Tearing Apart Traditional Image of Instant Noodles - Emphasizes Health Attributes

Friday, February 1st, 2008

Manager Newspaper, one of Thailand’s leading newspapers, featured almost a half-page article about our unique products in their Business SME (Small-Medium Enterprise) section on January 31, 2008.

Additionally, it was also featured in the online version of the newspaper at: http://www.manager.co.th/SMEs/ViewNews.aspx?NewsID=9510000010425 with great interest - over 15,000 readers within the first three of days. Share your thoughts online!

The online newspaper version has also kept our article prominently featured by placing it in their “Sharp Idea Column” as well too!

“Red Chopsticks” Tearing Apart Instant Noodles’s Traditional Image
Targeting Upper Market Segment, Emphasizes Health Attributes

“In the past, “instant noodles” have been categorized as a food that is consumed as a last resort or in order to fill an empty stomach. Common understanding is that the nutritional value of the product is rather low. This notion and thinking is being challenged by Red Chopsticks, a new brand of instant noodles, that is focused on erasing the negative connotations by creating a product that is beneficial for the consumers health targeting the upper markets, both domestically and internationally.

Sanguan Chanyaputhipong, Managing Director, and Sireerat Sivapetchranat, Business Development and Marketing Manager of Mawai Food Corporation Limited, the owners of Red Chopsticks Brand Instant Noodles informed us that in the past, their family had been in business in the chemical and property industries. During the financial crisis of 2540 (1997), was when they considered to enter the instant noodle market emphasizing on exports under the Mawai Brand. The analysis is that food is a basic necessity for survival and there was still room for differentiation of product quality even when competing with large established companies. The emphasis has always been about quality, both in terms of production standard and also nutrition. The product has been exported to various markets internationally including Spain, Oman, USA for instance and is also served on Nok Air as well.

Mawai Brand had only received limited success in penetrating international markets because in retrospect, the product was not yet unique enough. That is the reason, as a Small to Medium Enterprise (SME), that they have transformed their marketing strategy by creating a completely new brand “Red Chopsticks”. Additionally, the core product has also been further researched and developed with a firm foundation in creating a product that is healthy to consume. Total investments for machines, production standards, research and development of over a year’s time has totaled over 200 million Thai Baht.

Sanguan further explained the strengths of the Red Chopsticks products that is aimed at eliminating all of the negative aspects that are often associated with ‘instant noodle’ products whether it be low nutritional value, high saturated fat content, high salt content, noodles that are not firm and swell quickly, bowls that are not microwaveable nor environmentally friendly. Red Chopsticks noodles utilizes high protein wheat flour of 13% while most companies use only 11% protein, the noodles are firm and do not swell easily, much like Japanese noodles, and importantly, the oil used to fry the noodle is rice bran oil, which naturally has low saturated fat content.

The flavors were intentionally made not to be too intense because of the intention for consumers to eat the noodles frequently and on a regular basis. Furthermore, the seasonings do not contain MSG (monosodium glutamate) or any salt as well. Additionally, Mawai is the world’s first and only company that is adding functional ingredients that serves to better the health of the consumer. There are four flavors: Chicken Flavor is added with collagen that is extracted from deep water fish and is geared towards women, the Tom Yum Flavor has added L-Carnitine. Seafood Flavor product is geared towards kids and has added Omega 3 and DHA. Lastly, the Seaweed Flavor targets those who want to decrease the risk of getting gastro-intestinal cancer with the addition of a soluble dietary fiber called inulin-oligofructose.

Regarding the packaging design, it was explained that a graphical design was used in order to create an attractive packaging that stands out from the crowds when on the shelf> Additionally, it communicates that the product is new and modern. The materials used for the bowl is a high quality plastic material that can is completely microwaveable.

The retail price per bowl is set at 49 Baht, which is about 4 times as much as typical products currently on the market. The target market is the upper segment that gives true importance to looking after their health and consumption for both local and export markets.

