One Month into COVID-19 "Not Even Visiting Side Dish Shops"... Side Dishes, Fruits, and Meal Kits See 'Frenzied Clicks'

Avoiding Dining Out Due to Infection Concerns... Surge in Online Side Dish Purchases
Gmarket & Auction See Increased Side Dish Sales... Continued Decline in Restaurant Revenues

[Asia Economy Reporters Lee Seon-ae and Choi Sae-hye] One month after the first domestic case of the novel coronavirus infection (COVID-19) was confirmed on the 20th of last month, online consumption trends are intensifying. Instead of dining out, people are opting for home-cooked meals; instead of supermarkets, online shopping; and even neighborhood side dish stores have been replaced by open markets. While there was a strong tendency to taste side dishes in person before purchasing, COVID-19 has changed this behavior.

According to eBay Korea on the 20th, Gmarket’s side dish sales growth rate over the past week increased by 33% compared to the same period last year. Sales of shrimp and abalone sauces rose by 222%, pickled side dishes by 50%, side dish sets by 120%, and other side dishes by 599%. Auction’s side dish sales growth was even more explosive. During the same period, side dish sets increased by 159%, shrimp and abalone sauces by 771%, braised side dishes by 92%, other side dishes by 135%, and canned side dishes by 223%, resulting in an overall side dish growth rate of 161%.

This is due to increased demand for home-cooked meals as people avoid restaurants. Working mom Lee Ji-in said, "With COVID-19 spreading more and more, I don’t dare to dine out with my children, so I have increased my online grocery shopping frequency compared to before. I mainly purchased bottled water and convenience foods, but as concerns about home meals grew, I tried buying side dishes and was very satisfied with the quality and price."

The high demand for online side dishes is due to the advantage of being able to conveniently browse and purchase a variety of products at reasonable prices. Many product reviews mention that the side dishes are well-prepared and provide detailed explanations of ingredient origins and other characteristics, making it as easy to choose as offline shopping, which has led to high customer satisfaction.

A Gmarket marketing official said, "As the number of single-person households who do not cook at home and busy dual-income couples increases, it seems that open markets where side dishes can be purchased with just one click are becoming popular. Besides the recent impact of COVID-19, we expect online side dish demand to continue growing based on various strengths."

Meal kits are also popular online. Meal kits are products where all ingredients are pre-prepared, allowing cooking to be completed with a simple process. At Market Kurly, meal kit sales from the 20th of last month to the 17th of this month increased by 100% compared to the same period last year. Sales of convenience foods including side dishes rose by 125%. Market Kurly is currently facing an emergency in product procurement due to a surge in sales of side dishes, convenience foods, seafood, and dairy products. At SSG.com, meal kit sales surged by 692% from the 20th of last month to the 19th of this month. Overall food sales including meal kits increased by 96% compared to the same period last year.

Many consumers are also seeking health functional foods that boost immunity in preparation for COVID-19. At Market Kurly, sales of supplements and health foods increased by 91% from the 20th of last month to the 17th of this month compared to the same period last year. A Market Kurly representative explained, "Red ginseng pills, krill oil, immune management juices, lutein, and probiotics were sold the most."

At Gmarket, sales of omega-3 and propolis increased by 162% and 94% respectively from the 20th of last month to the 18th of this month compared to the previous year. Sales of cinnamon and garlic juice also rose by 74% and 22% respectively. At SSG.com, red ginseng and vitamins were popular. An SSG.com representative stated, "From the 20th of last month to the 19th of this month, sales of health foods including red ginseng and vitamins increased by 70% compared to last year (January 31 to March 2, one month before the Lunar New Year holiday starting February 5)."

As consumers buy even side dishes online, the dining industry continues to face a cold spell. Since COVID-19, restaurant sales have been on a continuous decline. According to an urgent survey conducted by the Korea Foodservice Industry Research Institute under the Korea Foodservice Association on the impact of COVID-19 on the dining industry, 85.7% of surveyed businesses reported a decrease in customers due to the current situation. The survey compared customer numbers two weeks before and after the first confirmed COVID-19 case on the 20th of last month, targeting 600 member restaurants of the Foodservice Association. The average customer decrease rate among businesses experiencing a decline was 29.1%.