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The Added Value

By Jacek Baranowski, International Sales Manager, Metal Market Asia

Published on June 5, 2019

JACEK BARANOWSKI is the Head of International Trading at Metal Market Asia, a Singapore-based bullion trading company, and at Metal Market Europe, a major retail and wholesale precious metals dealer located in Poland and operating in the Eastern European market.

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Operating in highly competitive and demanding markets poses a challenge for businesses hoping to succeed. How can the company be distinguished from the competition? How can it attract more customers and ensure they keep coming back? How can it escape the hopeless loop of lowering prices to attract more interest only to require even more of it to sustain the rigorous pricing policy? All these questions lead to one fundamental question: What is the added value the company can bring to the table?

In a difficult and well-established market like investment precious metals, where most dealers carry similar portfolio of products and most manufacturers adhere closely to the very same and high standards, the added value may be the determining factor of the company’s success. Precious metals buyers are hardly known for being novelty seekers and the nature of the industry itself significantly limits the opportunities for brand new, out-of-the-box ideas. Therefore it is even more crucial for a company to find something unique to offer, thus differentiating itself from the competition.

PRODUCT

Gathering resources is hardwired into human behaviour, and its evolved, more cultured expression – building collections – has accompanied mankind through centuries. Collecting art pieces, trophies, valuable trinkets, books, and more is a passion shared by people from all times, places and cultures. It is a deep fascination with putting matching things together and organising sets that fuel a collector’s zeal in search of missing pieces, bringing fulfilment once everything is in its right place.

It is exactly this nature of ours that producers of collectible items tap on, and it is what adds excitement to precious metals investing. The myriad of wonderful designs, the thrill of the hunt for rare specimens, the temptation of completing the set – all these bring an element of sheer, childlike joy to the rather studious and uninspiring process of saving up.

Given the choice to buy gold in the form of a plain bar or nicely finished coin with an interesting backstory, many customers will gladly choose the latter even if it means paying a premium.

Given the choice to buy gold in the form of a plain bar or nicely finished coin with an interesting backstory, many customers will gladly choose the latter even if it means paying a premium. And that’s precisely where a bullion dealer can leave its mark. First, by offering a broad portfolio of products and steering the customer in the right direction, helping him navigate the vast sea of long-running series, new editions, one-off commemoratives, etc.

Second, by collaborating with the mints or refineries on exclusive coin programmes, and bringing new, exciting products to the market. A successful series can not only coax existing customers to keep coming back, but also attract new ones – which is the goal of every business hoping to expand. In recent years, several exclusive Perth Mint bullion coin series made for particular dealers got collectors worldwide excited. Coins such as Swan, Australian Emu, and Dragon & Phoenix proved to be instant hits, with their collectible value quickly exceeding their metal content value.

SERVICE

In the digital era, the importance of quality online solutions cannot be overstated. A tremendous amount of precious metals physical trading is done on the internet, so having an online presence is a necessity, not added value. However, the way this presence is manifested can either promote a business and put it at the front row or have it lagging behind. A traditional phone trading desk with simple email correspondence is the bare minimum, but is no longer capable of meeting customer needs and expectations. Trading platforms with multiple functionalities, automated sale/purchase processes, storage and shipping options at one click, charts, price alerts, investment calculators – all these are sought after by more educated and discerning investors.

A neatly organised, transparent, user-friendly and attractive web solution is often the best advertising a company can have, bringing in more customers than the grandest marketing campaigns.

A neatly organised, transparent, user-friendly and attractive web solution is often the best advertising a company can have, bringing in more customers than the grandest marketing campaigns. Questions about trading platforms are among the most pervasive ones within the industry and there seems to be a constant struggle to perfect existing solutions or to come up with newer and better ones.

