Household name

Hoe Kian Choon, CEO and founder of Cuckoo International, says the company remains intent on providing solutions that cater to the needs of all customers, regardless of lifestyle, background or spending power. — Photo: ART CHEN

THE first time Hoe Kian Choon came across the brand Cuckoo was at a South Korean airport about a decade ago. “There were all these travellers walking around carrying Cuckoo branded rice cookers and it really grabbed our attention,” the founder and CEO of Malaysia-based Cuckoo International recalls.

“We learned that Cuckoo’s rice cookers were very famous there, and it was common for people from neighbouring countries like Japan and China to fly over and buy them to bring back home as gifts or for their own use.”

At the time, the entrepreneur had been travelling in search of his next business venture, armed with a list of potential brands to explore. Cuckoo, interestingly, had not been one of them. It was only after this unexpected encounter that the South Korean-founded brand flew to the front of his radar.

Several company and factory visits later, Hoe decided on bringing the Cuckoo brand over to Malaysia, starting off as a distributor in 2014. “I chose Cuckoo because I believe product quality is important, as is continuous product development,” he explains.

In 2015, he partnered with Cuckoo Korea to establish Cuckoo International in Malaysia as the brand’s first overseas joint venture company. It did not take long at all for the business to find its footing in the local market.

Cuckoo quickly made a name for itself here as a leader in water purifiers and air purifiers, growing its customer base with innovative and health-focused household appliances which were made accessible through its rental-subscription payment plans.

By 2016, it had expanded overseas to Singapore and Brunei, and in 2018 it became the official hub and sole distributor for South-East Asia. Today, the company boasts over 450 outlets across Malaysia.

“When I started this business, I told my team that I wanted to hit a million household users,” Hoe states. “We made that happen in 2020 when we accumulated a total of one million accounts within only five to six years.”

Since 2020, the company has recorded over RM1bil in revenue for four consecutive years. The last few years have also seen the business broaden its offerings beyond home appliances to encompass mattresses, massage chairs, skincare and nutritional supplement products, and home care services.

As it celebrates its 10th anniversary later this year, Cuckoo International is more driven than ever in its mission to create healthy households by providing a diverse ecosystem of health-enhancing lifestyle solutions.

Raising standards

Prior to founding Cuckoo International, Hoe’s extensive business experience included starting up a restaurant and an online B2B furniture portal. He then spent a number of years in a prominent multinational company specialising in household appliances, where he no doubt honed his expertise in the industry.

Leveraging on this experience, he set out to introduce Cuckoo to the Malaysian market, beginning with a small range of rice cookers and water purifiers. Although the brand had been renowned for its rice cookers back in South Korea, it was its top-of-the-line water purifiers that emerged as a hit with local consumers.

“We actually intended to start with one of the brand’s strongest products, the pressure multi-cooker, but due to my background as well as my team’s, the water purifiers became a highly saleable product,” he notes.

“As a result, from 2014 to 2019 we were very focused on the water purifiers. Even now, water purifiers contribute to 70% of our total revenue.”

The CEO reveals that the team identified an opportunity in the market when it came to water purifiers.

“At the time there was only one other company providing water purifiers with a rental plan, and our aim was to offer a second option to customers. We targeted a white space, as no one else was emphasising mild alkaline water dispensers besides us.”

In addition to its water purifiers and multi-cookers, Cuckoo International’s household product range spans categories like air purifiers, induction hobs, washers, dryers and outdoor water filters. Having attained its million user goal in 2020, Hoe shares that the business then turned its attention to diversifying its offerings, building upon its vision of fostering healthier lifestyles in Malaysia.

With the aim of becoming the country’s leading ‘healthy home creator’, the company has expanded to include three additional segments. Cuckoo Co-Creations, the arm dedicated to collaborative household innovations, has featured collaborations with Ogawa, Fujiaire and Napure to innovate and develop a massage chair, air conditioner, and mattress respectively.

Meanwhile, its skincare and nutritional food brands WonderLab and WonderDewi provide premium beauty and wellness product lines designed to elevate everyday self-care routines such as masks, serums, and probiotic drink mixes.

Lastly, WonderKlean offers professional home care services that range from indoor disinfection to mattress, air conditioner and kitchen appliance cleaning.

According to Hoe, the various components are anchored together by the core pursuit of better health and living.

“All our products have to come with a healthy element,” he stresses. “Our focus is to help people achieve healthy lifestyles through our solutions, and I think this gives us a very unique positioning compared to other market vendors.”

Empowering healthy living

Another aspect in which Cuckoo International differentiates itself from its competitors, Hoe opines, is its deep commitment to the highest standards of service. Most Cuckoo products and Cuckoo Co-Creations come with complimentary after-sales services such as regular servicing and maintenance.

“IPSOS surveys done in 2019 and 2022 showing a satisfaction rate of up to 97% for our care service have confirmed that customers recognise our service quality as one of the best available,” he adds.

At the heart of Cuckoo International’s brands and their products are its rental and subscription based plans, which allow a wider segment of people to access its health-focused appliances and household goods at an affordable price.

A defining moment for the company, Hoe proudly shares, was the launch of the flexible monthly payment programme, GOOODPLAN. Under the plan, customers are able to choose the payment amount and time frame that best suits their needs, further reducing the financial barrier to owning these appliances for lower income groups.

“We can see in recent years that people are getting more health conscious and that well-being is on the uptrend,” he observes. “Our renting and subscription models are especially important because they make being healthy more affordable and accessible.”

Asked what lies ahead for Cuckoo International as it marks its tenth year in business, Hoe confidently shares that the company will concentrate on growing its presence in Malaysia, Singapore and Brunei while expanding its range of product offerings locally.

Currently, the company remains intent on providing solutions that cater to the needs of all customers, regardless of lifestyle, background or spending power. He adds, “Our tagline is ‘For All Kinds of You’, because we want to make healthy homes attainable for every kind of Malaysian.”

This article first appeared in Star Biz7 weekly edition.