CJ CheilJedang Bibigo to Be Available Across the U.S. Through Schwan's Distribution Network

Bibigo Enters Major US Supermarket Brands One After Another... Synergy from Schwans Acquisition Kicks Off
Expanding Demand in US Mainstream Market to Accelerate Vision of Becoming 'Global No.1 Food Company'

[Asia Economy Reporter Lee Seon-ae] The Korean food representative brand 'Bibigo' products have become able to actively play the role of K-food (Korean food wave) ambassador in the United States through the distribution network of Schwan’s Company.

CJ CheilJedang announced on the 22nd that it has completed the establishment of a system that can utilize Schwan’s sales network, which has grocery distribution channels across the United States.

Bibigo, currently leading the market share in the U.S. for five consecutive years with its dumplings, has been building recognition as a 'representative Korean food brand,' but growth was limited due to distribution mainly through Costco. However, after acquiring Schwan’s, it has continuously expanded store entries through Schwan’s distribution network into major U.S. retail channels such as Walmart, Kroger, Target, as well as small and medium-sized supermarkets like Food City and HyVee. CJ CheilJedang expects to meet American consumers at more than 30,000 stores nationwide in the U.S. through this distribution system.

In particular, CJ CheilJedang has focused on the K-food and Asian food market in the U.S. While the popularity of Asian food is increasing day by day in the U.S., there are not many companies or brands specializing in it. In fact, Schwan’s Asian food category sales increased by 22.5% annually as of October this year compared to the same period in 2018-2019, which is 2.5 times the growth rate of the overall frozen food market.

Accordingly, since early this year, CJ CheilJedang has collaborated with Schwan’s to create a separate 'Asian Food Zone' in some stores, displaying Asian-style brand products such as Bibigo representing K-food, Kahiki (Asian frozen food brand), and PAGODA (Asian snack brand) together to gauge consumer response.

A consumer at a large U.S. supermarket is selecting a Bibigo bibimbap product in the Asian Food Zone, where Asian food brands are separately displayed.

A consumer at a large U.S. supermarket is selecting a Bibigo bibimbap product in the Asian Food Zone, where Asian food brands are separately displayed.

Additionally, through collaboration with Schwan’s, CJ CheilJedang plans to continuously expand the product portfolio of Korean and Asian foods. Especially by next year, it will focus on strategic categories such as dumplings, pizza, and Hetbahn (instant cooked rice), and from 2022, it plans to expand into ambient ready meals to lead large-scale growth in the U.S. business.

Julie Francis, head of Schwan’s Consumer Brands division, said, “With CJ CheilJedang’s products supplied nationwide through Schwan’s distribution network, both companies have greater opportunities,” adding, “Combining CJ CheilJedang’s top-level food manufacturing R&D capabilities and know-how with Schwan’s sales power will secure a definite competitive advantage in the frozen food market and accelerate the vision of becoming the world’s number one food company.”

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