Lao coffee producer eyes larger share of AEC market
MONDAY, JANUARY 11, 2016
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A Lao coffee producer is hoping to expand its share of the regional market and is going all out to take advantage of the growing popularity of coffee drinking in Asean countries.
With the Asean Community now in effect, it provides an exciting opportunity for entrepreneurs in the region to boost their market share and seek out new points of sale.
“The Asean Community offers a great opportunity for Lao coffee because there are millions of coffee drinkers all around the region. But initially we have to be stronger here in Laos before entering bigger regional markets that need a huge budget to fund all of the operations involved,” said the owner of Sinouk Coffee, Mr Sinouk Sisombath.
Mr Sinouk spoke to Vientiane Times in Vientiane last Friday during the launch of Sinouk's Coffee Pavilion. He views the opening of the coffee pavilion as another step in strengthening the market for Lao coffee products.
“The pavilion is a learning house where Lao people can upgrade and professionalise their coffee making skills,” he said, adding that it is the first such educational centre in Laos.
He explained that Sinouk Coffee will use the centre to demonstrate the company's ability and the potential for Lao coffee production from the raw material stage right up to the creation of the coffee learning centre.
The pavilion has sections that feature displays describing the history of coffee, the history of coffee in Laos, and coffee cultivation and harvesting. The pavilion also demonstrates the roasting process, and has a room where visitors can sample the coffee and staff show the various ways in which they decorate the top of a cup of coffee by etching eye-catching designs. A barista classroom shows visitors how to pour and mix a good cup of coffee and serve it up attractively.
When asked about the possibility of expanding the franchise into neighbouring countries, Mr Sinouk said Thailand was their initial target market, followed by Cambodia, Singapore and Malaysia, but that was some way in the future.
“To begin with we have to think about personnel development. We want Lao people to be proud of Sinouk Coffee so we have to prioritise the development of the Lao employees who would be positioned in each country,” Mr Sinouk said.
Sinouk Coffee has become a well-recognised brand and has about eight cafes in Laos. However, the company is still keen to focus on improving its staff so that it can deliver the best possible service.
“I grew up in France so our plans include taking on French staff as that would attract customers from overseas and give them confidence in our brand,” Mr Sinouk said.
The newly opened coffee pavilion is all part of the company's policy to encourage people to learn the skills involved in the trade and perhaps become an employee of the company, he added.