FAS/Seoul Monitoring of Media Reporting on Agricultural Issues

Today's Date: Friday,  January 20,  2023

For Coverage:  January 9 ~  20, 2023

Hypermarket’s Pet Food Sales Show Strong Growth 
https://view.asiae.co.kr/article/2023011016401891377 
Summary:  Sales of pet-relevant products at hypermarkets are on the rise.  In 2021, ‘Molly’s’, a pet specialty shop of E-Mart, saw sales growth of 4.4% year-on-year, and ‘Colioli’ of Lotte Mart saw annual sales growth up 15%.  Home Plus also reported sales growth of 18% last month on the same period of the previous year.  Leading sales items have shifted from value-for-money food to premium items such as health functional foods.  ‘Colioli’ of Lotte Mart runs a health functional pet food sector, which doubled in sales last year compared to 2021.  The industry reportedly works on presenting a wider assortment of pet food and products as consumer demand becomes diversified. 

Pet Food Price Rise Amongst the Soaring Cost of Living 
https://moneys.mt.co.kr/news/mwView.php?no=2023011017182727417 
Summary:  Along with the soaring cost of living, including as processed food prices and dining-out costs, the price of pet food is also rising, which increases the burden on consumers.  Nestlé Purina reportedly will raise prices of five of its premium cat foods by 13.6% on January 13.  Last year, a leading pet food company, Royal Canin, increased some of its products including pet food and treats by 10%.  Harim Pet Food also increased product prices by between 8.4% and 18%.  The industry said this is mainly due to increased raw material prices. 

Convenience Stores Strengthen Alcoholic Beverage Selection and Marketing Force 
https://www.seoul.co.kr/news/newsView.php?id=20230111021003&wlog_tag3=naver 
Summary:  Convenience stores experience solid sales growth in alcoholic beverages for consecutive years.  CU reported sales growth of 19.5% last year following 20.2% in 2021, and 12.3% in 2019 and 9.9% in 2018.  Alcoholic beverages were previously used to entice consumers to purchase additional products such as foods and snacks, but have become a mainstream product for convenience stores.  An industry official said customers, who tried new drinks including whiskey and wine at home during the pandemic, are now constantly seeking various alcoholic beverages at convenience stores due to proximity and ease.  In response to this consumption trend, market players, such as CU, GS Retail, and Seven Eleven, reportedly make efforts to strengthen their alcoholic beverage selection and marketing strategy by forming TF teams and/or recruiting specialists to help enhance their market position.