Orion's Snack Sales Soar... March Sales in Korea, China, and Vietnam Up 82% YoY

[Asia Economy Reporter Choi Saeng-hye] Orion announced on the 21st that it continues its growth momentum through product innovation, continuous new product launches, and pioneering new categories. In particular, the snack category sales have increased significantly, leading overall growth.

According to Orion, the combined sales of its corporations based on last month's preliminary earnings disclosure recorded 208.3 billion KRW, a 41% increase compared to the same month last year. Major snack sales in Korea, China, and Vietnam grew by approximately 82% year-on-year. The newly launched snack products have received high acclaim, diversifying the portfolio of main products beyond the existing pie products. Along with this, newly developed convenient meal replacements and mass-produced bread have also gained great popularity domestically and internationally, pioneering new markets.

In Korea, the snack category's share of total sales increased from 34% last year to 39% last month. Differentiated products such as the uniquely textured four-layer snack "Kkobuk Chip" and "Poca Chip Dangcho Soy Sauce Flavor and Roasted Garlic Flavor," which infuse Korean flavors into potato chips, drove this growth.

Overseas subsidiaries also continued their growth by consecutively launching new products. In China, the snack category's share of total sales rose significantly from 37% last year to 50% last month. New products such as "Oh! Gamja Byeol" (local name: Ya! Tudou Chui Chui Xing), which maximizes texture, and "Swing Chip Flat Cut" (local name: Haoyouchu Baopian) received high acclaim, leading the snack category's growth. In particular, "Oh! Gamja Byeol" achieved monthly sales of 2 billion KRW, leading the texture trend in the Chinese confectionery market and proving its high popularity and product quality.

In Vietnam, the newly launched rice snack "Ani" surpassed monthly sales of 1.6 billion KRW, achieving about a 12% market share in the Vietnamese rice snack market. Orion has identified entry into the rice snack market as one of the new growth engines for its Vietnam subsidiary and has devoted two years to product research and development. Sales of fresh potato snacks such as "Poca Chip" (local name: Osta) and "Swing Chip" (local name: Swing) also grew by more than 20% and 10% respectively compared to the same month last year, with last month's total snack sales surpassing pie sales.

Success in entering new markets such as convenient meal replacements and mass-produced bread has also contributed to sales growth. Domestically, the launch of the convenient meal replacement brand Market O Nature's "Oh! Granola" expanded the cereal market from being centered on "corn flakes" to "granola." Sales have also stabilized on a steady trajectory. In Vietnam, the newly developed mass-produced bread "Ssebbong" has gained popularity as a breakfast item, establishing itself as a new growth engine.

These achievements are attributed to the establishment of a global research institute and strengthening of the R&D headquarters function, which enabled the launch of highly impactful new products. Leading the market through product innovation, including developing textures and shapes that did not previously exist, was also effective. In 2017, Orion's Korean corporation became the headquarters to enhance R&D capabilities and global product competitiveness by establishing a research planning team and initiating integrated global management. Through this, R&D know-how is shared among corporations, and new products tailored to the characteristics of consumers in each country are introduced, creating a new golden era.

An Orion official said, "Product innovation is significant as a new growth engine that will lead Orion's continuous growth," adding, "We will focus all of Orion's capabilities on product innovation and development to provide new value to consumers and sustain growth in the global market."

This content was produced with the assistance of AI translation services.