Targeting: How Vigor Kobo Bakery spur Taiwan Tourism

Preface

I am editing this post way behind deadline. It is so hard to write about Vigor Kobo Bakery because their experience from a bakery retail store to a brand simply echoes.

Vigor Kobo began as a small retail bakery shop in TamShui 20 years ago. Today, Vigor Kobo and its pineapple tart are the faces of Taiwan produce. There are many aspects of their success that we can reflect on. The psychological engagement of the consumers in their flagship store, the experience in brand building, their supply-chain management style, the precise targeting of Chinese tourists and the list goes on.

As I have mentioned in the group discussion, I am a cat person who gets distracted too easily. Hence, I lose the theme for a literary montage.

The Background

The F&B landscape is very competitive with low barrier of entry and highly similar products. Vigor Kobo faced the same issues. Competitors from Japan were copying their business model and small local bakeries ate into their market share. New products attracted the attention of consumers away from Vigor Kobo. This story echoes the experience of many companies in Singapore.

The Search for a Place in the World

Hence, Vigor Kobo undertook a transformation process to define itself and find a market position. Vigor Kobo’s signature product is their Pineapple Tarts. However, their pineapple tarts are not unique enough to create a selling point.

Fortunately, pineapple tarts are already a staple in the list of Taiwanese tourism souvenir and the tourism market is expanding.

Vigor Kobo must now undertake steps to pursue this market.

Question to self: What are my signature product and my USP? Where is my market?

Transformation Strategy

Lacking USP in their product, Vigor Kobo decided to sell an experience instead. This tourism experience will be unique to Vigor Kobo and hard for competitors to replicate.

A flagship store was built where people can see, touch, smell and feel the pineapple tart through multimedia and make pineapple tarts with their own hands. This personalized experience differentiated Vigor Kobo from all other bakery stores that sells a product. The memories from the experience made the pineapple tarts a memorabilia.

Question to self: How can my product create value?

Tilling the Land you Grow

Vigor Kobo identified that they can best benefit as a market leader by expanding the market. If more visits Taiwan, Vigor Kobo can sell more. Therefore, leveraging on its R&D capabilities, Vigor Kobo began to collaborate with the government to create products to push Taiwan Tourism.

The Epilogue

Now, every Chinese visitor to Taipei will make a trip to Vigor Kobo. They are expanding to China, reminding the Chinese of the taste of Taiwan.

This is a story of how a bakery can spur a country’s tourism.

Now, will anyone like to have a Singapore Sling Frosty with Curry Chicken and Kaya Toast?