[News Space=Reporter seungwon lee] "One well-grown product is better than ten products from other companies."

 

This saying is also true in the distribution industry, which is going through a difficult situation due to the global economic downturn and the domestic market slump. In the distribution industry, killer products, blockbuster products, or so-called sales-making products that represent each company account for a significant portion of total sales, and they play a pivotal role in helping the company survive even in a recession.

 

Representative products that are selling well include Binggrae's 'Banana Flavored Milk', Nongshim's 'Shin Ramyun', Samyang Foods' 'Buldak', Lotte Chilsung Beverage's 'Chilsung Cider', Lotte Welfood's 'Pepero', Orion's 'Choco Pie', Dongwon's 'Tuna', OB Beer's 'Cass', and Hite Jinro's 'Chamiseul'.

 

These products account for a significant portion of the company's total sales and serve as the company's eldest brother, establishing themselves as a key driving force in the domestic market and also playing an active role as an export force overseas.

 

 

In the dairy industry, Binggrae's 'Banana Flavored Milk' is the company's overwhelmingly best-selling product. Banana Flavored Milk, launched in 1974, has secured over 80% of the domestic banana milk market share and is a 50-year-old brand known as Jicheonmyeong.

 

At Binggrae, 'Banana Flavored Milk' is a big hit, accounting for more than 20% of total sales. The sales of the banana milk-flavored product alone are close to 300 billion won. Binggrae recorded 1.3939 trillion won in sales and 112.3 billion won in operating profit in 2023. Based on domestic sales in 2023 (separate), the top-selling products are Banana Flavored Milk (20%), Yoplait (16-18%), and Bungeoppang Samanco (6-7%).

 

A Binggrae official said, "The secret to how banana-flavored milk has been loved as a long-running brand for nearly 50 years is that it has maintained its consistent taste and nutrition, but you can't leave out the image of the unique, pot-bellied container that comes to mind when you think of banana-flavored milk." He continued, "With the nickname 'jar milk,' it has become deeply engraved in consumers' memories, and has grown into a powerful brand that is now solidified as a representative image of K-food." 

 

 

In the ramen industry, Shin Ramyun is not only Nongshim's core product, but also a blockbuster product representing Korea. Out of Nongshim's total sales (domestic + overseas sales) of 3.41 trillion won in 2023, Shin Ramyun brand sales alone will amount to a whopping 1.21 trillion won.

 

It accounts for 35% of total sales. Riding the global K-food craze, overseas business continues to achieve success in over 100 countries centered around Shin Ramyun, and 50% of total operating profit in 2023 was earned overseas.

Shin Ramyun, which has maintained the top spot in the domestic ramen market for 33 years from 1991 to 2023, surpassed its domestic sales in overseas sales in 2021 and surpassed 1 trillion won in sales for the first time in 2022. In 2023, it recorded its highest sales ever as its domestic and international sales continued to boom.

 

A Nongshim official said, “Shin Ramyun’s status as a global brand is growing to the point where its overseas sales account for about 60%,” and “We will do our best this year to become a representative Korean ramen that can be proudly enjoyed overseas.”

 

As a representative export product of K-food, we cannot leave out the Buldak brand of Samyang Foods. In 2023, Samyang Foods' total sales will be 1.1929 trillion won, and the brand with the largest sales proportion is Buldak. As of 2023, Buldak brand sales were 840 billion won, accounting for 70% of total sales. The second place is the Samyang Ramen brand, and the third place is the Jjajangmyeon brand.

 

With over 80% of Samyang Foods' overseas sales coming from the Buldak brand, Buldak is also a top contributor to Samyang Foods' exports. The Buldak brand is currently exported to over 100 countries. Since its launch in 2012, cumulative sales have exceeded 6 billion units as of the first half of 2024, and cumulative sales amount to 4 trillion won. In particular, more than 4 billion units have been sold overseas, and cumulative overseas sales alone exceed 3 trillion won. 

 

Launched in April 2012, Buldak Bokkeummyeon has steadily expanded its fan base and has successfully expanded its product line to include Cheese Buldak Bokkeummyeon, Buldak Bokkeummyeon, Curry Buldak Bokkeummyeon, Super Buldak Bokkeummyeon, and Carbonara Buldak Bokkeummyeon, establishing itself as a definite 'K-food' icon. 

 

In particular, Buldak Bokkeum Myeon was launched as an idea from Vice Chairman Kim Jeong-su, daughter-in-law of Samyang Foods. It was a product that was developed with great care, with 2 tons of spicy sauce and 1,200 chickens used over a one-year period.

 

 

The killer product of Lotte Chilsung Beverage is definitely 'Chilsung Cider'. It is followed by Cheongha and Subok. Chilsung Cider, which is a sales leader to the extent that its representative core product is included in its name, is celebrating its 74th anniversary this year and has changed its clothes for the first time in 24 years.

 

Currently, Chilsung Cider is estimated to have more than half of the domestic carbonated beverage market represented by cider. Of the total sales of Lotte Chilsung Beverage carbonated beverages in 2023 of KRW 896.8 billion, approximately KRW 400 billion (45%) will be Chilsung Cider sales, making it a top-selling product. One out of every two carbonated beverages sold by Lotte Chilsung is Chilsung Cider.

