Cuckoo Achieves 400% Sales Growth in the US and Vietnam... 'Localized Strategy Worked'

Cuckoo's Overseas Performance Increased by 56% Year-on-Year Last Year

Cuckoo has achieved over 400% sales growth through customized strategies in the United States, Vietnam, and other countries. The photo shows the Cuckoo Electronics Twin Pressure Master Chef. Photo by Cuckoo Electronics

[Asia Economy Reporter Kim Heeyoon] Cuckoo has seen a significant increase in overseas performance as sales surged sharply through customized strategies in the United States, Vietnam, and other countries.

According to Cuckoo Electronics on the 2nd, last year’s overseas subsidiary sales recorded 59.5 billion KRW, a 56% increase compared to the previous year. During the same period, Cuckoo Homesys’s overseas sales rose 19% to 310.1 billion KRW.

The driving forces behind Cuckoo’s overseas performance growth were the United States and Vietnam. Cuckoo Electronics’ U.S. sales subsidiary sales increased by 65% year-on-year, while Cuckoo Homesys’s U.S. rental subsidiary sales surged 432%. Cuckoo Electronics’ Vietnam subsidiary also saw sales jump 401% compared to the previous year.

Accordingly, Cuckoo plans to continue expanding its influence and growth in the global market this year through customized strategies reflecting the lifestyles and needs of local consumers in the U.S. and Vietnam. Cuckoo Electronics is securing a foundation for product supply and distribution network expansion targeting the local market through its U.S. sales subsidiary. Moving beyond rice cooker sales targeting Korean Americans, it has diversified its kitchen appliance lineup with products such as multicookers, making efforts to establish itself in the local market. As a result, rice cookers developed for multicooker use tailored to Western eating habits are receiving positive responses in the U.S. market.

Additionally, amid reduced outings and increased demand for home appliances due to the COVID-19 pandemic, the bread maker launched last March has rapidly increased sales in both offline and online distribution markets, becoming a popular product following rice cookers and multicookers.

Cuckoo Electronics plans to continuously introduce various kitchen and home appliances that meet the dietary habits and lifestyles of U.S. consumers this year as well. With growing interest in ‘well-being’ following the COVID-19 pandemic, it is strengthening localization strategies by offering rice cooker recipes using healthy grains preferred in the U.S., such as quinoa and oatmeal.

Cuckoo Homesys, supported by the rapid growth of its U.S. rental subsidiary, is advancing to secure the local market through a wider range of products and services. It plans to launch in the U.S. market this year popular domestic products such as the 100°C boiled water purifier and the in-and-out ice water purifier. An ice maker will also be introduced in June. Furthermore, it intends to diversify rental contract period options to expand customer choices. To capture the rapidly growing air purifier market in the U.S., it will release affordable compact products and expand sales to Canada, actively targeting the North American market.

Moreover, it is taking steps to solidify its position as a leading home appliance brand in the rapidly growing Vietnamese market. Cuckoo Electronics analyzed that focusing marketing on the pressure function of the popular Korean premium rice cooker ‘Twin Pressure’ model in Vietnam and building a digital marketing platform to target the local market positively contributed to last year’s sales increase. Cuckoo explained that it will focus on expanding its rice cooker lineup and diversifying kitchen appliance items such as blenders and dish dryers this year.

In particular, this year, Cuckoo Homesys plans to concentrate on laying the foundation for establishing its rental business in Vietnam. It will introduce rental products and services targeting the Korean community, led by air purifiers and water purifiers, and aims to expand distribution channels for clean living appliances throughout Vietnam in the second half of the year. Considering the high demand for clean water in the Vietnamese market, Cuckoo also plans to pioneer new markets through direct connection pre-treatment water purification filters, the company added.

A Cuckoo representative said, “Cuckoo Electronics and Cuckoo Homesys have achieved meaningful results in overseas business through local customized strategies amid the global COVID-19 pandemic last year, advancing as global home appliance brands. In particular, to maintain the performance of the rapidly growing U.S. and Vietnam subsidiaries and successfully expand the market, we will accelerate product development and services tailored to local consumers and markets, as well as new businesses.”

This content was produced with the assistance of AI translation services.