Auntie Anne's, the market leader of soft pretzels in Thailand, managed by Central Restaurant Group (CRG), has adjusted strategy to cope with customer behavior during Covid. It has emphasized delivery channels, trialled the mobile store model, and grown smaller sized stores. The latest idea is a new product, CIY Create your Pretzel with the At-Home Pretzel kit, containing pre-mixed flour to make your own easy pretzels at home. Sales are projected to top 50 million baht.
Sucheep Tamacheepjareon, Chief Operating Officer, CRG disclosed that the Covid epidemic has slowed down sales in the bakery market, mainly from the economic impact of reduced consumer spending power, as people are being more cautious in their spending and eating out less. On the other hand, a majority of people have turned more to home cooking, and so the brand has realigned its strategy. For instance, it has focused on delivery sales channels, expanding locations of mobile stores (delco model) and brought out new products such as Grab and Go Products (almond butter pie, gummy pretzel) and Ready to Drink products (lemonade to go, lemonade take home). The latest product is the Cooking at Home category with the At-Home Pretzel Kit. This contains the flour to make pretzels at home under the concept Create It Yourself (CIY), to create your own pretzels easily at home.
The At-Home Pretzel Kit enables the easy making of pretzels at home. Inside the box is premixed pretzel flour, yeast and baking soda at a price of only $199 baht per box, to make 17 pretzels. The target groups are families, parents active with their children, amateur bakers and pretzel lovers. The product has been trialing sales since January at Auntie Anne's outlets in Bangkok. The welcome has exceeded expectations from both customers and reviewers. There have been reviews of baking the pretzels in both photos and videos which have generated engagement, and the content has been widely shared. Sales channels have thus been expanded to give greater coverage. Kits are now available at every branch of Auntie Anne's, all leading food ordering apps, online shopping websites, as well as the LINE official account, and Chat & Shop on the Facebook and Instagram pages of Auntie Anne's Thailand.
Communicating with customers has prioritized the brand’s own social media, such as posted video clips of how to make the Kit on Auntie Anne's Thailand’s YouTube channel, while there is also content on Facebook, Instagram, Twitter, LINE and TikTok.
The marketing plan has proceeded from the brand launch with promotion by influencers through a variety of online channels. There have been online activities, with a Challenge for participants to compete in creating dishes from the At-Home Pretzel Kit who are divided into two teams. There is #TeamPro who combine the At-Home Pretzel Kit with other appropriate ingredients, and #TeamShow, who are focused on creating something unusual and new. These activities have created awareness of the brand and have also added to the options in making the Kit.
Sales of the At-Home Pretzel Kit are forecast to bring in revenues for the brand of over 50 million baht, with 40% coming from store sales, 40% from e-commerce and 20% from delivery.