 

In a situation where there are only a handful of products in the beverage market that have a single item worth over 100 billion won, the figure of 400 billion won is a huge amount.

 

Lotte Chilsung Beverage achieved external growth of '3 trillion won' in annual sales with consolidated sales of 3.2247 trillion won in 2023. CEO Park Yoon-ki is struggling to break through 4 trillion won this year. Since acquiring a 73.6% stake in Philippine Pepsi, which has annual sales of nearly 1 trillion won, and incorporating it as a subsidiary in October last year, the company's sales and operating profit have been reflected in the consolidated financial statements since the fourth quarter of last year. 

 

For middle-aged and older people, it is nicknamed 'picnic samhap (kimbap, boiled egg, and Chilsung cider)', for housewives, it is an essential item in recipes for hwachae, kimchi, and home cafes, and for the younger generation, it is a cultural icon that is expressed when a stuffy situation needs to be relieved in a refreshing and exhilarating way, or when one wants to accurately express something that cannot be easily said due to the opinions of those around them.

 

 

In the snack industry, Pepero is the undisputed top seller. Lotte Welfood's total sales in 2023 of 4.664 trillion won (consolidated basis, including overseas subsidiaries) and domestic sales of 3.3 trillion won are Pepero by far the top seller. It is over 5% of total sales at 202 billion won (5.0% consolidated basis, 6.1% domestic sales). Kokkal Cone is in second place with 79 billion won (1.9% consolidated basis, 2.4% domestic sales), and Xylitol is in third place with 76 billion won (1.9% consolidated basis, 2.3% domestic sales).

 

A Lotte Welfood official explained, "Pepero is Korea's first stick chocolate snack created in 1983, and it is a unique case in which the brand name is operated as a commemorative event," adding, "50% of total Pepero sales are concentrated between September and November, making it a snack that represents Lotte and Korea."

 

The most successful product that helped Orion grow beyond Asia into a global confectionery company is Choco Pie. Choco Pie, which celebrated its 50th anniversary this year, is Orion's single product with a global sales share approaching 20%.

 

In 2023, Choco Pie sales reached KRW 502.6 billion out of KRW 2.9124 trillion in global sales based on consolidated standards, accounting for 17.3%. Choco Pie sales reached KRW 80 billion out of KRW 1.07 trillion in total domestic sales, accounting for 7.5%. Following Choco Pie, Pocari Chip ranked second in global sales, and Ogamja ranked third.

 

 

The top seller of Dongwon Group is 'tuna'. Dongwon Tuna will account for 500 billion won (25%) of the 1.9892 trillion won in sales in 2023. It is a national food product that has maintained the top spot for over 42 years since its launch in 1982. It sells over 200 million cans annually, and as of 2023, cumulative sales have exceeded 7.5 billion cans.

Dongwon's second-largest sales brand is 'Denmark', a joint venture between South Korea and Denmark established in 1985, with sales of 400 billion won (20%) from around 110 dairy products including milk, fermented milk, cheese, plant-based beverages, and lactic acid bacteria beverages.

 

Third place goes to 'Yangban', which was founded in 1986 as the first Korean home meal replacement (HMR) brand in Korea. With a variety of products including staple foods such as Yangbanjuk and Yangbanbap, side dishes such as Yangban Kim, Yangban Kimchi, Yangban Guktangjjigae, and Yangban Jeokjeonrye, and desserts such as Sikhye, Sujeonggwa, Omija tea, and Gimbukak, it generated sales of KRW 250 billion (13%) in one year.

 

Ottogi's products with the highest sales of 3.4545 trillion won in 2023 were ramen and instant cup rice. In particular, 25% of total sales came from ramen. Of these, 'Jin Ramen' took up more than half, establishing itself as the nation's ramen after Shin Ramen.

 

Rather than focusing on a single product, Ottogi, the 'nation's food leader', has a diverse B2C and B2B portfolio covering a wide range of foods, including many 'market share No. 1' products such as ketchup, mayonnaise, curry, sauce, sesame oil, and pepper. In particular, the curry that Ottogi sold when it was founded in 1969 is especially memorable as it celebrates its 55th anniversary this year.

 

 

OB Beer's 'Cass', the undisputed No. 1 in the beer market, solidified its No. 1 position with an overwhelming market share in the domestic home beer market in the first half of 2024. In particular, Cass Fresh ranked first among beer brands with a 44% market share (ranked first in the domestic beer market for 13 years), up 1.7 percentage points (p) year-on-year, and widened the market share gap with the second-place brand to more than 3.5 times.

 

According to Market Link, a food industry statistics information provider, Hite Jinro ranked first in the 2023 soju manufacturer market share with 59.8%. During the same period, Hite Jinro's flagship brand Chamisul recorded a 46.8% market share, solidifying its position as an overwhelming market leader in the domestic and overseas 'soju sector'. Hite Jinro recorded sales of KRW 2.5204 trillion and operating profit of KRW 123.9 billion on a consolidated basis in 2023.

 

A distribution industry insider said, "Best-selling products that have established themselves as national brands are steady sellers that sell well every year regardless of economic downturns or booms," adding, "We will continue to work on developing products that sell steadily every year, rather than hot-selling products that sell for a brief season and then disappear."