U.S. snack firm Mondelez sees tasty growth in Thai market
Chewing gum may be illegal in Singapore, but Mondelez International is chewing up profits in Thailand with Dentyne and other brands and believes it can increase sales by 10 percent over the next two years for 65 percent market share, executives of the United States-based company said last week.
“We will do this by focusing on penetrating the segment of young, influential, trendy and health-conscious adult consumers,” said Tanant Suwanraksa, Mondelez International country director for Thailand. “We will make this possible, thanks to a truly exceptional gum and sensorial experience that provides three waves of juicy fruit flavors.”
The company may be best known for chewing gum in Thailand, but Illinois-based Mondelez International owns a broad menu of brands, many under its subsidiaries Kraft and Nabisco. Some of the Mondelez brands include Oreo cookies, Ritz crackers, Philadelphia cream cheese, Triscuit, Toblerone, and Chips Ahoy cookies.
The company, which employs over 83,000 workers in 160 countries, reported revenues of $25.89 billion in 2017. It is a public company listed on the NASDAQ.
In Thailand, the company has over 1,300 workers in three sites and dominates the chewing gum market, thanks to its Dentyne and Clorets brands. Its gum and candy manufacturing plant at Lad Krabang outside of Bangkok is its largest in the Asia-Pacific region, while its powdered beverage plant in northeastern Khon Kaen province holds the same distinction in that category.
According to A.C. Nielsen, Mondelez is also the market leader in candy, excluding gum, in Thailand. The company derives about 42 percent of its revenue in Thailand from candy and 36 percent from gum. Biscuits account for 13 percent, while chocolate and cheese are less than 5 percent each.
Mondelez said the chewing gum market in Thailand is valued at about $62 million per year, while the much larger candy and confectionary market is valued at about $1.8 billion.
Photo courtesy of www.facebook.com/DentyneThailand/