Convenience Stores Challenge Chicken Market... Betting on 'Half-Price' Cost-Effectiveness
Launching Own Chicken Brand
Targeting Franchise Chicken Near 20,000 Won
Sales Soar Due to Consumer Response
[Asia Economy Reporter Lim Chun-han] As the price of chicken at major franchises has surpassed 20,000 won, convenience stores have thrown down the gauntlet with ‘half-price chicken.’ Each convenience store is launching its own brand and introducing delivery services to aggressively target the market.
On the 11th, GS25 reported that chicken sales at stores from the 1st of last month to the 7th of this month increased by 20.1% compared to the same period last year. During the same period, sales increased by 20.3% at 7-Eleven and 8.5% at CU. Due to the spread of COVID-19, chicken delivery sales also surged. Delivery sales increased by 440% at GS25, 43.1% at 7-Eleven, and 159.6% at CU. Each company sells about 30 types of chicken products, including single pieces, boneless skewers, and whole chickens.
Convenience store chicken emphasizes differentiated prices and taste. GS25 operates its instant chicken brand ‘Chicken25’ at over 5,000 stores nationwide. The flagship product is the Thornsall Chicken made with domestically sourced chicken breast, priced at 10,000 won. This large 640g product comes with pickled radish, chicken seasoning sauce, and cola. The Bigger Half Chicken uses domestically sourced chickens sized 11 to 12, which are larger than the 9 to 10 size chickens typically used by franchises. It consists of a total of 7 pieces, including one drumstick and one wing each.
7-Eleven has newly revamped its existing ‘Chicken’s Principle’ brand to ‘Fried.’ Currently, chicken is sold at over 4,000 stores nationwide, featuring product lineups similar to franchises such as whole chicken (9,900 won), seasoned chicken gangjeong (9,900 won), and buffalo wing set (6,900 won). The chicken uses carefully selected fresh domestic meat, and the seasoning incorporates black pepper and habanero peppers to create a spicy aroma and taste suited to Korean palates.
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CU offers chicken products at over 7,000 stores. Recently, it launched the ‘Giant Chicken Box,’ which allows customers to enjoy both boneless chicken and cheese balls, priced at 9,900 won. This product weighs 550g, and the boneless chicken made from chicken thigh meat is freshly fried in fresh oil upon order. An industry insider said, "As convenience store chicken receives positive responses from consumers, the market is rapidly growing," adding, "We will continue to strengthen product competitiveness centered on our own brands."
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