COVID-19 Drives 86% Increase in Online Meat Sales
[Asia Economy Reporter Seungjin Lee] The purchase of meat, which was mainly done at offline stores, is expanding online. The spread of home-cooked meals due to COVID-19 and advancements in delivery technologies such as cold chain systems have significantly increased demand for online purchases.
According to SSG.com on the 29th, online meat sales increased by 86% last year compared to the previous year. This increase in sales volume is analyzed to be due to consumers' positive change in perception toward purchasing meat products through online malls.
For example, Shinsegae Food currently operates about 50 types of meat HMR (Home Meal Replacement) products, among which it is focusing on developing small-packaged products targeting single-person households, solo diners, and dual-income couples. Last year, the online sales of about 20 types of small-packaged meat HMR products, including marinated meat and packaged meat from Shinsegae Food, increased by 53% compared to the same period the previous year.
The categories showing the highest growth were pork and chicken for grilling. For instance, sales of ‘Olban Usamgyeop’ increased by 427% year-on-year, and ‘Boneless Chicken Thigh Steak’ surged by 350%.
This sales growth is attributed to consumers feeling confined indoors due to COVID-19 last year and turning to outdoor activities such as camping and glamping, which increased demand for small-packaged, easy-to-grill meals suitable for camping sites. Additionally, pork and chicken being more cost-effective than beef matched well with consumers' needs to reduce food expenses during the economic downturn.
Shinsegae Food plans to expand the lineup of small-packaged meat HMR products sold online to about 30 types this year, capitalizing on the popularity of small-packaged meat home meal replacements.
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A Shinsegae Food official stated, “Consumers who have experienced purchasing meat online due to the impact of COVID-19 are highly satisfied with quality, taste, and hygiene, and are expected to continue online purchases. Therefore, we plan to continuously expand the related product lineup.”
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