Vietnam Deeply Addicted to Choco Pie and Pokachip... Orion's Cumulative Sales Surpass 2 Trillion Won

Achieving Cumulative Sales of 1 Trillion Won 10 Years After Entering Vietnam in 2015, Surpassing 2 Trillion Won in 5 Years
Recording an Annual Growth Rate of 9% Since 2011 Through 'Localization Strategy'... A Stepping Stone for Southeast Asia Expansion

[Asia Economy Reporter Lee Seon-ae] Orion announced on the 17th that its Vietnam subsidiary's cumulative sales have exceeded 2.2 trillion KRW. Orion has continued its steady growth, achieving 1 trillion KRW in local cumulative sales 10 years after entering the Vietnamese market in 2015, and surpassing 2 trillion KRW five years later.

Orion first stepped into Vietnam in 1995 by exporting its flagship product, Choco Pie. The company officially entered the Vietnamese market by establishing the Ho Chi Minh City Mih Phuoc factory in 2006 and strengthened its presence by operating a second factory in Hanoi in 2009. Orion Vietnam has pursued a localization strategy, achieving annual sales of 100 billion KRW in 2010 and surpassing 200 billion KRW with 204.5 billion KRW in sales in 2016. Over the past decade, it has maintained a high growth rate of over 9% annually. This year, from January to November, it recorded sales of 255.6 billion KRW, already exceeding last year's annual sales and setting a milestone by surpassing cumulative sales of 2.2 trillion KRW.

The continuous high growth in Vietnam is attributed to ongoing new product development and efforts to pioneer new markets in line with changing local consumer trends. Choco Pie, which holds nearly 70% market share in the Vietnamese pie market, has driven growth by launching new products tailored to local tastes, such as 'Choco Pie Dark' in 2017, 'Peach Flavor' in 2019, and 'Yogurt Flavor' in 2020.

In the rapidly growing fresh potato snack market, products like Pokachip (local name: Osta) and Swingchip (local name: Swing) have been released in various flavors favored by local consumers, including seaweed, kimchi, steak, and egg yolk flavors, maintaining the number one position in fresh potato snack sales for three consecutive years.

Recently, Orion has introduced new product categories such as rice crackers and mass-produced bread, establishing new growth engines. The rice cracker 'An,' made with carefully selected rice and a differentiated direct-fire roasting method, has recorded cumulative sales of about 35 billion KRW since its launch in April last year. It has quickly become a beloved snack for all ages and rose to the second-largest brand in the rice cracker market.

Responding to local trends such as rapid urbanization and an increase in dual-income households, the mass-produced bread Saebong, launched last year with the concept of a 'healthy breakfast substitute bread,' has gained popularity among office workers and students in major cities, generating sales exceeding 15 billion KRW this year alone, supporting the growth of the Vietnam subsidiary.

Orion also entered the Vietnamese beverage market by officially launching 'Orion Jeju Lava Water' in May this year to meet local demand for safe water. The company has increased product trial opportunities through various promotions at large supermarkets frequented by young consumers and conducted multifaceted marketing by collaborating with golf courses, banks, and upscale restaurants with high VIP customer contact, nurturing it as another growth engine.

Orion is also committed to thorough quality control. To ensure quality management and stable product supply in Vietnam, it has obtained the food safety management system certification 'FSSC 22000' for both the Ho Chi Minh City (2016) and Hanoi (2018) factories. Orion has earned trust as a 'reliable brand' among local consumers by maintaining consistent product quality despite the hot and humid local climate, ensuring food safety.

An Orion official stated, “Vietnam is an important hub with high growth potential and serves as a stepping stone for expanding the Southeast Asian market. We will continue to secure solid product competitiveness and new growth engines to make the Vietnam subsidiary, along with the China subsidiary, a central axis leading Orion Group's global growth.”