HiteJinro's Wine Business Continues Growth... Over 10% Increase and 500+ Varieties Sold

[Asia Economy Reporter Lee Seon-ae] HiteJinro is continuing its growth in the wine business.

HiteJinro announced on the 14th that its wine business has grown by more than 10% compared to the previous year. This is more than three times the size compared to 2015, before the company officially started its wine business. This achievement is particularly meaningful as it was accomplished amid intense competition and stagnation in the domestic wine market over the past few years, during which some wine importers went bankrupt or were sold.

The reason HiteJinro is focusing on the wine business is based on the judgment that the domestic wine market has matured after the bubble burst following the financial crisis. As the number of domestic wine enthusiasts has increased, the company believes it is the right time to diversify its portfolio and expand sales and distribution channels to meet the growing demand.

According to customs export-import statistics, wine imports have increased every year over the past decade. Wine imports recorded 26,004 tons in 2011 but increased by more than 1.6 times to 43,495 tons last year. Despite the challenging environment due to COVID-19 this year, the amount of wine imported into Korea until October was 42,640 tons, similar to the previous year, and the total import volume for this year is expected to exceed that of last year.

HiteJinro began its wine business in May 1997 by importing five types of French and German wines through its then-affiliate Hysco. Hysco was merged into HiteJinro in 2012 to reduce unnecessary resource waste and improve efficiency through interdepartmental exchanges.

In June 2016, HiteJinro actively expanded its wine business by recruiting Executive Director Yoo Tae-young, who was then CEO of Shindong Wine, and appointed him as the wine executive. After his appointment, Executive Director Yoo reorganized HiteJinro’s wine business framework and pushed for portfolio expansion. Currently, HiteJinro imports over 500 types of wines from about 10 countries, discovering premium wines that were previously unavailable, including cult wines, and diversifying import countries from France, Chile, and the United States to New Zealand, Argentina, and others. Additionally, the company introduces products that have received high evaluations from renowned international wine critics and publications to domestic consumers.

HiteJinro’s growth in the wine market lies in its differentiated strategy from existing wine importers. While continuously discovering cult wines and high-priced limited edition wines suited to domestic wine enthusiasts, it also offers reasonably priced wines representing value for money and emotional satisfaction. Furthermore, as a leading comprehensive liquor company in Korea, HiteJinro’s long-established nationwide network of liquor distributors, built through its sales activities in soju and beer, creates a synergy effect by enabling the distribution of wine alongside other alcoholic beverages.

Executive Director Yoo said, “HiteJinro is making great efforts to discover limited edition and premium wines as well as wines that offer value for money and emotional satisfaction to meet the diverse needs of customers,” adding, “As a leading domestic liquor company, we will continue to introduce various products and lead the domestic liquor market.”

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