"Ajassul? Now It's Hip"…The Transformation of Makgeolli That Captivates the MZ Generation

Last Year, Makgeolli Market Size Surpassed 500 Billion KRW... Popular Among Young Generation
Industry Targets MZ Generation with Various Collaborations
"Consumers Enjoy Unique and Fun Experiences with Novel Makgeolli Releases"

The younger generation is emerging as the main consumer group of Makgeolli. [Image source=Pixabay]

[Asia Economy Reporter Park Hyun-joo] The prejudice against traditional rice wine Makgeolli is being broken. Makgeolli is shedding its old-fashioned image as "old men's drink" or "old-fashioned liquor" and is being reborn as a "hip drink" sought after by the MZ generation (Millennials + Generation Z). Various collaborations by the liquor industry to increase the influx of young consumers are also taking place.

The preference of the MZ generation for traditional liquor Makgeolli is increasing. According to a survey conducted by Korean liquor curation commerce HomeSul.com from January 13 to 15, targeting 400 men and women aged 20 to 39 through Open Survey, 63% of respondents planning to purchase liquor said they intended to buy "traditional liquor." Among them, Makgeolli was chosen as the most preferred traditional liquor (45.8%).

This is also reflected in actual consumption. Convenience store CU's analysis of Makgeolli sales by age group showed that the proportion of customers in their 20s and 30s increased significantly from 14.6% in the first half of last year to 24.0% in the same period this year. GS25 also analyzed customer data and found that the proportion of Makgeolli buyers in their 20s and 30s rose from 27.1% in June last year to 33.0% in the same month this year. The MZ generation has thus emerged as a major consumer group for Makgeolli.

Accordingly, the Makgeolli market size is also expanding. According to the Korea Agro-Fisheries & Food Trade Corporation (aT) on the 22nd of last month, the domestic retail market for Makgeolli, which had remained around 300 billion KRW before 2016, is estimated to have surpassed 500 billion KRW last year. According to aT's report last year, while the overall liquor market shrank by 1.6% in 2020, the Makgeolli market grew by 52.1%.

The alcoholic beverage industry is launching various collaboration Makgeolli targeting the MZ generation. The photo shows alcoholic beverages displayed at a large supermarket in Seoul. [Image source=Yonhap News]

The liquor industry is introducing various collaboration products to capture the newly emerging MZ generation consumer base. Seoul Jangsoo partnered with SPC Group's bakery brand Paris Baguette to launch the "Jangsoo Makgeolli Shake." It is a beverage reinterpretation blending Makgeolli-flavored base with ice and milk, significantly lowering the alcohol content to below 1%. Kooksoondang released "Kooksoondang Chilsung Maksa," a mix of Makgeolli and cider, in collaboration with Lotte Chilsung Beverage. Previously, Kooksoondang had gained great popularity by collaborating with Haitai Ice Cream's Barambaba for "Kooksoondang Rice Barambabam" and Crown Confectionery's Jolly Pong for "Kooksoondang Rice Jollypongdang."

Convenience stores have also entered the Makgeolli business by partnering with celebrities. CU introduced "Baekgeolli," developed at the brewery of CEO and broadcaster Baek Jong-won, on the 3rd. With an alcohol content of 14%, it is higher than regular Makgeolli (5-6%) and can be enjoyed in various ways according to preference, such as served straight in a glass or diluted with water or ice. Earlier, Seven Eleven launched the premium handcrafted Makgeolli "Sumi Makgeolli" in November last year in collaboration with actress Kim Soo-mi, followed by "Lim Chang-jung Misutgaru Honey Makgeolli" named after singer Lim Chang-jung last month.

Professor Lee Eun-hee of Inha University's Department of Consumer Studies said, "Young people tend to enjoy drinking slowly and savoring the alcohol itself rather than drinking a lot and getting drunk. The healthy image of Makgeolli, which uses nuruk (fermentation starter), fits well with this characteristic." She added, "The trend of 'hon-sul' (drinking alone) due to COVID-19 has also increased immersion in alcohol." Regarding the liquor industry's various collaboration attempts, she positively evaluated, "As companies release unique Makgeolli products, consumers can enjoy Makgeolli in new, diverse, and fun ways."