[Asia Economy Reporter Lim Hye-seon] As the frozen dumpling market enters a mature phase, product diversification has emerged as a new challenge. To drive growth, companies are focusing on enhancing product quality by launching premium products or expanding into new areas such as the vegan (plant-based) market.
According to market research firm Nielsen Korea on the 19th, the frozen dumpling market size was recorded at 407.6 billion KRW up to November last year. Even when including December, the market size is expected to revert to the level of two years ago. The frozen dumpling market grew from 473.8 billion KRW in 2018 to 481.4 billion KRW in 2019, and 512.8 billion KRW in 2020. By company, CJ CheilJedang’s Bibigo held 47.3% of the total market share, marking the highest ever and maintaining the number one position for six consecutive years. Following were Pulmuone’s ‘Yalpi Mandu (Thin Skin, Full Filling Dumplings)’ at 13.7%, Haitai’s ‘Gohyang Mandu’ at 12.5%, and Dongwon F&B at 9.3%.
To expand their reach, companies have been rushing to release new products since the beginning of the year. They are diversifying their portfolios to cater to younger generations seeking new experiences instead of familiar flavors like meat and kimchi.
CJ CheilJedang and Pulmuone have entered the vegan market by launching plant-based dumplings. CJ CheilJedang’s ‘Bibigo Plantable Wang Gyoja’ is a 100% plant-based product certified vegan. CJ CheilJedang planned and developed the product considering flexitarians (intermittent vegetarians). This product uses more than five types of fresh vegetables and plant-based oils, and employs a unique technology to maintain a crispy texture by avoiding the sogginess caused by vegetable moisture that typically lowers the taste of existing plant-based products. Pulmuone also introduced a vegan dumpling product called ‘Yalpi Mandu Full Triangular Dumpling Tofu Kimchi.’ It uses tofu as the main ingredient and replicates the flavor of stir-fried kimchi with kimchi that contains no salted seafood.
To target younger consumers, CJ CheilJedang’s Bibigo collaborated for the first time with the dining brand Domino’s Pizza. The ‘New Year Blessing Dumpling Pizza’ features Bibigo dumplings shaped like lucky pouches placed on the pizza. It uses a special dough incorporating Bibigo’s dumpling know-how to create a chewy texture.
Some brands are differentiating themselves with premium dumplings. Dongwon F&B launched ‘Yangban Insaeng Matjip Mandu,’ which reduces the dumpling skin ratio to 17% and fills the dumplings generously. They developed the golden ratio of 17% dumpling skin after visiting dumpling specialty stores nationwide and differentiated the texture. The filling includes coarsely chopped domestic pork, cabbage, onion, green onion, zucchini, jujube, and other natural ingredients. Ottogi’s new product ‘X.O. Gyoja Meat Jeju Garlic’ is filled with meat without glass noodles. Haitai also plans to strengthen its premium dumpling lineup this year.
An industry insider said, "Although frozen dumplings still hold a large share among frozen snack foods due to their convenience, it is true that their market share is declining with the emergence of new convenience foods," adding, "Competition among companies for new products will intensify this year."
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