Navigating the Rise and Fall of the Mala Hot Pot Trend: Insights for SMEs

In the past year, the Mala trend has been incredibly strong. Thai people have shown so much enthusiasm for Mala hot pot that many restaurants have had long queues. According to LINEMAN WONGNAI, food orders for Mala skewers and Mala hot pot have surged to a whopping 1 million orders, marking a 45% growth from 2021.

However, 2023 has witnessed a dramatic decline in the Mala hot pot trend. Prominent establishments in Thailand have reverted to buffet formats. Despite increased competition, the number of diners has remained constant. According to the Buffet Market Overview 2022, Thais continue to prefer buffets, with a growing trend expected over the next two years. This indicates that Thai eating habits still favor the all-you-can-eat format, emphasizing variety, satisfaction, and enjoyment.

What can SMEs learn from Thai dining lifestyles? Let's examine case studies from these two brands:

Suki Tee Noi- Targeting the Mass Market

A hot pot and grill restaurant widely popular among Thais for its affordable concept of "unlimited deliciousness from noon till dawn" priced at just 219+ baht. With 42 branches nationwide, it utilizes an accessible strategy that resonates deeply with the mass market while maintaining food quality.

Mo-Mo-Paradise - Targeting Mass-Premium Segment

A Japanese-style hot pot chain known for its authentic Japanese taste despite higher prices. Successfully targeting the mass-premium segment by meticulously managing a limited menu with premium quality. Mo-Mo-Paradise currently operates 25 branches, setting a high standard with Japanese meticulousness in ingredient selection, storage, and authentic dining experience.

SMEs can derive several strategies for business growth:

- Adaptation Strategy: Regardless of product or service type, readiness to adapt to market changes is crucial.

-Understanding Consumer Behavior: Key to aligning business offerings with consumer demands.

-Product and Service Standards: Essential for SMEs to differentiate themselves and provide value to customers.

Learning and adapting to consumer behaviors are crucial for consistent business growth, regardless of the business type.