Tanghulu Gone, Now 'This'?…The Harsh Reality of Copycat Dessert Startups [Dito Society]

④If Successful, Others Follow... Flash Trend Startups Proliferate
Tanghulu Popularity Fades, Now Yogurt Ice Cream?
Past Large-Scale Closures of Taiwanese Castella and Coffee Bun Shops
"Fast Dessert Trend Cycles... Understanding Consumers Is Key"

Editor's NoteThe Seoul National University Consumer Trend Analysis Center has identified 'Ditto consumption' as one of the top 10 keywords for 2024. 'Ditto' is a Latin word meaning 'the same,' and Ditto consumption refers to the tendency to follow celebrities' tastes and trends exactly when purchasing products or consuming content. This article analyzes the blind 'Ditto' phenomena in Korean society, such as the lowering age of luxury consumption and the increasing trend-following investments.

Haewon, a member of the group NMIXX, eating yogurt ice cream. (YouTube 'Workman' capture)

Tanghulu, which once enjoyed syndrome-level popularity, is now following in the footsteps of Taiwan Castella. As dessert trend cycles shorten, concerns are rising that blindly copying popular items and starting businesses may lead to repeated financial losses.

According to an analysis of local administrative licensing data released by the Ministry of the Interior and Safety on the 20th, 196 Tanghulu stores have closed this year. The number of closed stores has gradually increased from 11 in January to ▲16 in February ▲28 in March ▲49 in April ▲43 in May ▲49 in June. Even considering the significant increase in the number of Tanghulu stores, this already far exceeds twice the number of store closures last year (72).

Tanghulu is a snack made by skewering fruit on sticks and coating them with sugar syrup, which once gained syndrome-level popularity among Generation Z. A new term, 'Sikhutang' (Tanghulu after meals), even emerged, and it gained attention through the 'Malatanghulu' challenge involving famous celebrities and influencers.

Tanghulu. [Image source=Yonhap News]

However, as Tanghulu's popularity fades, sales are declining. According to BC Card's merchant data analysis, nationwide sales at Tanghulu specialty stores surged explosively from April last year, peaked in September of the same year, and have since been decreasing. In April, the sales index dropped 27% compared to the previous month.

Given this situation, communities of self-employed business owners are filled with sighs from Tanghulu store owners. On the Naver cafe 'Because It Hurts, I'm a Boss,' many complaints have been posted, such as "Selling less than 10 a day," "I regret learning Tanghulu," and "I didn't expect the trend to end so quickly."

Besides Tanghulu, countless desserts that enjoyed 'flash' popularity have cooled off. In 2007, the British-style bread 'Bun,' known for its rich and sweet aroma, was introduced to Korea, leading to a boom in coffee bun franchises. In 2012, the global tea brand Gong Cha landed in Korea, popularizing bubble tea. After that, Taiwan Castella, known for its soft texture, enjoyed sensational popularity. However, in 2016, a broadcast investigative program pointed out excessive use of cooking oil, and soaring egg prices?the main ingredient?led to a large-scale closure of Taiwan Castella stores. Other desserts like the German-style Schniballen also gained brief popularity due to their unique visuals but have since disappeared.

[Image source=Yoajung Instagram]

Recently, yogurt ice cream has attracted attention as a latecomer to Tanghulu. It has become popular among young people as famous celebrities and influencers have started enjoying it. This dessert consists of basic plain yogurt ice cream topped with honeycomb, cookies, fruits, and more.

Franchise inquiries are also flooding in. According to the Fair Trade Commission, the number of Yoajeong stores increased from 99 in 2021, when franchise recruitment began, to 158 in 2022, and 166 in 2023. As of June this year, there are over 350 Yoajeong stores nationwide. On the website of Trillians, which operates Yoajeong, a notice was once posted stating, "Due to the overwhelming franchise inquiries, our operations are currently paralyzed, and we are unable to return calls individually."

Professor Eunhee Lee of Inha University's Department of Consumer Studies pointed out, "Dessert trends have short cycles," adding, "Since desserts are snacks eaten casually rather than main meals, they are sensitive to fun, freshness, and visuals." She emphasized the importance of understanding consumer needs when starting a business. She said, "Tanghulu is coated with sugar, which can cause diabetes and obesity, and Taiwan Castella, which was once popular, was hit by suspicions of excessive cooking oil use. If businesses understand what consumers want, address problems, and strive for change, they can continue to be chosen."