[Matjjalal X File] Was Pepero Day Created by a High School Girl in Gyeongnam?…The March of the Stick Snack

All About Pepero Approaching Its Forties
Trademark Dispute with Pocky... Pepero Wins
Nude Pepero Renamed to Choco Field

November 11th is Pepero Day. It is a day when friends, lovers, and family exchange Pepero. During school days, Pepero gifts, along with Valentine's Day chocolates, were considered a measure of popularity. However, nowadays, adults often say that Pepero Day is a 'marketing ploy created by Lotte Confectionery (now Lotte Wellfood).'

Lotte Wellfood's Pepero global advertising campaign is being displayed on the streets of Times Square, New York, USA. Provided by Lotte Wellfood

The Biggest Beneficiary, But... Was Lotte Not the Originator of Pepero Day?

Of course, the biggest beneficiary of Pepero Day is indeed Lotte Wellfood. Some say that Lotte Wellfood earns 70% of Pepero's annual sales thanks to Pepero Day, but upon direct verification, it was not quite at that level. As a manufacturer, Lotte Wellfood starts preparing for Pepero Day from September, and from then until November, about 50% of the total Pepero supply is delivered during these three months. That is quite a lot.

However, Lotte Wellfood insists that while they are the biggest beneficiary of Pepero Day, it is a misunderstanding to say that it is a 'marketing ploy they created.' Shall we hear what they have to say? Now, let's check various rumors related to Pepero or Pepero Day.

Pepero is displayed at a convenience store in Seoul on the 10th, one day before Pepero Day. Photo by Moon Ho-nam

Suspicious Increase in Pepero Sales Found in Gyeongnam Region... The Origin of Pepero Day

The first appearance of Pepero Day in newspaper articles was in 1996. Since it is not an official commemorative day, it is unclear exactly when Pepero Day began. However, it is true that Pepero Day was created earlier. The most plausible origin of Pepero Day is the theory that it started among teenage girls in the Gyeongnam region. "Eat Pepero and lose some weight!" In the 1990s, among teenage students in the Gyeongnam region, Pepero was exchanged every November 11th with the meaning of "become slim like Pepero." As this culture spread, Pepero sales in the area surged, and when the sales manager of the Gyeongnam region reported this to the headquarters, Pepero Day marketing expanded. Given that Pepero's cumulative sales have reached 2 trillion won, it seems Lotte Wellfood should consider donating to the Gyeongnam region.

Japanese Copycat Controversy... The Original Was Not Pepero but Pocky

The controversy over the origin of Pepero is an old story. You may have seen many Koreans say that Pepero is a 'copycat' of a Japanese snack. It is true that a Japanese snack shaped like a chocolate stick was released before Pepero. The Japanese manufacturer Ezaki Glico launched 'Pocky' in 1966. (It is the same Pocky sold by Haitai in Korea.) Many people thought Pocky was a knockoff of Pepero, but it turns out Pocky came first. Pepero was launched domestically in 1983. Pocky is 58 years old, while Pepero is younger at 41 years.

Haitai Pocky Gift Set. Provided by Haitai

However, both Pepero and Pocky are sold in Korea without any issues. This is because Ezaki Glico's claim to be the 'original' and its trademark rights were not legally recognized. When Lotte launched Pepero, the Japanese company did not remain silent. From 2000, as Pepero began exporting to the U.S. and expanding its market, Ezaki Glico filed a trademark infringement lawsuit in the U.S. in 2015. The company reportedly sent several warning letters to Lotte demanding a halt to sales in the U.S. But when Lotte ignored these, legal battles ensued.

However, the result was a loss for Pocky and a win for Pepero. The U.S. District Court in New Jersey ruled that Pocky's 'useful' design could not be protected by trademark rights. What is a useful design? It refers to a design that makes it easier for consumers to use. The U.S. court held that such designs cannot be monopolized by one company. Since the stick-shaped chocolate snack allows people to eat without getting chocolate on their hands, anyone can use this design.

Lotte Wellfood Benefited by the Law, "Don't Use the Pepero Name"?

In a way, Lotte Wellfood benefited from the law. However, they sometimes act annoyingly. They reversed the situation by claiming 'trademark infringement' against small business owners. In 2022, Lotte Confectionery's legal team claimed trademark infringement against those selling 'Pepero DIY kits' or 'handmade Pepero.' They argued that these sellers were making money using the Pepero name without being Lotte Pepero. As a result, small business owners had to rename their products to 1111 Day, stick snacks, chocolate sticks, etc. Considering that Pepero has been used as a generic term for long chocolate sticks, many viewed this as an excessive and greedy response at the time.

Pepero Accelerates Overseas Expansion... The Story Behind the Name Change of Nude Pepero

Lotte Wellfood now aims to make Pepero a global steady seller beyond Korea. Following last year, this year they also ran large outdoor advertisements in New York's Times Square featuring NewJeans as models to promote Pepero Day.

There is an interesting episode during overseas expansion regarding the name change of Nude Pepero. Everyone knows Nude Pepero, right? Unlike regular Pepero where chocolate coats the biscuit, Nude Pepero has chocolate inside the biscuit. However, since last year, this product's name has been changed to 'Ppeppaero Choco Field.' Because 'nude' means naked, they judged it better to remove the word from the product name considering overseas exports.

After various marketing efforts and even changing the name, Pepero is currently exported to about 50 countries including the U.S., Southeast Asia, and the Middle East. In the first half of this year, thanks to the popularity of K-food, export sales exceeded approximately 32.5 billion won, surpassing domestic sales for the first time since its launch. From the second half of next year, when the first overseas production base is established in India, its influence is expected to grow further. Pocky must be feeling a bit uneasy watching this.