Amid High Inflation, 'No-Spending Challenge'... Ultra-Low-Priced Lunchboxes Flood the Market

Convenience Store Lunchbox Sales Soar
Sharp Increase in Office and University Districts
Purchases of Items Under 5,000 Won Rise

Convenience store CU is selling lunchboxes to office workers.

[Asia Economy Reporter Lim Chun-han] Recently, due to the rapid rise in prices, more people are turning to convenience store lunchboxes during lunchtime. Especially, the ‘No-Spending Challenge,’ where people try to get through the day without spending a single won, has become a new trend, leading to a flood of ultra-low-priced lunchboxes priced between 2,000 and 3,000 won at convenience stores.

According to the industry on the 6th, each company is expanding affordable lunchboxes in line with the high-price era. CU partnered with culinary researcher Baek Jong-won to launch two ultra-low-priced lunchboxes?Cheongyang Fish Cake Rice Bowl and Sausage Kimchi Rice Bowl?at 2,900 won each. Last year, the average price of convenience store lunchboxes was around 4,500 won, and this is the first time in about three years that a 2,000-won range lunchbox has been released at CU. Seven Eleven introduced a Kimchi Pork Rice Bowl lunchbox priced at 3,900 won. This product features a harmonious blend of the spicy-sweet flavor of stir-fried pork and the crisp, refreshing taste of kimchi, allowing customers to enjoy a meal with excellent cost-effectiveness. Emart24 sells Sweet and Sour Inari Sushi at 2,500 won, using tofu skin made from soybeans and Chucheongmi rice known for its good taste. Nostalgic Lunchbox is priced at 4,000 won and consists of traditional side dishes such as round ham, rolled omelet, fish cake, pork, kimchi, and seaweed.

Looking at the number of lunchbox products by price range, those under 5,000 won are overwhelmingly dominant. This is because consumers have a psychological price ceiling of 5,000 won when choosing lunchboxes. Currently, CU sells 4 types under 4,000 won, 15 types between 4,000 and 5,000 won, and 9 types above 5,000 won. GS25 offers 11 types between 4,000 and 5,000 won and 6 types above 5,000 won. Seven Eleven sells 1 type under 4,000 won, 14 types between 4,000 and 5,000 won, and 6 types above 5,000 won. Emart24 operates 2 types under 4,000 won, 30 types between 4,000 and 5,000 won, and 3 types above 5,000 won.

As the phenomenon of lunchflation (a combination of lunch and inflation) intensifies, convenience store lunchbox sales are soaring. According to CU, from the 1st to the 28th of last month, total lunchbox sales increased by 35.8% compared to the same period last year. During the same period, GS25 saw a 50.4% increase, Seven Eleven 40%, and Emart24 49%. Especially, lunchbox sales surged in office districts and university areas. At CU, sales rose 35.6% in office districts and 39.4% in university areas. GS25 saw increases of 31.6% in office districts and 36.1% in university areas.

Among CU’s total lunchbox sales, the share of those priced under 4,000 won increased from 10.4% in July 2020 to 11.8% this July. During the same period, those priced between 4,000 and 5,000 won rose from 65.5% to 67.3%. Conversely, those priced above 5,000 won decreased from 24.1% to 20.9%. At Emart24, the share of lunchboxes under 4,000 won increased from 3% in July last year to 5% this July. Those between 4,000 and 5,000 won decreased slightly from 87% to 86%, and those above 5,000 won dropped from 10% to 9%.

A convenience store industry official said, "As the trend of rising dining-out prices continues, the preference for cost-effective lunches is expected to persist for the time being," adding, "We plan to continuously expand our product lineup to provide delicious meals that meet the demands of customers who practice frugal consumption."