Thai Brewery
Thai Brewery
Thai Brewery
December 2012
As Thailand has become an increasingly popular tourist destination, affection for the country’s food
At a Glance . . . and beverages has been shared by returning travelers, resulting in three phenomena: a growing number
of Thai restaurants worldwide, experimentation with Thai cooking at home, and a growing demand for
• Boon Rawd Brewery, the Thai ingredients in stores.
maker of Singha beer, saw
an opportunity to better Consumer demand for Thai products has been a big boon for Singha, which has led to a global network
understand its American, of distributors. To ensure continuing success, Boon Rawd Brewery, the maker of Singha, and Japan
British, and Australian
Business Consultants, Ltd. used quality function deployment (QFD) tools to research the company’s
customers as demand
for Thai food products in non-Thai customers to better understand their interests, motivations, self-image, and other character-
these market segments istics. Their findings were used to tailor marketing messages for Boon Rawd’s American, British, and
continued to boom. Australian customers.
• The company partnered
with Japan Business The researchers used the QFD-related tool kansei, a Japanese-created approach to identify product
Consultants, Ltd. and sensory attributes that affect consumer emotions and image, and analytic hierarchy process (AHP),
deployed QFD tools using a U.S.-created method to determine priorities based on human decision-making modes.
a five-step approach to
uncover the thoughts,
beliefs, feelings, and About Boon Rawd Brewery
perceptions influencing the
consumption of its products. Boon Rawd Brewery, owner of the Singha beer brand, is a
• The team’s findings were
privately held, family-owned business that was founded in
used to craft marketing 1933. It is Thailand’s first brewery and in 1939 it became
messages that tap the only Thai beer producer granted the country’s Royal
into consumers’ inner Permission. The Royal Warrant and the designation “By
psyches and began to Royal Permission” still grace the neck of every bottle of
appear in print ads
Singha beer. The brewery also produces non-alcoholic
beginning in 2009.
soft drinks.
Singha beer is available in over
50 countries.
Methodology
While traditional QFD tools have enjoyed longtime use among product developers1, the modern tools
in Blitz QFD®2 add deeper analytic insight into the unspoken needs of the customer. In this project,
tools such as the house of quality were unnecessary and were omitted in favor of adaptations of some
of the Blitz QFD® tools.
© QFD Institute. Published with There is no “one size fits all” way to deploy QFD, since each company, its management of the product
permission from QFD Institute. development process, its customers, technology, and other factors present unique challenges. QFD
Analytic
1 2 3 Hierarchy hierarchy
diagram process
Gemba visit Customer voice Affinity
4 5
table table diagram Structured High-value
Clarified Customer customer customer
Priorities
items image images images Marketing
Go to gemba Items Image
collateral
should be tailored to fit the company. The unique approach used often added in custom tailoring. In this case, the purpose was to
in the Singha beer project is depicted in Figure 1. note the best time and place to conduct the gembas. Unknowns
were also identified and explored in detail during this step.
Step 1. The Gemba
The table is also valuable for identifying key customers to visit,
The project began in the U.K. with the help of local Singha but this was already decided prior to starting the project.
agents. They arranged for the Singha team to visit the largest Thai
restaurant chain in London, as well as some pub chains and super- The gemba visits included 26 open-ended interviews with 57
markets for the gemba. The gemba team included: the authors; drinkers, observation studies of shoppers, and some demographic
Pichet Changkasem, distribution development manager; Jeerachot questions to qualify the respondents. QFD research has shown
Sathirakul, marketing manager; Boonchai Asavalitiporm, consul- that to obtain qualitative data, sample sizes of 20 will usually
tant; and Kasamapong Suttangkakoon, consultant. yield about 75 percent of the data, with additional samples
tending to repeat rather than add new data3. Interviews were
Gemba is a Japanese term that means the place where the truth can audiotaped so that the interviewer could focus on the customer
be learned, and it is commonly used in process quality improve- without worrying about writing large amounts of data.
ment to help find the true causes of deficiencies or variability. In
marketing and new product development, gemba now refers to the The audio data (over 271 MB) and interviewer notes are what
place where customers use the product and it is where we can learn QFD practitioners call raw voice of the customer data. In this
the truth about their needs, and in this project, self-image. Since the unanalyzed state, the raw data is complex, fast-flowing, and
best results occur when we can observe the customer in the act of includes many pieces of information that must be thoroughly
buying or consuming the product, timing is very important. understood. Modern QFD teaches several techniques to help
avoid these common cognitive errors:
A customer segments table, shown in Figure 2, was used to
ensure the correct identification of gemba opportunities. The 1. Affective errors—we only see what we wish to see.
table is built on the journalistic questions of who, what, when, 2. Attribution errors—we see only stereotypes and this bias
where, why, and how a product is used. Additional columns are closes our minds to differences.