In this quest of finding the most visually attractive, the most flexible, user friendly, comprehensive, stable and secure system, one important aspect of human nature should not be underestimated – people are creatures of habit. We become attached to familiar things and change more often than not simply irritates us. It’s not uncommon to find better, simpler, more thought-out websites losing out to far inferior ones, due to this very reason. That’s why every attempt at implementing new solutions should consider the customer’s perception on the new features and layout. Whether it will be considered an added value or a value ruined?

SECURITY

The company’s reputation, product authenticity, online data protection, terms and conditions, secure transportation and storage, all factor into a transaction’s security – a major concern of all precious metals buyers. Covering all of the above is only the first step, the next ones are about building trust and providing reassurance. Each and every customer wants to be certain of two things: that the metal is authentic and that it is kept in a safe place.

The role of the manufacturer and the dealer is to show that the supply chain has not been broken and that the product’s authenticity can be easily and surely verified. Being a step ahead in introducing new security features can ensure a manufacturer’s product is given a prominent spot among bestsellers and gives dealers a good reason to promote it. Offering customers only the safest, most advanced products is a good selling point especially since there is not much innovation possible in the investment gold refining other than amping up security.

This is the added value that can help convince potential customers and determine the brand choice. Providing an engaging and positive narrative for the salespeople should always be a priority for producers, because they are the actual establishers of the prevailing buying habits. In the precious metals industry, narratives about security, authenticity and verifiableness is and should be the strongest ones.

Even in terms of pricing most sellers have access to the same sources. This creates a unique environment were the field is so levelled that secondary features actually determine the outcome.

The globalisation of markets, high connectivity and online accessibility, have caused the differences between customers worldwide to diminish, and with them, suppliers too have become more alike. In the investment precious metals industry it is especially noticeable since most manufacturers produce extremely similar products and all dealers carry almost the same items. Even in terms of pricing most sellers have access to the same sources. This creates a unique environment were the field is so levelled that secondary features actually determine the outcome. The added value becomes the selling point. And it is the exclusive, collectible product; the multifunctional, user-friendly online solution; and the high-security storage and effortless authentication option, which may give businesses an edge over their competitors.

JACEK BARANOWSKI is the Head of International Trading at Metal Market Asia, a Singapore-based bullion trading company, and at Metal Market Europe, a major retail and wholesale precious metals dealer located in Poland and operating in the Eastern European market.

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Singapore Bullion Market Association Secretariat-Lee-Jia-Yi

Lee Jia Yi

OPERATIONS & ADMIN EXECUTIVE
Before joining SBMA, Jia Yi worked as an Admin & Reporting Officer in her previous role. She holds a Diploma in Business & Social Enterprise from Ngee Ann Polytechnic. Jia Yi is responsible for managing and maintaining physical and digital files in SBMA, supporting invoicing processes, reconciling receivables and payables, coordinating meetings and conferences. Additionally, she will provide support to the team and assist the Business Director in managing the Association’s office operations and general administrative activities.

SECRETARIAT SBMA-Emily-Oh

Emily Oh

OPERATIONS & ADMIN EXECUTIVE
Emily Oh is the Operations & Admin Executive, a seasoned professional who values teamwork and effective communication. She is skilled at adapting to new challenges and takes a proactive and resourceful approach to every task. Before joining SBMA, Emily had experience coordinating international travel arrangements and spearheading community initiatives. Her role at SBMA will be providing operational and administrative support for projects and other matters to the team.

SECRETARIAT SBMA Clara-Chang

Clara Chang

MARKETING & COMMUNICATIONS EXECUTIVE
Clara Chang joins SBMA as the Marketing & Communications Executive, enriching the team with her extensive experience in content creation, social media management, and digital marketing. Prior to joining SBMA, Clara held the position of Marketing Executive at her previous job. She holds two bachelor’s degrees from the University at Buffalo, one in International Trade and another in Geographical Information Science. Her core duties will include maintaining the SBMA website, managing the quarterly Crucible newsletter, among other responsibilities.