“We have a very focused customer base. If I was to directly compete for budget products market, marketing and advertising against the giant companies, we do not stand a fighting chance. Therefore, we have created something that is very different to satisfy a market that there is no direct competitors for at the moment. We want to offer our products as an alternative choice for consumers. With the instant noodle industry being worth billions of Thai Baht per year, if we are able to capture our desired customer base, it will give us the opportunity to stand amongst the giants.” Sanguan said.

The challenge for Red Chopsticks Functional Noodles is to change people’s preconceptions for their target market. The message that they want to convey is that their brand of instant noodles is not targeted at the budget market, and is not something that is only consumed as a last resort. On the contrary, (Red Chopsticks) is a food that is genuinely beneficial for your health, is something that people wouldn’t mind eating on a regular basis by choice and has continued repurchase.

Currently, the products are available at Central Food Hall and Tops Markets stores nationwide. Additionally, you can find the varieties on Nok Air as well. The products have been on the store shelves since November 2007.

The owner revealed to us that even though the first months sales quantities of approximately 1,000 bowls may not be much, it is still a beginning that he is content with, as it is a new product with limited advertising and publicity. The marketing strategy is to bring the products to various food fairs with an emphasis on exporting the products to Europe, USA and Asian countries such as Hong Kong, and Singapore for instance. He hopes that it will become an established product within the next couple of years with a 4-5 year return on investment.”

“Not Your Average Cup of Noodles”

Wednesday, January 2nd, 2008

 

We were featured in the Business Section of the Bangkok Post on December 27, 2007! Click here to read the page in .PDF format.

Red Chopsticks in Japanese News

Friday, December 21st, 2007

We were mentioned in a Japanese international subscription-based newsletter of The Daily NNA on December 18th, 2007. The article introduces our range of Red Chopsticks functional instant noodles - the Beauty Bowl, Power Bowl, Kid Bowl, and Green Bowl and lets the reader know that they can purchase it at Tops Markets and Central Food Halls in Thailand. There’s also a bit of info about our company, Mawai Food.

Noodles Emphasizing Healthy Attributes!

Tuesday, December 18th, 2007

We were featured in the Business Section of Post Today, a widely popular Thai language newspaper, yesterday! Click here to read the page in .PDF format.

“Caption: Sanguan Chanyaputhipong, Managing Director of Mawai Food Corp., Ltd., manufacturer exporter of instant foods, shows his Red Chopsticks Brand Functional Instant Noodle. The products have added healthy ingredients and aims to capture the premium market. Currently the products are available at Tops Markets and Central Food Hall stores nationwide with over 20 stores. This has been a shift from previously exporting most of the products abroad. There are four product flavors: Chicken Flavored Beauty Bowl, Hot and Sour Shrimp Flavored Power Bowl, Seafood Flavored Kid Bowl, and Seaweed Flavored Green Bowl. Price: 49 Baht per bowl.

Mawai Food Modifies Strategy - Targets Premium Domestic Market

Mawai Food modifies strategy and targets premium domestic market by emphasizing healthy attributes under Red Chopsticks Brand.

Sanguan Chanyaputhipong, Managing Director of Mawai Food Corp., Ltd., manufacturer exporter of instant foods, says that his company has decided to give more emphasis in the local market by making the Red Chopsticks Brand products available at all Tops Markets and Central Food Hall stores nationwide.

The Red Chopsticks Brand products are positioned as a healthy food with four target markets that are:

Beauty Bowl – chicken flavored and geared towards women.
Power Bowl – tom yum (hot and sour shrimp) flavored and geared towards men.
Kid Bowl – seafood flavored and geared towards kids.
Green Bowl – seaweed flavored and geared towards general public.

All products are 49 Baht per bowl, a price premium over the typical Thai brands that are 12-13 Baht per cup but is still cheaper than imported products that are priced at over 60 Baht per bowl.

“In the future, we also plan to expand by creating ready-to-eat soups and other convenient food products.” Investment for the manufacturing facility is in excess of 100 million Thai Baht on over 20 rais of land located in Samutprakan province. The company was established in 1999 with a capacity of 100,000 portions per 8-hour shift. Products are mainly for export and has just been placed in local retail channels.”

 


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