[2024 Edition] Background of Taiwan and Korean Bread Trends and Implementation Strategies for Japanese Bakeries

In recent years, Taiwan bread and Korean bread have been attracting attention in Japan’s bread market. Their popularity has spread through word-of-mouth on social media, with specialty stores opening one after another. However, rather than letting this remain a temporary trend, how can bakeries leverage this opportunity for their own growth? This article analyzes the background of Taiwan and Korean bread popularity and explains the key points that Japanese bakeries should consider when incorporating these trends.

Why Taiwan and Korean Bread Are Popular in Japan

The popularity of Taiwan and Korean bread isn’t just about novelty. They have clear characteristics that match Japanese consumer needs.

Visual-Focused Product Development

Taiwan’s “nama shokupan” (raw bread) and Korea’s cream bread have outstanding visual impact. Korean bread in particular features colorful creams and unique shapes, with product design strongly conscious of social media appeal. For Instagram-generation consumers, “photogenic” bread has become an important purchasing motivator.

New Approaches to Texture

Taiwan bread is characterized by an even more moist texture than Japanese shokupan. Korean bread pursues “chewy” and “fluffy” textures to the extreme, presenting new possibilities for textures that Japanese people enjoy. These provide food experiences different from traditional Japanese bread.

Sweetness and Volume

What both countries’ breads have in common is that they are sweeter and have more volume than Japanese bread. Korean cream bread in particular contains an overwhelming amount of cream, creating highly satisfying products. This is an attractive element for consumers who value cost performance.

Market Potential of International Bread from Market Data

Looking at actual market data reveals the clear growth potential of international bread.

Rapid Expansion of Specialty Stores

From 2022 to 2024, Taiwan-style bread specialty stores increased approximately threefold, centered in urban areas. Raw bread specialty stores in particular have rapidly expanded through franchising following the success of their flagship stores. Korean-style bread shops have similarly accelerated their opening pace since 2023.

High Average Transaction Value

The average transaction value at Taiwan and Korean bread specialty stores is 1.5 to 2 times that of general bakeries. This is due to high product prices as well as multiple purchases aimed at social media appeal. These are noteworthy figures from a profitability perspective.

Repeat Rate Challenges

On the other hand, repeat rates for first-time customers tend to be lower than general bakeries. This indicates that many visits are driven by “novelty factor,” making the construction of sustained appeal a challenge.

Elements Japanese Bakeries Should Incorporate

We analyze the success factors of Taiwan and Korean bread and organize key points for application to your own store.

Product Development Approach

  • Texture Differentiation: Pursue textures clearly different from existing products
  • Visual Impact: Design considerations conscious of social media posting
  • Storytelling: Clearly communicate product background and production methods

Marketing Strategy

The success of Taiwan and Korean bread is also supported by effective marketing strategies. The following points are particularly important:

  • Social Media Utilization: Active information dissemination on Instagram and TikTok
  • Creating Exclusivity: Creating scarcity value through limited quantities or time periods
  • Providing Experiential Value: Tastings, production process tours, etc.

Pricing Strategy

Referencing the high unit prices of international bread, it’s important to set appropriate prices that match added value. However, careful price setting considering regional characteristics and customer demographics is necessary.

Precautions and Risk Management During Implementation

There are several precautions when introducing international bread.

Technical Challenges

The production methods for Taiwan and Korean bread differ from general Japanese bread making techniques. Sufficient research and practice are needed, particularly for fermentation management and use of secondary ingredients to reproduce textures. The decision of whether to faithfully reproduce authentic flavors or adapt them to Japanese preferences is also important.

Ingredient Procurement

When pursuing authentic flavors, special ingredients may be required. It’s important to secure stable procurement routes in advance and consider the possibility of using alternative ingredients.

Sustainability of Trends

Product development dependent on trends carries risks when trends end. When introducing international bread, it’s important to clarify positioning relative to your store’s core products and maintain a balanced product composition.

Implementation Strategies Learned from Success Stories

We examine effective implementation methods by referencing cases of bakeries that have successfully introduced international bread.

Gradual Implementation Approach

Many successful stores don’t immediately switch entirely to international bread, but start with fusion with existing products or limited items. For example, applying Taiwan-style production methods to Japanese shokupan or incorporating Korean bread decoration techniques into existing products.

Considering Regional Characteristics

While novelty-focused strategies are effective in urban areas, rural areas tend to prioritize price and ease of daily use. Adjusting implementation strategies to match your store’s location and customer base is key to success.

Importance of Staff Training

Staff product knowledge is essential for conveying the appeal of international bread to customers. Establishing a system where staff can appropriately answer customer questions about production characteristics, serving suggestions, storage methods, etc., leads to improved customer satisfaction and repeat rates.

Conclusion

The Taiwan and Korean bread trend shows new possibilities for Japan’s bakery industry. However, the key to success lies not in simple imitation, but in unique product development that combines these trends with your store’s characteristics. There are many elements to learn from – texture, visuals, marketing methods – but most importantly, continuously providing new value to customers. Why not try developing products that reflect your store’s character while referencing international bread trends?

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