In El Monte, there is a “Taiwan Costco” that offers authentic Taiwanese flavors such as oyster pancake-flavored potato chips and hand-washed ai yu seeds from Alishan. The founder, Jenny Chen, has transformed “New Taiwan Foods” from a small mom-and-pop store into a large-scale wholesale and retail business with five warehouses since its establishment in 1993.
Initially operating a small grocery store on Valley Blvd in San Gabriel, Jenny Chen’s store was well-stocked with various Taiwanese products despite its modest size. Customers quickly took a liking to the unique Taiwanese foods she offered. As business thrived, “New Taiwan Foods” also faced some challenges. Located near the current Hilton Hotel in a bustling area with limited parking space, the store sometimes received complaints from nearby residents about customer vehicles affecting the local community.
To expand and address complaints and storage space constraints, Jenny Chen made the bold decision to relocate the store from the busy district to the then sparsely populated and more remote El Monte. Initially concerned about a potential drop in business, Jenny Chen was grateful that loyal customers continued to support the store, with many still making the trip to El Monte for their purchases. Some restaurant owners who later partnered with Jenny Chen have established long-standing relationships.
During the early stages of the relocation, the environment in the area was quite desolate. Choosing a warehouse in the middle as their starting point, there were times when few cars passed by all day. The first one or two years after the move were the most challenging for the store. “New Taiwan Foods,” in addition to selecting better products for sale, utilized marketing strategies such as advertising and word-of-mouth referrals from loyal customers. With competitive pricing and quality products, the business gradually expanded, leasing a second, third, and eventually, five warehouses, becoming a large wholesale and retail enterprise.
The hallmark of “New Taiwan Foods” lies in its diverse range of imported products, especially those with Taiwanese characteristics that are favored by consumers. According to Evie, the former front desk manager, many products fly off the shelves as soon as they are displayed. Supply chain management poses as a major challenge due to the perishable nature of food items, uncertainties in transportation, customs clearance, and the like.
Amid the pandemic, the proportion of retail customers increased from 30% to nearly 50%, while the share of restaurant customers decreased to around 55%. This shift led “New Taiwan Foods” to adjust its product selection and procurement. Many consumers initially thought “New Taiwan Foods” was a wholesaler requiring bulk purchases; however, the store also offers retail products without membership fees. During the pandemic, many small families began shopping at the store, attracting a new customer base through word of mouth.
In addition to Taiwanese specialty goods, “New Taiwan Foods” has added many food items from mainland China with competitive pricing. Despite primarily serving Chinese restaurants in its early days, the customer base now includes a significant proportion of customers from Thailand, Korea, Spanish-speaking communities, and beyond. Evie mentioned a significant increase in the demand for raw materials from beverage shops in recent years. Consequently, the store has introduced various Taiwanese beverage raw materials and accompanying supplies such as drink cups and takeout containers.
To facilitate shopping for customers, “New Taiwan Foods” developed a subscription service for product notifications. Customers can subscribe on the company’s website, receiving automatic alerts once desired items are available, preventing them from missing out on popular products. Evie further explained that items like Jiade pineapple cakes and scallion pancakes typically sell out in less than two weeks. These products, without preservatives, have a shelf life of just three weeks. With their popularity, they are usually sold out within the consumption period, alleviating concerns about expiration dates.
By focusing on high-volume, low-margin sales, “New Taiwan Foods” has attracted a broader customer base. Not only do Chinese customers have easy access to delicious hometown flavors, but people from various ethnic backgrounds also have the chance to savor Taiwanese specialty foods.