Business

A tale of two wedding pastry stores

The disc-shaped “engagement cakes” deliver betrothal messages to the bride’s family and friends from the groom and his family. (Staff photos / Cheng Mei-ling)

• Publication Date：03/05/2010
• Source： Taiwan Today
• By  Tien-ying Hsu

Taiwan is no different from other nations in that it has a whole army of businesses that pamper to the needs of engaged couples and newlyweds: photography studios, banquet halls, bridal dress stores, catering services and so on, all in an attempt to make the wedding experience as splendid as possible.

In such a competitive business, it is not easy to survive for long, especially during the lean years, when the number of marriages falls. This was especially the case in 2009, during which 29.50 percent fewer couples were wed than the year before, according to figures released by the Ministry of the Interior.

Two wedding pastry stores, however, have managed not only to survive but also thrive—Jiu Yong Rei Zhen Bakery and Jiu Zhen Nan Food Co. Ltd. Both originated in Tainan in southern Taiwan, and both aim at an upscale market. The two stores specialize in traditional “engagement cakes,” which the bride gives to her friends and families, partly as a celebration of their love for one another, and partly as a status symbol.

These “cakes,” as they are called, are disc-shaped pies filled with mouth-watering sweet or salty fillings, made from red bean paste, nuts, meat stewed with soy sauce or a thin layer of dried egg yolk. With the round shape symbolizing a perfect happy marriage, the cakes can weigh as much as three kilograms—an indication of the wealth of the groom’s family.

These traditional cakes have lost some of their popularity with the public in recent years, whose tastes have become increasingly more westernized. But, remarkably, sales of the cakes by these two stores have remained unaffected.

What is just as remarkable is that the two stores have prospered by adopting contrasting business strategies. One has shunned advertising, distrusts change and is skeptical of any rapid expansion. The other, by contrast, is run according to modern management principles: it opens up new branches constantly, uses advertising to increase sales, and tries unabashedly to court a younger clientele.

Jiu Yong Rei Zhen, meaning “auspicious and precious,” was founded in Tainan in 1917. In spite of its islandwide popularity, it has refused to open any branch stores. Aside from the irresistible aroma of freshly baked cakes, very little else in the simply furnished store suggests its immense distinction.

Its only advertisement has been by word of mouth: grandmothers, mothers and daughters recommending its goods generation after generation.

An experienced artisan showed freshly baked pies at Jiu Yong Rei Zhen.

“Our secret is: to make no changes!” said 45-year-old Chang Jui-lin, son of second-generation owner Chang Zai-xing. The father and son believe that, in a westernized society, their 100-year-old recipes are unbeatable in the face of the emergence of alternative forms of wedding treats such as biscuits and fancy cookies.

“The bride cake market has been shrinking, and many of our competitors have been forced to close down. That’s all the more reason for us to stick to our original recipe,” explained the son.

The strategy has paid off. From August to December by the lunar calendar, the shop receives an average of 25 orders monthly, with each order placed requesting anywhere from between 20 to 400 boxes of cakes.

And even though the store has no branches, almost one third of the orders come from customers in the north. They are especially appreciative of the traditional cakes sold by the store, the owners explained, because by living up north they have in some ways been cut off from their southern Taiwanese traditions.

“In this shrinking market, instead of trying to get bigger, we think it is better to try to cater to those whose families have been purchasing our cakes for generations, clients who choose us because they value our well-kept traditions,” father Chang explained.

“I am confident our firm base of clientele will help us to survive for many years to come.”

Like Jiu Yong Rei Zhen, Jiu Zhen Nan started out in Tainan, in 1890. But it has refused to stay put in one place: after relocating to the larger neighboring port city of Kaohsiung, it began opening one branch after another, so that it now boasts nine branches located throughout the island.

Lee and his modernly designed box of wedding cakes.

Eric H. C. Lee, the 52-year-old owner of the company, explains that he does not want only the same old clients from the past. “While we are based firmly on tradition, we have also embraced modernity—including a new group of modern clients,” he said.

When Lee took over the family business in 1996, he had a clear plan in mind. He would try to attract a crowd aged between 28 and 37, because this age group has the financial wherewithal to purchase the high-end cakes offered by Jiu Zhen Nan.

To make his products more appealing to this group, Lee reduced the size and sweetness of his engagement cakes in accordance with the modern preference.

He also repackaged his products and wrapped his engagement cakes in chic, modern-looking boxes. The creative packaging even won him the German iF Communication Design Award in 2009.

“Good products have to be presented in an appealing package,” he explained.

But Lee did not end there. He also tried to find new outlets. In the early 1990s, he opened a branch store at the SOGO Department Store in Kaohsiung City, something that was unheard of for a traditional cake shop back then.

His logic was clear and simple. As he explained: “Where else, if not in a department store, can you find customers willing to purchase tens of billions of NT dollars worth of goods per year?”

With the inauguration of Taiwan High Speed Rail Corp., Lee won the right to set up independent stands inside several stations, including the northern Hsinchu station in January 2010. The THSRC shops are not meant to earn money, Li said, but to promote the company’s brand image.

“Jiu Zhen Nan’s cakes are fine examples of the wedding and food culture of southern Taiwan. With the high speed rail’s high volume of passengers on a daily basis, I hope more people will come to appreciate our refined, special engagement cakes,” Lee said.

It is not clear which store has the better philosophy. Businesses that expand too aggressively have been known to succumb to their own expansion plans. But then again, stores that refuse to change sometimes lose out as well.

One thing is clear: as long as people continue to fall in love and get married, there will be a need for wedding cakes. Jiu Yong Rei Zhen and Jiu Zhen Nan both stand ready to offer some of the finest choices available. (HZW)

Write to Tien-ying Hsu at: tyhsu@mail.gio.gov.tw