The World Cheers for Soju~ HiteJinro Sold for $70 Million

Since Soju Globalization in 2016, Expanded to Over 80 Countries Including the US and Japan
Targeting Local Tastes with Fruit Soju
Popular in Southeast Asia like Vietnam and the Philippines
China Sales Also Doubled

[Asia Economy Reporter Lim Hye-sun] Hite Jinro's ‘Soju’ is opening the era of ‘K-Alcohol’. Although the specialized product, fruit soju, is mainly exported to China and Southeast Asia, overseas sales have increased every year for the past six years, raising expectations for general soju exports in the future.

Soju Exports Increase Every Year for Six Years

On the 29th, Hite Jinro announced that last year's soju exports reached 70 million USD, a 71.6% increase compared to 40.82 million USD in 2015.

Since declaring ‘Globalization of Soju’ in 2016, Hite Jinro has expanded exports starting with Japan, followed by the United States, Canada, and China. Hite Jinro is promoting its flagship product, Chamisul, along with fruit soju as export strategy products.

Currently, fruit soju is exported to over 50 countries. Starting with Grapefruit Aiseul and Green Grape Aiseul in 2016, Plum Aiseul was launched in 2018, and Strawberry Aiseul in 2019, diversifying the portfolio.

Fruit Soju Popular in Southeast Asia

Hite Jinro has driven efforts to target the Southeast Asian household liquor market with fruit soju. Vietnam, the Philippines, Thailand, and Cambodia are strategic countries for soju globalization.

Hite Jinro's soju products such as Chamisul and Green Grape Aiseul are sold through major local household distribution channels in Southeast Asia. In February last year, Strawberry Aiseul was newly introduced in over 4,600 Seven-Eleven stores across the Philippines, Thailand, and Singapore, targeting the household market. During June, when COVID-19 lockdown measures were eased, fruit soju sales throughout the Philippines surged explosively to about 508% compared to the monthly average sales last year. The local consumption rate also accelerated from 30% to 50%, indicating increased localization.

Singapore has also maintained steady growth despite intensified competition in the distilled liquor market. Hite Jinro, which was ranked third in the global distilled liquor market in Singapore, rose to second place within a year. Last year's sales grew 109% compared to the previous year. The strategy is to achieve first place within two years through aggressive promotional activities.

Online Soju Sales in China

Sales in China doubled compared to the previous year. Hite Jinro's Chamisul and fruit soju are sold in 33,000 supermarkets and convenience stores across China. Last year's sales volume reached 25 million bottles. Hite Jinro's fruit soju sales in China grew at an average annual rate of 98.6% from 2016 to 2019. The sales share increased from 6% in 2016 to 36% last year. The product differentiation as a ‘delicious alcohol with fruit flavor’ that meets the demands of consumers in their 20s and 30s was effective.

A Hite Jinro official said, "The export share of Hite Jinro's fruit soju series is increasing every year overseas," adding, "We plan to actively target local markets with fruit soju and connect this to sales of regular soju products such as Chamisul Fresh and Chamisul Original through various promotions and planned products."