National Ramen Popularity Map... Shin Ramyun, Chapagetti, Anseongtangmyun Rank Top 3
Shin Ramyun's Strong Performance, K-Food Status Up... Nongshim's Overseas Sales Hit Record $1 Billion
Proving Food Resilience in Crisis... Q3 Ramen Market Hits Record 1.65 Trillion Won
[Asia Economy Reporter Lee Seon-ae] The taste for ramen has not changed at all. Although Ottogi, the second-largest ramen company in Korea, has launched a fierce pursuit under the nickname ‘Godddugi,’ consumers have chosen the No. 1 company Nongshim’s Shin Ramyun, Chapagetti, and Ansungtangmyun, according to the data.
Unrivaled No. 1 Shin Ramyun
On the 21st, Nielsen Korea compiled regional ramen sales through the third quarter of this year, and Shin Ramyun ranked first nationwide in market share, followed by Chapagetti and Ansungtangmyun. Next were Jin Ramen Spicy and Paldo Bibim Men, forming the top 5 nationwide sales. These products are the leading brands representing each company.
The best-selling ramen in Korea this year is undoubtedly Shin Ramyun. Shin Ramyun ranked first nationwide with a 9.9% market share. As the No. 1 brand representing the ramen market, Shin Ramyun has held the top spot for 30 years since 1991 after its launch in 1986, thanks to its unique spicy broth and chewy noodles. The region with especially many Shin Ramyun fans is Chungcheongbuk-do, which recorded a 12.9% market share, the highest nationwide. It is interpreted that Shin Ramyun’s widespread popularity and its unchanging taste over the years appealed to the residents of Chungcheong Province.
The nationwide No. 2 is Chapagetti, the protagonist of the Chapaguri syndrome. Chapagetti showed a rising trend with a market share of 7.1%, up 0.6 percentage points from last year.
Thanks to the Chapaguri craze, Chapagetti is called the hottest item in the ramen market and ranked second in most regions nationwide.
Ramen Market Size Surpasses 2 Trillion Won
This year, the domestic ramen market experienced a special demand due to the COVID-19 pandemic, reaching about 1.65 trillion won in scale by the third quarter. This is a 5.1% growth compared to the same period last year, marking an all-time high.
Until the first half of this year, the domestic ramen market grew by 7.2% compared to the previous year, reaching about 1.13 trillion won, achieving the highest half-year record ever. This sudden growth in the ramen market, which has been hovering around the 2 trillion won mark, once again proved ramen’s characteristic as a ‘food strong in crisis.’
Considering the ramen peak season in November and December, when the weather gets chilly, it is expected that the market size will surpass the largest scale set in 2018 (2.093 trillion won) by the end of the year.
Nongshim recorded about a 55.4% market share until the third quarter this year (up 1.4 percentage points from the previous year). The steady sellers such as Shin Ramyun, Chapagetti, Ansungtangmyun, and Neoguri played a key role. Ottogi, Samyang Foods, and Paldo showed slight declines or similar levels compared to last year.
A Nongshim official evaluated, “Due to COVID-19, the stagnant ramen market experienced special demand, and most sales were concentrated on Nongshim’s popular products such as Shin Ramyun, Chapagetti, Ansungtangmyun, and Neoguri.”
Nongshim Achieves $1 Billion Sales, Ranked 5th Worldwide
Nongshim ranked 5th among global ramen companies. According to Euromonitor statistics, Nongshim became the first Korean company last year to rank 5th worldwide with a 5.3% market share. This year, with a 5.7% market share, Nongshim is expected to widen the gap with the 6th place and firmly maintain the 5th position. Nongshim said that rapidly growing overseas sales have continuously increased its market share.
Moon Kyung-sun, Chief Researcher at Euromonitor Korea, explained, “Due to COVID-19, ramen demand increased overseas, and Nongshim seized this opportunity to deeply penetrate various markets,” adding, “This movement changed the perception that ramen is typically Japanese or Chinese food,” explaining the popularity of Nongshim ramen.
Nongshim’s total overseas sales this year are expected to reach $990 million, a 24% increase from the previous year. The success was driven by Shin Ramyun’s performance, the popularity of Chapaguri, and the impact of COVID-19.
Shin Ramyun is the core of Nongshim’s overseas business. This year, Shin Ramyun’s overseas sales are expected to grow 30% year-on-year to about $390 million. It holds a dominant presence, accounting for about 40% of Nongshim’s overseas business. It is the original K-food competing with global food makers beyond Korea.
Nongshim said, “The spicy taste of Shin Ramyun is moving the world beyond Korea,” and added, “Next year, marking its 35th anniversary, we aim to grow it into a mega brand with annual sales of 1 trillion won, enhancing the status of K-food.” Nongshim set its overseas business sales target for next year at $1.11 billion, 12% higher than this year.
Regionally Distinctive Ramen: Ansungtangmyun and Samyang Ramen
The only regions where Shin Ramyun did not rank first were Busan and Gyeongnam. Ansungtangmyun ranked first in Busan and Gyeongnam and second in Gyeongbuk, showing particularly strong performance in the Gyeongsang Province. This is analyzed to be because consumers in Gyeongsang Province, who prefer soybean paste flavor, favor Ansungtangmyun’s savory Ugeoji Jangguk (outer cabbage soup) taste. Ansungtangmyun is a product that captures the savory yet spicy taste of Ugeoji Jangguk, made with beef broth, soybean paste, and red pepper powder.
In the Jeolla region, Samyang Ramen traditionally stood out. Samyang Ramen ranked within the top ranks (3rd place) in Jeonbuk and Jeonnam (4.5% in Jeollabuk-do, 5.6% in Jeollanam-do). It is interpreted that Samyang Ramen’s relatively mild spiciness blends well with the diverse foods of the Jeolla region. Additionally, the familiarity with Samyang Foods, which operates a factory in Honam, likely contributed.
Gangwon Province, with many military bases and various leisure and recreational facilities, attracted attention as Yukgaejang Sabalmyeon, a convenient cup noodle for snacks or light meals, ranked third. Ottogi showed strength in the metropolitan area. Jin Ramen Spicy ranked third with a market share in the 4% range in Seoul, Gyeonggi, and Chungbuk regions.
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