Sillaram Black Sales in the US Grow 49% Year-on-Year
[Asia Economy Reporter Choi Saeng-hye] The powerful influence of the 'Shin Ramyun' brand in the U.S. market has been proven once again.
Nongshim announced on the 13th that its U.S. subsidiary's sales in the first half of this year reached a record high of $164 million (estimated), a 35% increase compared to the previous year. The brand power of Shin Ramyun, which has captivated American tastes and led the K-food craze, achieved remarkable results in line with the increased demand for convenient foods due to the spread of the novel coronavirus (COVID-19).
Nongshim's success in the U.S. market stemmed from strong sales in the mainstream American market. As Shin Ramyun has established itself as a food enjoyed not only by Asians but also by local Americans, the continued spread of COVID-19 in the U.S. through the second quarter led more consumers to seek Nongshim ramen as an essential emergency food supply.
In fact, a purchasing manager at Kroger, a major U.S. retailer, said, “Consumers buying Nongshim ramen have increased as it shifted from being perceived as a snack to a meal substitute. Especially with the 'home cook' trend, Americans are enjoying ramen in various ways, such as adding cheese to Shin Ramyun.”
Thanks to this trend, ramen sales surged at major retailers including Walmart, Costco, Kroger, and Sam's Club. Walmart and Costco saw first-half sales increase by 35% and 51%, respectively, while Amazon grew by 79%.
Nongshim explained, “Since supplying Shin Ramyun to all Walmart stores in the U.S. in 2017, we have steadily built a dense distribution network in the mainstream market over several years. Nongshim ramen is one of the few foreign food brands sold nationwide in the U.S.”
The top contributor to the U.S. market is undoubtedly 'Shin Ramyun.' Shin Ramyun recorded sales of approximately $48 million in the first half, a 25% increase, demonstrating its dominant presence. Nongshim focused on promoting Shin Ramyun by operating special display stands mainly in large supermarkets and running Shin Ramyun buses centered in New York and Las Vegas.
In particular, Shin Ramyun Black showed remarkable growth. Its first-half sales reached $13.5 million, a 49% increase from the previous year. Shin Ramyun Black captivates American consumers with its distinctive rich broth and chewy noodles. Nongshim expects the popularity of Shin Ramyun Black to rise further as the home cooking trend spreads in the U.S., given its excellent taste and quality.
The popularity of Shin Ramyun Black has spread by word of mouth among American consumers and even reached major U.S. media outlets. Recently, The New York Times named Shin Ramyun Black the most delicious ramen in the world. In the article “The Best Instant Noodles” on The New York Times’ product review site ‘Wirecutter,’ Shin Ramyun Black ranked first among the world’s top 11 ramen, surpassing several Japanese ramen brands. Last year, the LA Times also ranked Shin Ramyun Black among the top global ramen brands.
A Nongshim official said, “Shin Ramyun has evolved from a product mainly sought by Asians to a representative Korean food that major U.S. distributors now seek first.”
Meanwhile, Nongshim first exported ramen to the LA area in the U.S. in 1971 and began full-scale market penetration by operating an LA factory in 2005. It locally produces and sells popular Korean brands including Shin Ramyun, Neoguri, Ansungtangmyun, Chapagetti, and Yukgaejang Sabalmyeon.
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