality control; if your name is on it, I believe it and I accept it.’
In export markets — China, Saudi Arabia and Egypt — it’s a little more difficult. My export customers are buyers who think ‘USA good, China bad.’ Brands and branded goods are more readily accepted by people at a lower socioeconomic level. They don’t understand that non-branded could be the same as branded.
So my issue becomes this: How do I continue my success in these export markets when it’s a “buy American” mentality out there? I know our white goods came to China, and that’s been fairly successful in the export side. Now we’re bringing some other products, more technical ones such as lighting or motors, to China, and it’s more difficult to sell.
That’s why I don’t see a Chinese private pool market in the kind of numbers that the population would suggest, or even that the GDP suggests. Have you been to Shanghai? Guangzhou? What do you see? Condominiums! There are lots and lots of them. I think China’s going to primarily be a public pool market like Korea.
Chinese customers want a big house, a nice car; they want their kids to have a great education in a famous school, but a pool’s not so important to them.
Where we see success is when the embassy builds a residence for a new counselor or diplomat. They want to make sure they have U.S. products.
Robert DeMartini is general manager of Pomona, Calif.-based Hayward/IMG, the international marketing group and exports dealer for Hayward Inc.
A Clean Start
Rocky Bai, Builder, Shenyang, China
 I’ve been building pools for 11 years now. The pool market used to be lucrative [for me]. Ten years ago, there was only one company in Northeast China operating swimming pools. Now maybe about 20 or 30 companies exist, so it’s very competitive. But that’s good for the swimming pool industry.
My company designs, constructs and manages water circulation systems. Mostly we do 25- to 50-meter competitive pools. We recently completed a pool for the Agriculture University in Shenyang.
There are many problems with swimming pool regulations. Before, there were none. But now there are some regulations. The government decides them. They are not strict, and some of the competitive pools do not comply. I think as the industry grows, there will be more regulations.
I took a CPO course, and found it to be a good class. I learned a lot that I didn’t know before, such as ways to test water. Before taking this class, I used a common method that is not good: It tested [pool water] the same way as tap water. There are some organic compounds in the swimming pool that should be removed, so the treatment is different. Now that I’ve attended this class, I realize what I was doing was wrong.
— as told to Pool & Spa News with the assistance of a translator
Rocky Bai is president of Midland Environmental Co. Ltd., a pool construction and water circulation systems company.
Supplying a Nation's Growing Demand
Huaiping Wang, Supplier of Pool Equipment, Ningbo, China
 I used to be involved in the plastic industry and in 1997, I set up my own factory. Then I met someone from Hong Kong and got involved in the pool business. We made cleaning apparatuses, such as brushes and leaf skimmers.
Since 1997, the factory developed well and the annual business increased by 30 percent. In our factory, there are about 60 injection and extrusion machines. The factory covers an area of 20,000 square meters, and we have about 350 employees.
When we set up a relationship with [an American manufacturer], it helped us a lot with our management and products. The company is critical of our quality and product. Before, we only paid attention to the product. Now, we pay attention to the management.
We sell few products in China — it is not our place to sell. We sell most of our products to the United States, Canada, Europe and some to Australia. We are not as familiar with the Chinese market since all our products are exported overseas. So because this is a newly registered company, we want to get some information on the Chinese market.
Switching into the commercial market could be a good idea for our future business. In the summer, many of the commercial pools are full of people — like a bath. You cannot swim freely. People in China want to exercise, so if we can provide a suitable price for commercial or residential pools, we think we would have good business in China.
Few companies understand the swimming pool business here. Commercial pools usually spend a lot of money buying expensive, well-known brand products. We can provide a reasonable price for those products, so we think our future is bright.
— as told to Pool & Spa News with the assistance of a translator
Huaiping Wang is the general manager of Ningbo Splash Pool Appliance Co. Ltd., a pool supplier.
Lee-ding the Way
Winson Lee, Certified Pool Operator, Taipei, Taiwan
 I majored in chemistry at Guoli Sports University in Taipei. It was my favorite subject. After graduation, I sold chlorine products, and liquid chlorine and tablets for the wastewater treatment industry. But I didn’t like it, so I switched to the pool industry.
