Save interesting pages while you browse the DKSH website via the basket icon on the bottom of the page. You will find the pages you saved in this area again.
Save interesting documents while you browse the DKSH website via the basket icon next to the download links. You will find the documents you saved in this area again.
Please note: This information is saved in a cookie. In case your browser deletes cookies after a session, the information will be lost.
Do you really want to delete all documents?
This action can not be undone.
DKSH Hong Kong Ltd.
23rd Floor, Tower A, Southmark
11 Yip Hing Street
Wong Chuk Hang
DKSH Hong Kong Ltd.
+852 2963 6896
|Monday to Friday, 8:30am-12:30pm, 2:00pm-5:30pm (HKT)|
Caronel Rolex Service Center
Tumon Sands Plaza, 2F
Tumon, Guam 96913
+1 671 649 0081
|Monday to Friday, 10am-6pm (ChST)|
Caronel Watch Service Center
Inside Time & Style in GPO
Tamuning, Guam 96913
+1 671 647 2616
|Monday to Thursday, Saturday, 10am-7pm (ChST)|
DKSH (China) Ltd., 3rd Floor, Tomson Commercial Building
710 Dong Fang Road
Pudong, Shanghai 200122
+86 21 5830 0518 1002
|Monday to Friday, 9am-6pm (CST)|
DKSH South East Asia Pte Ltd
625 Toa Payoh Lorong 4
#03-00, Singapore 319519
DKSH South East Asia Pte Ltd
+65 6222 0322
|Monday to Friday, 9am-6pm (SGT)|
DKSH Luxury & Lifestyle Europe GmbH
Stuttgarter Strasse 8
+49 7231 914150
For spare parts:
+49 7231 914160
|Monday to Friday, 8am-5pm (CEST)|
In a globally growing category, Asia Pacific comes in as the world's fastest-growing snack foods market. Very notably over here in Asia, where multinational companies (MNCs) have always led the way, the trend is shifting towards home-grown snack foods companies. According to Kantar Worldpanel’s Asian Brand Power report, local brands in Asia attract 74% of shoppers’ FMCG spend and they are growing at twice the rate of multinational brands.
Being based in Bangkok at the very heart of the region’s consumer markets, I would like to share with you three secrets of these home-grown snack foods manufacturers’ success and how they are keeping MNC brands on their toes.
According to Kantar Worldpanel’s Asian Brand Power report, local brands in Asia attract 74% of shoppers’ FMCG spend and they are growing at twice the rate of multinational brands. Being based in Bangkok at the very heart of the region’s consumer markets, I would like to share with you three secrets of these home-grown snack foods manufacturers’ success and how they are keeping MNC brands on their toes.
The biggest success factor for Asian brands is being Asian. With their management and operations sited locally, they have their finger on the pulse of the constantly evolving consumer trends and are precisely aware of local consumers’ likes and dislikes.
Over the years, MNCs have kept themselves ahead with their vast financial resources, sophisticated infrastructures and well-established delivery and operating practices. However, these advantages are quickly eroding as local players – who grew up with the consumers – are building professional operations themselves. Furthermore, they find themselves having a deeper understanding of the local culture and better appreciation for local flavors and tastes.
Asian brands have the competitive advantage of being able to offer products that combine the innovation of MNCs with the preferences of the local market. Which explains why in a Thai supermarket you can find chips in an array of interesting flavors such as seaweed, tom yam kung and sushi, and wafers in tiramisu, honey-date and strawberry jam.
In contrast with many international food manufacturers who place priorities and efforts on branding activities even before the product is launched, Asian players often focus on getting the product out to market first before turning to brand strategies. This is because in the snack foods category, Asian consumers care more about taste than brand.
A very important marketing approach for Asian consumers is therefore to offer sample products and free trials at retail stores. This creates the first product experience at the point of purchase.
Furthermore, as price point remains the most important criteria in the South East Asian snack foods category, local manufacturers focus on getting the product format right in terms of packaging sizes and pricing options. One of the trends for snack foods in Asia is to have smaller packets which also means cheaper prices, making it more attractive to a broader base of consumers.
Aside from putting out products that offer value for money, many Asian food manufacturers are playing the “patriotism card” to boost support for homegrown labels. For example, Nielsen’s Go Glocal report points out that 54% of Malaysian consumers believe that local brands are more attuned to their personal needs and tastes and 55% are supportive of local businesses.
To counter this, MNC brands are starting to shift the focus of the marketing messages to their strong heritage in the market and how they have been part of the country and region’s growth over the years. Global brands are also increasingly turning to using local celebrities to endorse and promote their products in order to forge a closer rapport with the local market.
The future of the Asian snack foods market
Asia has the world’s youngest and fastest-growing population. Combine that with more millennials joining the workforce (as research shows that they love their snacks) and increasing income, we are seeing an expanding demand for snack foods.
Millennials, also known as Generation Y or those born between 1980 and the early 2000s, want their food to be easily accessible and simple to consume. Mintel’s research shows that millennials are more likely than any other generation to snack four times a day or, in many cases, more than that. Snack foods and millennials is indeed a match made in heaven.
In my next article, I will share my insights on the rise of Asian brands in the personal care category.
Damien Morot joined DKSH in March 2017 as Vice President of Business Development. Based in Bangkok, he is responsible for driving the business development for DKSH’s fast moving consumer goods business. Damien has a proven track record in business development and an extensive knowledge of Asia for FMCG.