No kettle needed: Japan’s cold-water cup noodles fly off the shelves
Nissin Foods, the company that invented instant noodles, appears to have created an entirely new category with a hit product: cup noodles made with cold water. Initial supplies of the handy meal – available in Spicy Kimchi and Chicken Salt Lemon flavours – sold out a week after hitting store shelves on July 20, according to Nissin. While the Tokyo-based company did not disclose sales figures, it…
Nissin Foods, the company behind the invention of instant noodles, appears to have come up with a novel product: cold-water cup noodles. Launched on July 20, these convenient meals came in Spicy Kimchi and Chicken Salt Lemon flavors, and sold out within a week, as reported by Nissin. While the company did not release specific sales figures, it had expected supplies would last one to two months.
Nissin, which holds nearly half of Japan's instant-noodle market, has a history of innovation to stay ahead of competitors like Toyo Suisan Kaisha and Sanyo Foods. The success of Cold Cup Noodle demonstrates the company's ability to connect with consumers by offering new, diverse flavors tailored to changing food cultures. Macquarie Equity Research analysts Linda Huang and others noted that Nissin is accelerating the launch of innovative products and focusing on balanced distribution across multiple channels.
Since its inception in 1958, the basic formula of instant noodles required hot water. However, the new Cold Cup Noodles can be consumed in just five minutes, catering to the growing demand for cool foods during hot weather. Developed over five years, the product employs a patented process that results in smooth yet firm noodles.
The unique selling point of Cold Cup Noodles is that it can be enjoyed without the need for hot water, which has made it a popular choice during warm weather. Nissin, with a market capitalization of 869 billion yen, highlighted that the new product was developed with a smooth yet firm noodle texture.
The launch of Cold Cup Noodles has gone viral on social media, with influencers sharing their taste-testing experiences and experimenting with different liquids like soy milk and tea to rehydrate the noodles. The craze for the product even reached Hong Kong, where a local store held a one-day-only sale event with long lines of customers eager to try Japan's latest food innovation, according to The Standard. Nissin acknowledged that people had found the cold noodles useful as an emergency food due to its convenience.
Nissin has stated that nothing has been decided regarding production, year-round availability, or the introduction of new flavors. The company will consider its next steps based on the sales performance of the product. Senior analyst Shoichi Arisawa from Iwai Cosmo Securities commented that Nissin's playful approach with Cold Cup Noodle is a signature move by the company and will positively impact its branding.
"The company provides this added value through launching unique products instead of engaging in price competition," Arisawa concluded.
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