Tingyi Holding, China's largest producer of instant noodles, renowned for its Master Kong brand, has, for the past two decades, been the leading innovator in the industry in terms of flavors, techniques and operational concepts. The company has thus been largely responsible for transforming the industry's "Made in China" image to one of "Created in China".

Tingyi Holding, China's largest producer of instant noodles, renowned for its Master Kong brand, has, for the past two decades, been the leading innovator in the industry in terms of flavors, techniques and operational concepts. [Chinanews.com]

Instant noodles, invented in Japan in 1958, were introduced into China in 1970, with the very first pack being produced at the Shanghai Yimin Food Factory. The industry has since gone from strength to strength, with annual output soaring from a mere 200 tons in the 1970s to more than 700,000 tons in the early 1990s, rising further to a staggering 7 million tons in 1995. Growth has remained steady ever since.

As a leading household name in the industry, Master Kong has played a leading role in localizing this instant food to fuel its development in China. The company scored a big hit by introducing its classic braised beef noodles to the market in the early 1990s. The flavor has long been a favorite with Chinese people.

When the instant noodles market stagnated due to weak demand from consumers, who were growing tired of the one available flavor on offer, Master Kong undertook a range of innovations and studies with the aim of developing a range of flavors in line with both traditional Chinese culinary and noodle culture and customers' tastes. As a result, the company has developed a range of nearly 300 flavors based on local flavors. In 2011, sales of locally-flavored products accounted for about one-quarter of the company's total revenue.

The company's step-by-step strategy included promoting the most popular flavors from a particular region in other regions. If the flavors sold well beyond their traditional borders, the company would then launch them nationwide. Currently, the top 5 best selling Master Kong noodles include braised beef flavor, hot and spicy flavor, shiitake mushroom flavor, shrimp flavor and pickles flavor. In 2012, two newly developed flavors, sour and spicy beef flavor and stewed beef flavor, became hugely popular across the country.

Master Kong has also made significant strides in terms of updating and improving its production techniques. The main reason for doing so is to meet the surging demand for its instant noodle products in a country with such a large population.

Master Kong's efforts in this respect are perhaps best illustrated by its plant located at the Tianjin Economic-Technological Development Area (TEDA). Dozens of manufacturing processes, from raw materials processing, finished products to packaging, are all completed rapidly and automatically on the plant's production lines. Supervisors oversee the processes to ensure the steady operation of the production lines.

The plant, developed in 2007, covers a total area of about 200,000 square meters. Its annual output has increased from 80 million cartons to 220 million cartons, which translates into more than 5 billion packets of instant noodles. The figure is equal to the annual output of the Japanese noodles industry. The company's aim was for each production line to make 500 packets of instant noodles per minute, an achievement unmatched by any other plant in the country.

To this end, Master Kong has focused on addressing technical problems. The company's R&D staff carried out numerous experiments with the equipment suppliers to devise a satisfactory system for continuously mixing dough. As a result, a unique wheat flour storage system was developed to meet the challenges posed by large-scale, high-speed production processes.

Master Kong's ability to corner the market has been greatly aided by the fact that it boasts the largest such production plant in China, along with the most efficient production techniques and, ultimately, a diverse range of products. This competiveness has also afforded the company a broader vision in terms of how it views its role in both promoting industrial standards and introducing innovations into the domestic food market.

To take up and then advance Chinese culinary culture, the company opened an instant noodles impression museum at its Tianjin plant. This museum has become a must-visit attraction for those looking to experience a taste of Tianjin's industrial culture. Visitors to the museum can see for themselves the innovations conceived and introduced by Master Kong to the instant noodles industry. They can also get a sense of the industry's development over the past 20 years, and learn more about the long history of Chinese culinary culture, as well as Master Kong's efforts in promoting traditional Chinese culinary culture.

Lu Zongqing, vice director of the business planning division at Master Kong, and a firm advocate of establishment of the museum, said that Master Kong's achievements in the industry would have been impossible without its recognition of, and constant reference to China's traditional culinary culture. "Master Kong has taken into account both 'hardware' and 'software' for its brand fostering strategy," said Lu. "'Hardware' refers to physical facilities such as plants and logistics, while 'software' refers to the cultural perspective."

The value of the Master Kong brand lies in the word "master", and the company's mastering of China's rich culinary culture. This has enabled the company to turn Chinese instant noodles into a product designed and created in China, rather than one which is merely "Made in China". Master Kong's diversified development strategy is in contrast to other companies, allowing it to prioritize innovation and brand operation. The company has, as a result, become the undisputed market leader.

 

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