Ask any caffeine-loving Singaporean for their favourite brand of alternative milk, and they’ll probably say Oatside. From its initial launch in 2022 to its almost-household-name status in Singapore today, this home-grown brand has seen a meteoric rise to stardom — so much so that it sold out across many 7-Eleven stores nationwide during its $1-per-200ml packet promotion.

We are obsessed with Oatside, and with good reason. And it's not just famous in Singapore — over the past year, Oatside has been steadily growing its consumer base across Asia. Winning the hearts of Asians with plant-based milk, of all things, is no easy feat, yet they have managed this more than successfully in such a short period of time. 

So, why the hype around Oatside? How did it achieve such success? Let’s take a look.

1. Taste

Ever tried Oatside, then tried other brands of oat milk? You’ll find that it tastes quite distinct from the rest. As said by Benedict Lim, Oatside’s founder & CEO, oat milk can have “a huge variance in taste and texture between different brands because of the complexity of the oat extraction process”. 

Oatside’s taste rides on the comfortably familiar–the malty creaminess of drinks like Horlicks and Milo. In fact, many have quipped that the chocolate flavour tastes remarkably reminiscent of Milo, a drink that we grew up with and love dearly. 

This taste profile is no coincidence, with Lim intending for Oatside’s milks to lean towards the Asian flavour palate so as to differentiate his product. In an interview with the South China Morning Post, Lim said, “Many of us in Asia grew up with those drinks. That’s why Oatside’s maltiness is so familiar. I feel that food is all about familiarity and memories. What you taste in your childhood, you associate good memories with it. That can really bring joy to someone.”

“I felt like there was a window to create something that was more suited to the Asian palate – something creamy, milky, but with a smooth and easy aftertaste that you could drink not just with coffee but also on its own.”

Indeed, this direction taken by Oatside has resonated strongly with its target consumer base, with glowing reviews from all-around. As mentioned in an oat milk taste test by local food media platform Eatbook, “Oatside was also highly raved across all the panellists—there wasn’t a single negative comment about this oat milk.”

That’s when you know your product is good.

2. “Full-stack” strategy

Oatside proudly calls itself a “full-stack” brand, but what does that mean? “Full-stack” is a term often used in tech to describe the entire set of technologies used in building a software. In the case of Oatside, this means that they have full ownership over their factory and production line–and it is one of the only CPG (consumer packaged goods) brands in Asia to do so. 

Having such control of their supply chain means many things. For one, they are able to customise every step of the production process to achieve the optimal taste. Also, products can be R&D-ed and brought to the market as quickly as desired. This allows Oatside to tailor their production and their products in whatever way they think is best, and do so efficiently. 

Having a quick R&D process has its benefits, such as saving time costs, increasing competitiveness and improving profit margins (if the product is successful). Just a few months ago, in November 2023, Oatside unveiled a brand new product line for oat milk ice cream. Safe to say, the initial launch was a great success–it sold out within the first weekend, and a public sampling event “drew over a thousand attendees”.

It may be incredibly risky and challenging to build your own factory to manufacture your product from the get-go, but if your product succeeds, the benefits are numerous. Greater control, greater efficiency, lower long-term costs, greater long-run sustainability – by adopting this full-stack approach, Oatside is setting itself up for success in the years to come. 

3. Unique Branding Identity

What’s Oatside without its quirky branding? Colourful illustrations, anthropomorphic bears and oats, cheeky puns, sleek packaging – this is a brand whose strategy leans fully into the consuming habits of the youth. 

Oatside’s marketing attracts the younger millenials and Gen-Zs, who are drawn in by bold, whimsical packaging, and who are often English-speaking, fairly well-educated youths with disposable income. This audience happens to overlap with the consumers of plant-based milk, which is significantly made up of young people interested in plant-based alternatives or in hopping onto the latest coffee trends.

Additionally, the relatability of their social media content resonates with their audience, and helps to foster a sense of camaraderie. All this coupled with merchandise launches, appeals to “Go Oatside”, and memes on their Instagram page help to build a strong sense of community around Oatside, thus creating a committed and loyal consumer base.

Additionally, if you are a regular Oatside drinker like me, you may have noticed the Korean words on the top of their packaging (or Japanese if you were looking at an older stock). However, Oatside is a Singaporean brand with a factory in Indonesia. So where do Korea and Japan come in?

It’s no secret that Korean or Japanese products are perceived with a greater premium. This is just our theory, but it may be that this is an intentional branding choice on their part – to elevate the brand image and make their products more atas-looking. A small detail, but nonetheless an effective one.

4. Strategic Partnerships

Oatside is the king of strategic partnerships. Park Bench Deli, Coffee Bean, Toast Box…they have partnered with so many cafes, restaurants, and CPG brands, it's hard to list them all. These F&B establishments exclusively use Oatside for all their oat milk offerings, and also publicise their partnerships with Oatside in promotional posters and more. 

And it’s not just F&B businesses–they have collaborated with numerous clothing & lifestyle brands, such as Wacky Wears, Good Addition, and even Uniqlo. They have also worked with local singer-songwriter Sezairi to hold mini live sessions.

These partnerships may seem random, but they allow Oatside to portray itself as not just a beverage company. In fact, they help to create a lifestyle around the brand, and increases brand awareness while fuelling a sense of brand loyalty.

Conclusion

Oatside is one of the fastest growing CPG brands in Southeast Asia, and for good reason. Scaling a product is not easy, but with a well-thought out product and an effective branding strategy, they have managed to attract many consumers to the OAT-side--like me, for example.

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