SBMA Committee-Photo-john-levin

Mr John Levin

Global Metals
TD Securities
John Levin is the Head of Metal Sales & Trading – APAC at the Toronto Dominion Bank’s Singapore office. Prior to this role, he devoted seven years to leading precious metal sales for the ANZ banking group in his home country, Australia. Notably, from 2009 to 2011, John played a significant role on the management committee of the London Bullion Market Association while serving as the Head of Precious Metals Sales for HSBC Global Banking and Markets in the UK.

SBMA Secretariat-Fabian-Lew

Fabian Lew

MARKETING & COMMUNICATIONS OFFICER

Fabian was a Business Development and Marketing Associate before joining SBMA. He graduated from Singapore Management University with a Bachelor’s degree in Economics.

He has joined SBMA since February, 2022.

SBMA-margare-secretariat

Margaret Wong

BUSINESS DIRECTOR

Margaret Wong, Business Director at SBMA (Singapore Bullion Market Association), brought valuable experience from her previous role at the World Gold Council (WGC). Her tenure at WGC provided her with extensive exposure to the gold community in Singapore and the broader region. This background has been instrumental in establishing strong working relationships within the industry.

Margaret’s role at SBMA encompasses a diverse range of responsibilities. She oversees office management, business support processes, finance, and administrative functions essential for the smooth operation of the team and management committee. Additionally, Margaret handles membership matters, member communications, and addresses public inquiries related to SBMA.

One of Margaret’s key responsibilities is coordinating with the Event Management Company for SBMA’s prestigious annual event, the Asia Pacific Precious Metals Conference. This flagship conference plays a crucial role in the industry, making her involvement pivotal in its success.

Described as resourceful and self-motivated, Margaret Wong brings a wealth of skills and experience to her role at SBMA, ensuring efficient operations and effective engagement within the precious metals community in Singapore and beyond.

SBMA-Albert-secretariat

Albert Cheng

Chief Executive Officer

Albert Cheng joined the World Gold Council in March 1993 as a Regional Manager, becoming Managing Director, Far East in 2003. He retired at the end of March 2015 and was subsequently named its Advisor. He has also been an International Advisor to the Shanghai Gold Exchange since 2002.

His marketing career began with Dentsu Young & Rubicam, Hong Kong in the early 80’s. He began gold marketing in July 1985 when he joined the Royal Canadian Mint as a Regional Manager for Southeast Asia.

He was appointed honorary CEO of SBMA in November 2015. He is responsible for the success and strategic development of SBMA, represents the interests of the Association, and is responsible for all the legal and regulatory aspects of the work of the Association. He is the primary contact for regulators and government bodies on bullion market development.

Ms Pawan Nawawattanasub

Ms Pawan Nawawattanasub

CEO
YLG Bullion Singapore Pte Ltd

Pawan is the CEO of YLG Bullion Singapore and founder of YLG Bullion International. She has almost 40 years of experience in the jewellery industry and established YLG in Thailand in 2003. In 2012, she brought YLG to Singapore. She sits on the Board of Directors of the Thailand Gold Traders Association, the Thailand Futures Exchange’s Arbitration Committee, and the Rotary Bangkok committee. She holds a master’s degree in Political Science.

SBMA-Shaokai-Fan

Mr Shaokai Fan

Head of Asia-Pacific (ex China) and Global Head of Central Banks
World Gold Council
Shaokai Fan is the Global Head of Central Banks at the World Gold Council, responsible for advising governments on gold matters, and enhancing the gold market through engagement, dialogue, and thought leadership. He works directly with central banks and sovereign wealth funds on investment considerations. Prior to this position, Shaokai held multiple roles at Standard Chartered Bank, including Director for Asia Strategic Initiatives and Associate-Director for Public Sector coverage. Shaokai holds a Masters of Public Administration from Columbia University and the London School of Economics, and an undergraduate degree in finance and economics from New York University.

