Passage INSTANT NOODLE BRANDS GO, GOURMET,
People wanting premium instant noodles have looked to Japanese and Korean brands but more manufacturers are now introducing fancy ones in familiar local flavors. Prima Food was one of the first to tap into premium instant noodles niche in 2011 when it launched its Singapore Laska LaMian. Mr. Lewis Cheng, the general manager of Prima Food, says:” When we developed Singapore Laksa Lamian, we knew it would be high cost.” Some of the reasons for the higher cost included the use of better ingredients, the noodle manufacturing and retort process(heat sterilization process for the paste) and packaging. “Thus we had to position the noodle and target it at the premium market segment,” he says. “Although the target market for instant noodle consumers is generally price conscious, more are willing to pay a higher for better quality and nutrition.” He adds. While regular instant noodles can be priced as low as $1.80 for a pack of five, Laksa LaMian, part of Prima’s Easy Gourmet Indulgence range, costs $10.95 for a packet of four. It boasts new flavors too: Fish Soup LaMian and Chilli Crab LaMian. Brands are also going the premium route by putting their spin on other local flavors, featuring spic pastes instead of just powdered seasoning, introducing spicy flavors, and offering noodles with no added monosodium glutamate(MSG)
Questions:-
1) Apply the buying decision process to explain how a consumer reaches a decision when purchasing a smartwatch. a) Analyse two macro-environment factors that have contributed to the development of premium instant noodles, like Prima Laksa LaMian.
2) Employ 2 research approaches that can be adopted by marketers of instant noodles to gather primary data and determine consumer preferences.
3) Based on information from the case study, gourmet or premium instant noodles are 80% more expensive than regular instant noodles. Discuss 2 relevant price adaptation strategies that may be used to encourage more consumer to purchase Prima Food line of premium instant noodles.