Handmade Burgers and Hotel Bingsu Priced Around 100,000 Won Also Sell Well... Sales Soar with Value Consumption Trend

Gordon Ramsay Burger Sold Out 60 Units Daily
Hotel Bingsu Sales Double Compared to Last Year
High-End Cosmetics Targeting Middle-Aged Now Boosted by 2030 Customers, Driving Sales Growth

Lotte Hotel Seoul's Apple Mango Bingsu.

[Asia Economy Reporters Moon Hyewon and Jeon Jinyoung] #Office worker A, who works in securities, attracted the attention of colleagues and friends by posting 인증샷 on social networking services (SNS) after enjoying handmade burgers priced at 140,000 KRW each and hotel bingsu close to 100,000 KRW last weekend. To care for rough skin caused by long-term mask-wearing, A boldly purchased a nutritional cream costing over 1.2 million KRW per 50ml bottle at a department store. Due to the extended social distancing period, the cost of dermatological treatments that could not be received was replaced by cosmetic consumption. A said, "Since it is a gift to myself for working hard, rather than thinking it is 'excessive,' I think it is 'worth the expensive price,' so I eat and apply it freely, injecting vitality into the lethargic daily life caused by COVID-19."

Among the MZ generation (Millennials + Generation Z), the small luxury trend (happiness enjoyed through small indulgences) has become a consumer culture, and high-priced food and products are selling like hotcakes.

According to the hotel industry on the 24th, Hotel Shilla's Apple Mango Bingsu, priced at 83,000 KRW each, sells out all 200 limited daily quantities on weekends. Although the price increased by about 30% from 64,000 KRW last year, it continues to sell out. The sales of mango bingsu (57,000 KRW) at Grand Intercontinental Seoul Parnas and Intercontinental Seoul COEX in May doubled compared to the previous year. This is the highest May sales since the hotel started selling bingsu in 2013. Paradise Hotel also saw a 20% increase in sales of Ttoba Bingsu (52,000 KRW) in May compared to the previous year, and the sales of watermelon bingsu (48,000 KRW) at Seoul Westin Chosun Hotel grew by 10% during the same period. Lotte Hotel Seoul's Apple Mango Bingsu (88,000 KRW) and Chosun Palace's Karahyang Bingsu (80,000 KRW) are also popular.

Gordon Ramsay Burger's '1966 Burger'.

Not only hotel bingsu but also high-priced handmade burgers are selling well. The ‘1966 Burger,’ made only 60 per day at Gordon Ramsay Burger, which opened in January this year at Lotte World Mall in Jamsil, Songpa-gu, Seoul, is sold out daily despite its high price of 140,000 KRW. The number of customers who have visited the store has surpassed 110,000 as of this date. The signature menu items, ‘Health Kitchen Burger’ (31,000 KRW) and ‘Forest Burger’ (33,000 KRW), sell 7,000 to 8,000 units monthly on average.

Thanks to this popularity, Gordon Ramsay Burger plans to open its 2nd and 3rd branches sequentially in the second half of this year. The current first branch in Jamsil is the fourth worldwide after stores in Las Vegas, USA; London, UK; and Chicago, USA. The fact that multiple stores are opening only in Korea is evidence of its exceptional popularity in the country.

Swiss Perfection's RS-28 Cellular Intensive Treatment.

Demand for ultra-luxury cosmetics has also increased along with the value consumption trend that has become prominent after COVID-19. Ultra-luxury cosmetics, once exclusive to the 40s and 50s age group, have recently become products enjoyed by the 20s and 30s generation as well. ‘Swiss Perfection,’ a brand developing active cell cosmetics acquired by Shinsegae International in 2020, sells serums and creams priced between 500,000 KRW and 1,000,000 KRW, with sales in the first quarter of this year increasing by 129.7% compared to the same period last year. La Prairie Korea, a representative ultra-luxury cosmetics brand, recorded sales of 19.8 billion KRW last year, up 6% from 18.7 billion KRW the previous year, and Sisley Korea’s sales rose 5% to 88.9 billion KRW from 84.3 billion KRW.

Experts explain that this consumption trend reflects the characteristics of the MZ generation, who value experience and meaning. Professor Lee Eunhee of Inha University’s Consumer Studies Department said, "Consumption of high-priced bingsu, burgers, and cosmetics is part of experiential and value consumption." She analyzed, "The MZ generation values not only the act of eating and purchasing but also the atmosphere and brand meaning, and they want to experience what others eat and how they live." Professor Lee added, "Especially, the MZ generation, who actively use SNS, shows this consumption pattern," and advised, "It is necessary to be cautious as this can go beyond just trying once to conspicuous consumption."