SBMA-Committee-Alan-Liew

Mr Alan Liew

Head of Bullion & Commodities Trading
United Overseas Bank Limited
Alan is Head of Bullion and Commodities Trading for Group Trading in Global Markets, United Overseas Bank (UOB). Alan joined UOB and started the bank’s commodities trading business in 2014, previously he spent eight years in Standard Chartered Bank (SCB) trading both precious and base metals. During his tenure at SCB, he obtained the SGE gold trader licence and was part of the pioneering team for the SGE business and the FX quantitative trading team. Prior to trading, he worked for Monetary Authority of Singapore in the Financial Risk Management Division. He holds a BSc (Hon) in Computer Science at National University of Singapore and a MSc in Financial Engineering at Nanyang Technological University.

SBMA-Committee-Nikos

Mr Nikos Kavalis

Managing Director
Metals Focus Singapore Pte Ltd
Nikos Kavalis is a founding partner of Metals Focus. He has over 20 years of experience in precious metals, having previously worked for the Royal Bank of Scotland and GFMS. Since September 2019, Nikos has been based in Singapore, where he also runs the local subsidiary of Metals Focus.

SBMA-Committee-khun nuttapong

Mr Nuttapong Hirunyasiri

CEO
MTS Gold Global Trading Pte Ltd
Nuttapong Hirunyasiri is the CEO of MTS Gold Group, one of Thailand’s top 10 companies and top 3 bullion companies. He started MTS Gold Group’s first overseas office in Singapore and has been expanding the group business internationally. He focuses on product development and innovation for gold investment, with the aim of being a leader in providing the full suite of gold investment services in the ASEAN region.

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Mr Raman Walia

Executive Director, Head of Commodities Sales – APAC
JP Morgan Chase Bank N.A.

Raman is Executive Director and Head of Commodities Sales, APAC, for J.P. Morgan. He joined JPMorgan in 2008 in New York, moved to Singapore in 2011, and helped expand the precious metals business in the region. Raman has an MBA from Cornell University, and likes to travel in his spare time.

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Mr Andrew Clarke

Head of Brink’s Global Services
Brink’s Global Services Pte Ltd

Andrew Clarke is the Head of BGS (Brink’s Global Services) for Singapore, Indonesia, Malaysia and Brunei. He has held various leadership positions throughout his career in secure logistics and risk management with Brink’s, which started in Hong Kong in 2010. Andrew relocated to Singapore in 2018 to expand the precious metals line of business along with Brink’s portfolio of services and industries.

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Mr Kazuya Naoki

Head of Metals, Asia
ICBC Standard Bank Plc, Singapore Branch

Kazuya (Kaz) Naoki is the Head of Metals, Asia of ICBC Standard Bank in Singapore and is responsible for the precious & base metals sales and trading in the region. He joined Standard Bank Plc Tokyo Branch in 2008 and was relocated to its Singapore Branch in 2013 whose controlling stake was acquired by the Industrial and Commercial Bank of China in 2015. Prior to joining Standard Bank, Kaz spent 11 years focusing on commodity trading and risk management with Mitsui & Co in Tokyo, Sydney and London. Kaz has been serving on the SBMA Management Committee since 2016.

SBMA Committee-Photo-Vinh-Nguyen

Mr Vinh Nguyen

Head of Precious Metals, Asia
StoneX APAC Pte Ltd

Vinh Nguyen joined StoneX Group in Singapore at the beginning of 2008 and responsible for its APAC precious metals activities since 2019 until now.

SBMA Committee-KL-Yap

Mr KL Yap

General Manager, Singapore Refining Business Unit
Metalor Technologies (Singapore) Pte Ltd
KL YAP is the General Manager of Metalor Technologies (Singapore) Pte Ltd’s Singapore Refining Business Unit. He joined Metalor in 2013, initially in Refining Sales. In 2014, he became Refining Business Unit Manager, leading the development of a new precious metal refinery. KL was Vice Chairman of SBMA from 2017 to 2021, now serving as Chairman. With a degree in business commerce, finance, and marketing, he brings prior experience from refinery and heavy industries.