photo from web.
“Portuguese egg tart effect” is very well know marketing history in Taiwan, and people/customers are still behaviouring like this.
Portuguese egg tart effect happened in the end of 1997, one of the Hong Kong entertainers imported Portuguese egg tart, and he knows well how to use media to promote this product.
Egg tart were so popular within one month, and all Taiwanese were crazy for putting in line for one day in order to taste and show off.
Lots of businessmen were following this trend that they opened one store after another within one week that over ten Portuguese egg tart stores can be opened on the same street.
Win-win situation happened, customers were so happy to buy Portuguese egg tart anytime and businessmen made lots of money in short term due to market needs.
It was so easy to open a petit store without any concept nor investment, making money was so easy to sell Portuguese egg tart so people opened their store one after another.
KFC also selling Portuguese egg tart in Taiwan, they are the only chain store which sells egg tart till now.
The population of Portuguese egg tart effect was hit the market around one year, suddenly people did not like it anymore. Stores were forced to close by the poor market.
In this case/Portuguese egg tart effect, people know about the consumer behaviour in Taiwan:
1. businessmen like to copy the product which hits the market without thinking about concept and more. Copy and Paste are the things they do.
2. customer like to taste new stuff but get tired of it very soon. people like to put in line just want to show off they got it and taste before other and this behaviour makes them feel a sense of superiority.
3.The law of diminishing marginal utility. People feel bored when they can buy it anywhere, and have no privilege anymore. Businessmen want to make quick money and reply on one product which is created by others.
To be continued……
there are more and more examples like Portuguese egg tart effect.