UFC launches premium ready-to-drink canned coffee

Business News - Tuesday December 18, 2007

BEVERAGES / NEW PRODUCTS

UFC launches premium ready-to-drink canned coffee

PITSINEE JITPLEECHEEP

After freezing its coffee marketing activities for about five years, Universal Food Plc is preparing to aggressively resume expansion in the coffee market this month as part of a rebranding of its UFC product line.

Ouychai Rangchaikul, the company's vice-president for marketing, said it would introduce a premium, ready-to-drink UFC canned coffee soon. Universal also produces canned fruits and vegetables, seasonings and juices under the UFC brand.

Mr Ouychai said the company saw huge potential in premium coffee because there are no ready-to-drink products that use Arabica beans. All other canned coffee is made from instant coffee with Robusta beans. As well, the number of people who drink roasted and ground coffee at premium outlets continues to grow.

The ready-to-drink canned coffee market is worth eight billion baht per year and still growing at 5-10% annually. Most of the products are mass-market drinks selling for 12 baht a can.

''Our competitors are zero. We will no longer provide 'me too' products but will offer new products and a new marketing approach for a new experience, and to create new market demand,'' Mr Ouychai said.

Premium canned coffee is part of the company's plan to promote and modernise its brand image next year. Other new juices, coffees and canned-fruit products are planned as well.

The new UFC coffee will feature a barrel-shaped can containing 230 millilitres, compared to other brands with 180 ml. The retail price is 25 baht per can, 10 baht more than for other products.

The company plans to spend 20 million baht on sales promotions and advertising of the new coffee.

The company has long experience in the export market and also plans to sell its canned coffee abroad, starting with Southeast Asia and the Middle East.

Bangkok Post