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When it made a debut in the Japanese market in 2010, the Real Brownie stopped short of making only 600 million won. But during the first half of this year, the sale revenue from the item alone surpassed 19 billion and will break the 35-billion-won barrier by the end of the year.
Seoul, Korea ¶ July 16, 2012 -- Orion Confectionery’s premium brand Market O’s “Real Brownie” is gaining popularity in Japan, as its sales have increased 30-fold since the arrival there three years ago. This is another success case of the Korean Wave among the famously finicky Japanese consumers.
When it made a debut in the Japanese market in 2010, the Real Brownie stopped short of making only 600 million won. But during the first half of this year, the sale revenue from the item alone surpassed 19 billion and will break the 35-billion-won barrier by the end of the year.
An Orion official said, “We succeeded in entering the Japanese market based solely on quality without using any Korean Wave star for our commercial campaign.”
In Japan, the average price of mass-produced cookies and snack foods is 198 yen (US$2.50) while Real Brownie sells for 298 yen ($3.75). When Orion Japan salespeople visited buyers, they frequent were told “Are you out of your mind?”
After the 2008 scandal involving Chinese-made milk and infant formula contaminated with melamine, followed by the 2011 Fukushima nuclear meltdown, however, the Japanese consumers have become more aware of food safety. That’s how Orion’s premium quality marketing strategy worked to its advantage.
Genichi Yoshioka, the sales manager of Orion Japan, said, “Young consumers tend to buy expensive things as long as they offer good quality. We figured they would be the target consumers for our premium marketing effort.”
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