I became a CPO instructor six years ago and began my company the year after. The biggest problem I see is that people have no real idea about combined chlorine. The government has regulations, but they’re too vague. Also, most people don’t know how to control the pH.
Many people do not operate by the rules here. As a result, there are problems for the pools. I teach CPO courses in Taipei, Hong Kong and China twice a year. Mostly I teach builders. Operators are not willing to come because they are usually not on site to maintain the pool.
This is a big potential market for me. It’s already a fast-growing industry right now. In two years, it will be even larger because people will have more money.
My company also makes chemical products for spas and pools. I invented the technology for our “milk spa” four years ago. It produces fine bubbles from one jet with a high-pressure pump. When you turn it on, it’s like a soda. The bubbles come out of the water, and they turn the color of the water white like milk. It can purify the skin and mind, and beautify the body. You have a happy feeling when you use the milk spa.
Our other product is the mind spa. People are put in an area that is covered, and they can float on the water, which is from the Dead Sea. With the help of lights, video and smells, it will enrich and balance the mind and body. Right now it is a prototype.
China is a good market for bigger swimming pools, not small ones. About 40 percent are public, 40 percent are semipublic, 10 percent are school pools and the rest are in hotels. Most homeowners treat pools by changing the water, so they are not a good market for CPO classes.
— as told to Pool & Spa News with the assistance of a translator
Winson Lee is a Certified Pool Operator. He owns Poolhouse Aquatic Consulting Services, based in Taipei, Taiwan.
Charles in Charge
Charles Gao, Salesman, Shanghai, China
 Before joining Pentair, I worked for Emerson, one of the largest compressor manufacturers in the world — it’s kind of in the HVAC industry. I had been working in that industry for more than 10 years. This is a common experience because my job is part of the marketing in China.
I studied HVAC, heating, ventilation and air conditioning at Hong Ji University in Shanghai. In 2001, I went to the United States and studied at Bowling Green State University in Ohio, in pursuit of my MBA degree.
Two months ago, I joined Pentair. So far, I feel comfortable working with the company and especially with my team. They’re great. We have a Beijing office and are building our Guangzhou office. We think it is important to cover all of China’s areas.
The 2008 Olympics will make a huge impact on the Chinese market. Every local government is now paying attention to the sports industry. There may be 30 percent growth every year from now to 2008 — just for swimming pool construction. That will be huge. Of course, other facilities will be building pools, such as five- or four-star hotels.
For this reason, you can find every competitor in the Chinese market — Japanese, German and, of course, some other European and American ones. But I think it is the difficult competition that makes progress.
Charles Gao is director of sales for Pentair Water-Asia.
Tapping Into a Trend
Hui Zhang, Pool Builder, Nanjing, China
 I helped design the Nanjing Olympic Stadium and Sports Center. The stadium currently holds the largest aquatics center in China. All the provinces compete there for the China National Games. However, it will be replaced as the largest facility by the National Stadium and National Aquatics Center in Beijing.
Water aerobics are more and more popular in China because of the Olympics. To capitalize on this trend, I have a formula for designing successful fitness and recreational centers.
Currently, I am working on the Aitao Art & Recreation Center. It is a big project with five spas, a children’s pool, several play pools, a fitness pool, lap pool and many waterfeatures. The front of the building also has fountains. It will be completed in two months by 2,000 people working 24 hours a day. The project has 59 pumps and uses heat exchangers instead of gas heaters.
This installation is based on a facility in Shenzhen near Hong Kong, which was the first of my fitness and recreation projects. The Shenzhen center provides swimming, spas, saunas, and rest and relaxation. They also offer individual and group swim lessons. Between 200 and 300 people visit the Shenzhen center each day, generating daily income of about $10,000.
I think this recreation and fitness center will become a popular idea in China. It combines fitness and happiness, and will be the business model for the future.
— as told to Pool & Spa News with the assistance of a translator
Hui Zhang is the general manager of Liansheng Swimming Pool Equipment Co. Ltd., a pool construction company in Nanjing.
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© 2005, Pool & Spa News
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