Phoenix Lava : Bun of Giving “We Care about Customer Experiences”
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Inspired by Hong Kong’s Chinese steamed buns with lava-fillings, Mr. Parin Suksmith founded Phoenix Lava in Thailand. His vision is to serve Phoenix Lava buns to not just consumers across Thailand but also overseas, through franchising.
What is Phoenix Lava?
Mr. Parin reveals that while working in Japan, he and his younger brother spent their free time developing bun recipes and studying the Thai market.
Their study shows people usually buy buns to give to others or prepare as snacks for events. After exploring more than 300 bun shops in Bangkok, the two siblings have concluded that they will position their brand as “Bun of Giving.” Phoenix is chosen as the brand name because it represents changes and new things.
“I am lucky to have a brother and a team who know well about food science,” Mr. Parin says. His brand now offers buns with a great variety of fillings and plus dim sum.
“We have now developed our products to ensure they are ready for microwaving too,” he added.
There are now 10 Phoenix Lava branches in Thailand. Three of them belong to franchisees. Overseas, there are 2 branches in Macao.
Attention to Packaging
Phoenix Lava carefully selects ingredients to create the best taste, and pays serious attention to packaging design with aim to promote brand identity and recognition. The brand uses yellow 37.5-cm-long boxes that fit well into a fridge. Every pack of steamed buns has a label showing its fillings as well.
Caring about its customers, the brand also seeks to ensure that its products taste nice even through delivery services.
COVID-19 Pushes up Sales
During COVID-19 crisis, four branches of Phoenix Lava were closed because they were located inside department stores that had to shut down during lockdowns. To deal with impacts, the brand was quick to set up new branches and implement stringent cost control.
The locations for the new branches are chosen from areas where the brand had never had an outlet before. The strategy is to rent shop houses, which can serve as Cloud Kitchen and accommodate delivery orders. Although these places may not be in the busiest corners of the town, their rent is cheaper. They can attract local customers and support deliveries, which now account for 45 percent of the brand’s total sales.
As for its 2020 goals, Phoenix Lava plans to ensure that through branch-network expansion. Next year, the brand will sell its franchises to operators in provinces such as Chon Buri, Rayong, and Chanthaburi.
EzySteam™: Caring Solution to Pain Point
Mr. Parin says he started working with SCG Packaging because of shared commitment to develop innovative solutions that address customers’ pain points. The first task for the collaboration is to develop microwavable bun bags that can keep the good taste, as microwaving is much more convenient and faster than steaming.
“It takes about six months to develop EzySteam™. The current EzySteam™ bags are our third version. I have much admiration for SCG Packaging’s work. It works hard and constantly checks feedback,” he says.
Phoenix Lava has also used Dezpax, which offers custom-made packaging at reasonable prices. Packaging for most of Phoenix Lava’s new products come from Dezpax.
Generating Revenue from Existing Resources
“SMEs should generate income from existing resources such as assets or abilities. Experiment new things but do not increase cost,” Mr. Parin advises.
“I must say that persons who successfully got out a crisis have potential to fly high. So, SMEs should quickly adjust themselves to the New Normal. You all have my moral support,” he concludes.