|Katsuji Yoneda, Mister Donut overseas development manager, offers a value pack.|
Duskin Co, the franchiser of Mister Donut, plans to double its sales contribution from Asia outside Japan over the next five years, with Thailand as a key growth engine.
Katsuji Yoneda, the company's development manager for overseas business, said during his visit to Thailand last week that Mister Donut business outside Japan contributes 10% of overall sales.
All non-Japan income is generated in Asia, so the company will continue its expansion in the region, hoping to increase business contribution from Asia to 20% of total sales.
Mr Yoneda said Duskin would not pursue new markets in the United States and Europe, as they are too distant and their economies are saturated. The Asian market is more interesting in terms of population size and economic situation.
Duskin Group sales total US$50 billion a year. Some 65% come from the dust control business, 30% from Mister Donut and the rest from other food business.
Mister Donut is operated on a franchise basis with 2,400 outlets in Thailand, the Philippines, China, Taiwan, Korea, Malaysia and Australia.
By number of outlets, Thailand is the largest market with 262 stores, followed by 200 branches in the Philippines, which also has 1,800 kiosks in convenience stores and gas stations.
Mister Donut has 80 outlets in Korea, 50 in Taiwan and 20 in China. The company has one Australia store, which opened in August. Plans call for entry into Indonesia and Singapore next year.
"Thailand is the most important market for Mister Donut," Mr Yoneda said. "We keep investing in this market through Central Restaurants Group. Because Thailand has a strong economy and the population is so big, we are not concerned about flood problems because we believe the situation will be back to normal very soon."
One caveat about Thailand is indirect competition from convenience stores and coffee chains, both of which offer similar baked products.