Consumer interest in Asian foods is about to kick up a notch or two, thanks to the summer games in China.

Asian dishes, already showing strong gains, are prime candidates for further growth based on media coverage of the summer Olympics in China. In the past, local cuisine and eating patterns have played a starring role right along with the games.

Stephen Chen, president, Joyce Chen Foods, Acton, Mass., says this happened when the games were held in Mexico and Japan, and predicts that “This will be a big year for Chinese foods, as people hear about the culture. For example, Westerners who have not traveled to China don’t know that pot stickers and dumplings are the number one fast food there.” His company plans to leverage this opportunity to promote frozen pot stickers and dumplings.

“The Olympics will create more consciousness about Chinese food. It offers retailers a great opportunity to go beyond the existing Chinese continuum and bring attention to the regional variations,” says Keith Chen (no relation to Stephen), president, Culinary Destinations, Toronto, Ontario.

Ripe for an Uptick

A Observers agree that the market is ripe for an uptick in interest in Asian foods because the products can be relatively healthy, are easy to prepare and offer something different.

Tim Tsao, vp of sales and marketing, Kahiki Foods, Inc., Columbus, Ohio, sees “a basic desire to eat various ethnic foods, including the broad spectrum of Asian foods.” Tsao notes that most cities now have a wide assortment of specific regional Asian restaurants and “People are more comfortable with the different formats, such as wraps, served in Asian restaurants.”

Because consumers travel abroad and dine in Asian restaurants more frequently, their palates are increasingly sophisticated, says Tom Bierbaum, director of marketing, Asian Sensations, Schwan’s Consumer Brands North America, Minneapolis.

"Their taste preferences are bolder and they are willing to try new flavors," he says, noting that more new items will be added to meet consumer needs. Recently, Asian Sensations introduced Sweet and Sour Chicken Mini Egg Rolls and Kung Pao Chicken Mini Egg Rolls, each with an SRP of $2.99.

Bierbaum says that growing interest in health and wellness is helping drive sales of Asian foods, which are generally perceived as having good nutritional profiles.

Mark Phelps, vp of Kent, Wash.-based InnovAsian Cuisine, says the challenge today is to design products that are lower in sodium and have cleaner/fewer ingredients. His company is introducing four new items this spring: Fire Grilled Thai Peanut Chicken Skewers with Jasmine Rice; Fire Grilled Teriyaki Chicken Skewers with Jasmine Rice; Fire Grilled Honey BBQ Chicken Skewers with Jasmine Rice; and Oven Ready Shrimp Purses with whole pieces of Shrimp.

Tsao categorizes Asian foods as either very authentic or mainstream. “The very authentic products may be imported,” he notes, “and the meals can have exotic ingredients such as lotus root.” Tsao points out that Baby Boomers have an inclination toward experimentation and know that Asian foods are healthier.

Kahiki Organic

He thinks natural and organic products and multi-serve sizes will be big this year, and Kahiki is launching a line of organic Asian products to address “the sea of change of health and wellness that is out there.”

Keith Chen observes that consumers are also more accepting of Asian cuisine, in part due to a growing population of second-generation Asians in the United States and Canada. He recommends that retailers look for Asian products with bold flavors, since “Consumers perceive these products as more authentic.”

Bierbaum points out that 44% of consumers who use individual frozen meals and 49% of those who use family size frozen meals say they would like to see more ethnic food dishes in their frozen meal choices, citing data from “Mintel, Frozen Meals, U.S., Sept. 2007.” He says the study also reports that two in ten consumers of frozen meals (a category similar to frozen snacks) say they eat frozen meals because they think the meals are “a great way to have ethnic food/interesting dishes.”

Manufacturers say American consumers may not understand the full range of taste variations in Asian foods, noting the big swings in palate preferences among the various geographic regions, even within a given country. Asian meals cooked at home involve natural ingredients and are often less complex than restaurant meals. Native Asians understand this, but Americans whose only exposure to Asian foods is in restaurants may be disappointed in attempts to re-create complex dishes such as Kung Pow Chicken at home from scratch.

Not on the List

Frank Sauro, national sales manager, Captn’s Pack Products Inc., Columbia, Md., notes that “The Asian convenience meal is not usually a shopping list item. The manufacturer must bring the consumer to the purchase decision point. Typical consumers for Asian foods are 35-45 year-old professional families with two incomes and higher education. These people recognize all sorts of Asian cuisine – Thai for example – because they frequent those restaurants.” He adds that they are after restaurant quality and convenience when they buy frozen Asian meals.

InnovAsians’ Phelps cites Technomic data noting that Asian is the second-largest take-out food category (behind pizza) in the United States. Calling the category underdeveloped at retail, he suggests dedicated Asian sets in the frozen, hot/cold service cases and grab-and-go areas.

He notes that some items may fail, but staying committed with quality products will win over shoppers who would rather stop by the supermarket on the way home rather than go through the hassle of ordering from a restaurant and waiting for delivery.

“Build it and they will come!” he says.

Schwan’s Gives Julie Roberts An Encore

Schwan's is extending and expanding its exclusive frozen foods partnership with award-winning country music star Julie Roberts this year, after experiencing significant volume increases for Asian Sensations and Red Baron Singles based on programs in 2007.

“Roberts initially contacted us about working together because our products are her favorite choices for pizzas and snacks," says Tom Bierbaum, director of marketing, Asian Sensations, Schwan’s Consumer Brands North America, Minneapolis.

Special packaging featuring Roberts on the front of Asian Sensations snacks and appetizers will be in stores nationwide and consumers will again have the opportunity to win a free, private concert by Roberts, live in their hometown, for 100 of their closest family and friends.

5 Steps to Better Asian Food Sales

1. Avoid being over-exposed on a few items, thus limiting overall variety. Do you really need eight brands of egg rolls?

2. Integrating Asian items with similar meal occasion products increases their exposure to mainstream shoppers. Would pot stickers be more visible along with snack or pasta items versus the Asian set?

3. Shun overly Americanized products. Does chicken chow mein from a restaurant really taste like the canned version?

4. Go with bold and exciting flavors.

5. Find a way to cash in on the excitement produced by the Olympic Games in China.