Who uses product? What is product Where is When is Why is product used? How is product used?
used for? product used? product used?
Business people at lunch Go with meal Restaurant Lunch Lunch beverage, take edge off Glass
bad day or end of week
Business people relaxing Quench thirst Pub, indoors After work Relax after work, socialize with friends, Pint or bottle
after work at pub or outdoors while waiting for friends to arrive
Business people having Go with meal Restaurant Night Dinner beverage, relax in evening Glass
dinner with friends or family
Shoppers at market Drink later Home, BBQ ? Always buy beer ?
3. Confirmation bias—we cherry pick those facts that agree with Clarification is one of the more difficult steps in modern QFD
our preconceptions and rationalize away contradicting data. because it requires the team to discover the unknown unknowns.
4. Search satisfaction—we stop searching once we find In Figure 3, the clarified items are extractions of several of the
something we think is significant.4 verbatims collected, such as “mild” or “authentic.”
The team’s next task was to simplify the complex, sort the com- A little deeper analysis about a preference for preferring Corona
ingled, and analyze the unspoken. One tool for this is the gemba (a Mexican beer) because it is less gassy at lunch, as well as the
visit table. Figure 3 is an excerpt from one of the gemba visits. need to get back to the office without being drunk, formed the
clarified item of “work team.” Notice that the clarified items
There are different kinds of data inputs to collect for the table,
refer to Thai food, lunchtime, entertainment, beer and beverages,
namely observations (things we see), verbatims (things we hear),
self-image, and other matters. The purpose of this table is to cap-
documents (written data provided by the customer), notes (writ-
ten data and inferences produced by the gemba visit team), and ture these details and to trace the evolution of the data.
evidence (physical specimens, samples, failed or destroyed pieces).
For traceability, it is helpful to segregate these in the table. Step 2. Voice of the Customer
Another section of the table that described the interviewee char- The clarified items in Figure 3 contain data that is both directly
acteristics and the circumstances of the gemba was omitted from relevant to this study and some that must be translated into
this case study, but it is crucial to the step of simplifying, sorting, relevant data. A customer voice table, depicted in Figure 4,
and analyzing. This is called clarification, and it produces the was used to facilitate this translation process. The table should
clarified items shown in Figure 3. include necessary information to retain fidelity to the original
Things are
I feel special convenient Romantic Fragrant Refined sum row avg
Things are convenient 1 5 9 1 0.433 0.543 0.375 0.409 1.760 0.440
Romantic ⁄5
1
1 5 1
⁄3 0.087 0.109 0.208 0.136 0.540 0.135
Fragrant ⁄9
1 1
⁄5 1 1
⁄9 0.048 0.022 0.042 0.045 0.157 0.039
2.311 9.200 24.000 2.444 1.000 1.000 1.000 1.000 4.000 1.000
Inconsistency 0.04
Figure 8—AHP priorities applied to the kansei image needs hierarchy diagram
I feel relaxed
Private life
• Numerical scales can be tested for judgment inconsistency, “spend time the way I like,” “I am adventurous,” “break from
sensitivity, and other useful properties. the ordinary,” and “exotic.”
Starting with the highest level of abstraction in the hierarchy, Marketing Collateral
three more small focus groups were asked to express their pref-
erence for the kansei image needs. In addition to the kansei image needs, the Singha marketing team
also considered their brand truths of “authenticity,” as the first beer
The words were presented to them in pairs and they were asked in Thailand, “prestige,” as the only beer in Thailand brewed under
to identify which word was preferred and by how much using a
royal permission of HM King Prajadhipok Rama VII, as well as
verbal scale of somewhat, more, very much more, or extremely
the brand asset of Thailand as a travel destination. Thus, the
more preferred. In the AHP method, these verbal scales are
elements for defining the new brand essence were inferred from
entered into a numerical matrix and the calculated eigenvalues
the following formula: image needs + brand truth + Thailand.
(row average) quantify the ratio scale preference of the words.
Judgment inconsistency was also calculated and was within The kansei image needs hierarchy was generalized to a meta-
acceptable limits. Figure 7 shows the results of one of the hierar- metaphor of the journey of “drinking Singha from the first drop
chy branches of one of the focus groups. to the last drop.”
Figure 8 shows the AHP results applied to the hierarchy. The advertising agency Publicis was asked to create market-
Checked items are kansei image needs that would be given to ing collateral such as advertisements and promotions using the
an advertising agency to build marketing collateral, as they team’s findings. With “journeys, adventures, discoveries, experi-
indicate which self-image the market segments ultimately ences, fun, and authenticity—all captured in a bottle” in mind,
prefer. Other highly ranked kansei image needs included the agency distilled a new brand essence: “Singha Transports
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