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Koikeya snacks hit Thai market

Japanese snack manufacturer Koike-ya, maker of Karamucho potato chips, is to release its full product line into the Bt3.6-billion Thai snack market.

Published on March 25, 2008



The company hopes its Japanese-style snacks will attract Bt80 million sales in the first 12 months. Longer term, it hopes to become No 3 in the market with a share of at least 12 per cent in three years.

Koikeya has started by introducing its core potato-chip flavour - hot chilli - because the company sees no other brand offering this flavour.

At the same time, Koikeya has appointed local distribution company Durbell, under the Red Bull Group, to market and distribute its products nationwide through modern shopping malls, 80,000 traditional shops, 2,000 wholesalers and special channels like fitness clubs, schools and theatres - all business partners where Durbell distributes other products.

So far, Durbell has distributed product samples throughout 6,600 local shops nation-wide and expects to cover 45,000 shops by August. Meanwhile, it will start distributing to modern retail outlets from April 1.

Koikeya has been in the business in Japan for 50 years and has a presence in Taiwan, where it is No 3 in the market. Thailand is the second international market the company has entered, and it will adapt its Taiwanese marketing strategy here.

To build awareness, the company has allocated Bt15 million as a budget for promotional and marketing activities, including giving out 300,000 samples nationwide.

"We are the only player in the snack market with a hot-chilli flavour, and we have an Eastern look due to our place of origin in Japan. Therefore, we will focus on these two strengths in marketing to our targets, mainly teenagers and working people," said Masaaki Sato, senior managing director for research and development and international operations.

Nitida Asawanipont

The Nation



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