Bottled Beer Disappears... Canned Beer Gains Popularity as 'Home Drinking' Surpasses Dining Out

Canned Beer Sales Over 7 Times Higher Than Bottled Beer in Retail Stores
Enjoying 'Can Maek' for Home Drinking... COVID-19 Impact Also Significant

[Asia Economy Reporter Choi Saeng-hye] As more consumers enjoy 'home drinking' at home rather than at establishments, canned beer is selling like hotcakes, surpassing bottled beer. This trend is expected to continue as the spread of the novel coronavirus disease (COVID-19) this year has significantly reduced alcohol sales in the entertainment market.

According to the Food Industry Statistics Information System of the Korea Agro-Fisheries & Food Trade Corporation (aT) on the 22nd, the cumulative annual POS retail sales of beer by item last year showed canned beer at 2,198.917 billion KRW, more than seven times the 295.511 billion KRW of bottled beer. The share of bottled beer in discount stores and convenience stores was found to be only about 5-10%. A liquor industry official stated, "Due to the impact of COVID-19 this year, the proportion of home-use beer sales has surpassed that of traditional establishment-use beer, and canned beer sales are showing relatively strong performance."

An alcohol expert analyzed, "In the past, perceptions such as 'canned beer tastes metallic' and 'drinking bottled beer straight from the bottle is cool' were widespread, and bottled beer was even cheaper than canned beer, gaining popularity. However, as solo drinking, home drinking, and eating-in trends spread, canned beer, which is easy to purchase and recycle, began to gain popularity."

aT also explained, "With the emergence of cultures like 'honmaek (drinking beer alone)' and 'najmaek (drinking beer during the day),' canned beer has dominated the market due to its light weight and portability, winning consumers' love." Experts agree that canned beer better blocks light and oxygen, the biggest factors that alter beer taste, compared to bottled beer, resulting in less actual taste deterioration.

The shift to a volume-based tax system, which taxes alcohol proportionally to the amount or alcohol content, for beer and Makgeolli has also influenced the growth of the canned beer market. OB Beer raised its ex-factory price by 4.7% in April last year but lowered it back to the original price in October ahead of the volume-based tax revision. Lotte Chilsung also reduced the ex-factory price of canned beer from January this year: Kloud 500ml from 1,880 KRW to 1,565 KRW, and Fitz from 1,690 KRW to 1,467 KRW. The craft beer industry, which has reduced tax burdens, is also continuously launching new canned beer products. According to the Korea Institute of Public Finance and the liquor industry, the tax burden on canned beer, which uses aluminum cans and has higher production costs, has decreased by more than 400 KRW due to the volume-based tax change. Bottled beer prices have hardly changed.

Meanwhile, in this trend, Sevenbrau initially planned to release a bottled beer version of 'Gompyo Wheat Beer' at the end of this month but postponed it indefinitely. Gompyo Wheat Beer is a collaboration craft beer developed by CU, a distribution company; Daehan Flour Milling, a wheat flour manufacturer and brand owner; and Sevenbrau, a beer manufacturer. The product gained popularity early on, ranking fifth in domestic beer sales following Cass and Terra. Sevenbrau explained, "The demand for the canned version exceeds the factory's capacity, causing supply shortages, and since consumers rarely seek bottled beer at home, the launch plan has been postponed indefinitely."

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