CPF to promote 'CP' as a global food brand
In bid to promote the CP brand, Charoen Pokphand Foods (CPF) has shifted its bulk trading of chicken and pork into modern packages with the CP logo, which is also aimed at achieving sustainable sales growth of 10-15 per cent.
CPF yesterday launched its new marketing strategy, which will allow the company to distribute more premium-quality goods to consumers, including 5 stock-keeping units (SKUs) of chicken and 6 SKUs of pork products.
The plan has been drawn up not only to enable the company to achieve targeted sales growth of 10-15 per cent but also for CP to become a global brand.
Somsak Hongsrichinda, the company’s acting senior vice president for modern trade, said the plan would put greater focus on the CP pack brand in product distribution. It also plans to increase the ratio of pack-brand goods to bulk trading from 10:90 to 30:70 within the next three years.
“We are walking towards our goal to become a global brand in the food segment and food-solutions manufacturer to ensure consumers food safety from the farm to the table,” Somsak said.
So far, the company is the market leader of pack-brand goods like chicken, pork, and ready meal with 31-32 per cent of the total market value of Bt6 billion. It is targeting its share to reach 35 per cent within the next three years.
Somsak said the strategy was devised after its market survey showed that consumers want higher-quality goods, smart packaging and products that cater to their lifestyle.
At present, the company’s fresh chicken and pork sell through three methods in the hypermarket and supermarket: by bulk (fresh goods dumped on a big tray, allowing consumers to select and pick up as much as they want); the butcher shop; and products on the shelf.
“The bulk-sale practice will not make consumers aware that they are consuming CP’s quality products as there are no signs on display,” Somsak said.
Under the strategy, CP brand chicken and pork will be contained in transparent trays and plastic wraps, which will allow consumer to see their selected products. The product is also packed in smaller containers to serve customers’ needs of between 150 and 300 grams per pack. The price is a little higher than in the bulk trading practice.
Bulk selling will continue to serve clients in supermarkets and hypermarkets but it will be gradually reduced.
Somsak said CPF was marching towards its goal to become a global brand through the company’s manufacturing strengths, including sausage, fresh goods, ready meal, vegetables, fruit and frozen goods.
CPF’s total sales are forecast to grow by 10-15 per cent to Bt210 billion despite the severe floods this year.
