[Exclusive] Home Meal Hero 'Meal Kits' Also Raise Prices... Oneul Chef Increases Up to 2,000 Won

"Price Increase Unavoidable Due to Rising Logistics Costs"
Industry Leader Fresh지 "No Plans for Price Increase"

The content is not directly related to the article. Source=Getty Images Bank.

[Asia Economy Reporter Moon Hyewon] Amid widespread increases in food prices, the price of "meal kits" is also rising, which is expected to increase the burden on ordinary consumers.

According to the industry on the 9th, the meal kit startup brand Oneul Chef raised the prices of its main products by 1,000 to 2,000 KRW for two servings starting from the 3rd of this month.

The price of Dakgalbi Cheolpan increased by 2,000 KRW from 10,900 KRW to 12,900 KRW, and Gopchang Jeongol, Spicy Jjimdak, and Black Jjimdak all rose by 1,000 KRW from 12,900 KRW to 13,900 KRW. Jeyuk Bokkeum also jumped by 1,000 KRW from 9,900 KRW to 10,900 KRW.

A franchisee of Oneul Chef said, "Due to the increase in logistics costs at headquarters, the price hike was unavoidable."

Oneul Chef, which has emphasized relatively low prices as a differentiating factor from traditional dining businesses, has raised prices, raising concerns about a domino effect of price increases in the same industry.

However, Fresh Easy, the number one meal kit company in Korea, currently has no plans to raise prices. A Fresh Easy representative dismissed the idea, saying, "There are no discussions about price increases at this time."

An industry insider said, "Since the meal kit market is still in the growth stage, companies are cautious about whether to raise prices. Small businesses may need to increase prices due to circumstances, but larger companies are maintaining current levels and closely monitoring the situation."

According to Euromonitor, the domestic meal kit market was estimated at 300 billion KRW last year. It is expected to grow at an average annual rate of 31% and reach 725.3 billion KRW by 2025.

The market targets consumption habits due to the increase in single-person households and the entry into an aging society. Moreover, social distancing measures implemented after the spread of COVID-19 have increased demand for home-cooked meals, and the industry expects the related market to continue growing significantly.

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