"As Food Costs Rise... 'Cheap and Large Quantity' Products Gain Popularity"

Embrain Trend Monitor Awareness Survey

86.8% Have Experience Purchasing Large-Volume Food Products
High Food Prices Due to Inflation Lead to Preference for Cost-Effective Products
Related Industries Target Consumers with 'Gopppaegi' Products

In an era of high inflation, as the prices of food ingredients and dining-out items rise and the burden of food expenses increases, the proportion of people seeking 'large-quantity, low-priced' bulk food products and their satisfaction with such products have been found to be high. There was a strong preference for product categories that are frequently consumed and can be stored for a long time, such as dairy products, frozen foods, and noodle products. Reflecting these consumer preferences, related industries are targeting niche markets with 'cost-effective (performance relative to price)' products.

According to the results of a 'Bulk Food Consumption Awareness Survey' conducted on the 20th by Embrain Trend Monitor, a market research specialist company, targeting 1,000 men and women aged 19 to 59 nationwide who had purchased food within the last 1-2 months, 86.8% of respondents had recently purchased bulk food products, and the satisfaction rate was evaluated at 68.0%, confirming a very high level of popularity for cost-effective foods. The proportion of those who preferred bulk food products also reached 62.2%.

The main reason for purchasing bulk food products was "because the price is cheaper relative to the quantity," with 64.6% of respondents selecting this, followed by "products I originally used frequently (31.2%)" and "because it can be consumed over a long period (24.8%)." The proportion of bulk food purchases by household size was 81.4% for single-person households, 86.1% for 2-3 person households, and 90.1% for households of four or more, showing that the larger the family size, the higher the purchase rate. Regarding marital status, married respondents purchased bulk food products more frequently at 90%, compared to 84.1% for unmarried households.

By product category, 76.0% of respondents said they purchased bulk dairy products such as milk, yogurt, and cheese, the highest proportion. Frozen and refrigerated foods such as dumplings and hot dogs accounted for 55.9%, noodles 52.1%, snacks 41.6%, and bottled water and coffee 39.1%, forming the top ranks. An Embrain representative explained, "It was confirmed that there is a tendency to choose bulk products mainly for staple foods that are frequently eaten or can be stored for a long time."

This trend is closely related to the continuously rising food prices. According to the National Statistical Portal of Statistics Korea, last month's consumer price inflation rate was 3.7%, while the processed food price inflation rate was 7.9%, which is 2.1 times higher than the overall average. The dining-out price inflation rate, a representative indicator of food prices, was also 7.6% last month, more than twice the overall average. Accordingly, the proportion of food expenses in the average monthly living expenses increased from 41.3% in 2015 to 61.3% this year, indicating a growing burden.

The food and beverage industry has recently launched so-called 'goppaegi' (extra-large) menus by increasing the weight of popular products to target niche markets, catering to consumers seeking cost-effectiveness. Goppaegi products are designed for those who find one serving too small but two servings burdensome.

For example, Ottogi introduced the 'Cup Noodle Large Cup' last month, which has 1.6 times the weight of the existing small cup noodle. This product reflects consumer opinions expressed on social networking services (SNS) such as "I wish there was a bigger cup noodle." The oven-cooked chicken franchise 'Goobne' recently launched 'Original' and 'Spicy Crispy' goppaegi menus, selling more than 150,000 units in just over a month. This menu corresponds to the amount of 1.5 oven-roasted chickens.

Additionally, in the beverage industry, the coffee franchise brand 'Blue Shak' introduced a bulk size for iced beverage menus. For an additional fee, customers can order a 24-ounce (720 ml) size, which is 1.5 times larger than the existing regular 16-ounce (480 ml) size.