August 1 - 7, 2005 Myanmar's first international weekly © Volume 14, No.277
 
 
 

Consumers sweet on local fruit juice

By Zo Puii

DOMESTICALLY produced brands of fruit juice are continuing to gain popularity in Myanmar as delicious thirst-quenching drinks that also have nutritional value.

Unlike soft drinks, which are carbonated and contain mostly artificial sweeteners and preservatives, these juices usually have less sugar and also contain citric acid and the vitamin-and-mineral-rich pulp of various fruits.

Fans of fruit juice insist that it revives and refreshes them, and say that the healthy ingredients promote mental alertness and physical stamina – plus provide essential nutrients to hair, skin and blood.

“My family always drinks juice after our meals to aid digestion. This really works for us. We feel refreshed even if we’ve just had a big meal,” says U Maung Maung Lwin, the owner of Tharaphyu Cordial.

The popular brand of fruit juice syrup won the New Millennium Award at the 24th International Food and Beverage Awards in 2004.

Since starting Tharaphyu Cordial 1976, U Maung Maung Lwin has manufactured 17 kinds of concentrated fruit syrup, which are mixed with water to make fresh juice. Top flavours include lemon, plum, vanilla, lychee, strawberry and grape.

”Summer is a busy time for my workers and is our peak sales period,” he says.
U Aung Zaw Lin, the sales and marketing manager of juice producer Europe and Asia Commercial Co. Ltd, says the company’s sales also peak in summer, adding: “Not as many people drink water and juice during the monsoon because of the cooler weather. So we take into account consumer demand and limit production during the rainy season.”

Although sales drop during the monsoon, the company does not stop production. During such slow periods, many other juice manufacturers try to boost sales by lowering the price, but Europe and Asia Commercial Company does not, preferring to maintain consistency.

The company manufactures three kinds of juice – orange, tamarind and passion fruit – and packages them in single-serving 250-millilitre cups.

Passion fruit has turned out to be quite a popular flavour with consumers.

“Passion fruit juice is our latest product. We started producing it in 2003, though we’ve been manufacturing our other juices since 1998,” says U Aung Saw Lin.

Another thing that makes Europe and Asia Commercial Company’s juices appealing is its convenient packaging style. While local companies have been producing concentrated fruit juice syrup for a while now, “using bottled fruit syrup is time-consuming for consumers because they have to mix the syrup with water before they can drink it,” says U Aung Zaw Lin.

“The trend now is towards speed and convenience, so that’s why we now pack our fruit juice in 250-ml cups. It’s a lot easier for consumers and pedestrians to handle. They don’t need to spend time mixing the juice and they can drink it while working or walking,” he says.

But revamping fruit juice packaging alone is not enough to increase consumer demand.

U Aung Zaw Lin also concentrates his marketing efforts on TV advertising, explaining that this is the main way that consumers become aware of the company’s products. He believes TV advertising is the most important tool domestic producers can use to promote their brands.

“When we first started manufacturing juice, we didn’t use TV ads. That’s why consumers didn’t notice our products at first,” he says.

“Last October we changed our marketing strategy and since then our market has expanded rapidly. Our biggest consumers are in upper Myanmar, and teenagers also like our colourful packaging.”

However, U Maung Maung Lwin of Tharaphyu Cordial has a different view on the important of marketing.

“I’ve never had to use TV ads because I have a well-established market in Yangon. But I do respect businesses that use TV ads if the product quality is the same as what they advertise,” he says.

The two fruit juice companies also have different sales strategies.

“I deal directly with my customers and they pay me in cash when they buy juice,” says U Maung Maung Lwin. But Europe and Asia Commercial Company distributes juice to shops via sales representatives who earn a commission based on their sales figures.

While advertising can raise consumer awareness of fruit juice products and expand sales areas, some customers think that once a company starts marketing a product, the price will have to go up to pay for the advertising. In some cases, advertising may actually discourage consumers.

But U Aung Zaw Lin hastens to add that a box of 24 fruit juice cups still costs just K1600 – which is how much it costs before the company started advertising on TV.

“We raise the price only when the cost of raw materials goes up,” he says.
Besides keeping prices stable, producing juice under hygienic conditions is also a major goal for Europe and Asia Commercial Company.

“We work hard to control quality and meet hygiene standards,” says U Aung Zaw Lin.

“We collect raw materials from upper Myanmar and Shan State, buy the cups from China and manufacture our product in Mandalay using machines imported from Germany,” he explains.

“At first foreign technicians assisted us, but now production is run by locals.”
Tharaphyu Cordial’s production facilities are located in South Okkalapa township, Yangon, and employ many local workers.

“I manage the whole production process,” says U Maung Maung Lwin.
Both U Aung Zaw Lin and U Maung Maung Lwin say that the packaging used on their fruit juice ensures that these products will stay fresh for up to 12 months.

“We use special caps on bottles of Tharaphyu syrup so it will last for a year,” says U Maung Maung Lwin.

 

 
 
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