“You have an american classic like the oreo. Why change it the craft. The answer answer was simple because after bringing the oreo to china in 1996 sales started to we started to do some research and said gee you know not sure everybody really likes this this american version. Which is quite sweet so we started testing alternatives and it took us a long time and a lot of prototypes.
Because we were trying to get exactly the right balance lorna davis heads craft china. She says. Remaking the oreo helped double sales in two years and made oreo the number one selling biscuit in china that first variation on the original one that looks the same but is less sweet and here s the biggest riff on the original the oreo wafer stick. We discovered that the wafer market was very very big here in china.
And we didn t have an offer in wafer and consumers really liked oreo. But actually they liked wafers so we launched this product with it which is a chocolate coated wafer and it has it comes in a in a in a prepackaged product like this and in 2006. This was the biggest single sku or biggest single item in china. It s the product that made history for kraft not only because it s so different from the original.
But because it s the first product developed in the china market and now sold in canada..
Korea and australia. I like the big front rows the hope is this kind of entrepreneurial spirit in local markets to spur crafts next big sellers. Automatic hit people just loved it yes you can told laurie oh. It may look different.
A second oreo. Yeah. That is a lot for our d. People.
Because she managed to create a coated wafer product. That still tastes like an oreo that s really impressive from there the number of variations grew white chocolate covered wafer sticks. A cookie line with cream that can be used as a straw and a super long wafer cookie. The wafer sandwich.
So you can see it behaves exactly the same as an oreo you just have to take it apart and of course..
It s extremely duncanville kraft also came out with a smaller and more affordable pack of cookies. One of the things we found was that there were many people in in china. Who really liked oreo. But their absolute available available money at any time was not enough for a full pack of oreos full pack of oreos has about 70 us cents.
And so this pack is 35 cents. And it does particularly well in the second and third tier cities even that pricing difference selling something for 35 us. Cents versus 70 us cents makes that much of the difference in sales a very big repeat and to get consumers to try the new oreos. A promotional blitz from in store samples.
Which often result in immediate sales to commercials that showed consumers the traditional american way of eating oreos from twisting. The oreo apart and licking the cream to dunkin. Evan milk. All of it foreign to the chinese consumer.
And what i think is important with oreo is that the ritual is on the surface of it about cookies and dunking into milk reality is many people even americans don t dunk it..
But it s a moment of connection. It s a moment of fun between parents and children particularly up next china s internet battle royale. You may be surprised. Who s playing catch up here to the american viewer out there to the american investor well google has a deep pockets.
We ve got the experience. It s not the brand name why isn t it a leader in time the answer when we come back. Plus. Find the american dream half a world away a rare look inside home depot s push to get the chinese to do it themselves made in china.
The people s republic of ” ..
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