"Mart Chicken" vs "Franchise Chicken"... Who Will Smile on Malbok?

Three Major Supermarkets Join Chicken Battle
The Biggest Competitiveness is 'Affordable Price'
Experts: "Preference for Cheap Mart Chicken Will Continue Due to Inflation"

Consumers continue to praise the chicken products introduced by the three major large retailers. The photo shows chicken displayed at a large supermarket in Seoul. [Image source=Yonhap News]

[Asia Economy Reporter Park Hyun-joo] As large supermarkets join the so-called 'chicken battle,' chicken franchise owners continue to oppose this move, while consumers are showing strong support for supermarket chicken. Experts predict that the popularity of affordable supermarket chicken will continue, especially during high-demand periods like Malbok (the last of the three hottest days in summer).

Supermarket chicken, known for its 'cost-effectiveness' (excellent performance relative to price), is gaining popularity. According to Homeplus on the 10th, 'Dangdang Chicken,' sold for 6,990 won, surpassed 300,000 units in cumulative sales from June 30 to July 7. E-Mart’s '5-Minute Chicken,' priced at 9,980 won, boosted E-Mart’s July chicken sales by about 26% compared to the same period last year upon its release. Lotte Mart’s 'Hantong Chicken' (15,800 won) sells an average of 35,000 units per month.

The biggest reason for the popularity of supermarket chicken is its 'price.' Major franchise chicken prices hover around 20,000 won, and with delivery fees added, consumers often pay between 25,000 and 30,000 won. Consumers, frustrated by the rising chicken prices and delivery fees, have responded positively to the affordable supermarket chicken launched in this high-inflation era. In some stores, the stock sold out within an hour of being put on sale.

Consumers have also responded positively to the quality of supermarket chicken. Office worker Kim (28) said, "It’s not as good as expensive chicken, but considering the price, the taste is decent," adding, "The pieces are large and the quantity is generous, so I stored it and reheated it in an air fryer." However, some online community reviews express disappointment, saying things like "It tastes exactly as much as the price suggests," and "It’s the common flavor sold at supermarket deli counters."

Chicken franchise owners are concerned about declining sales due to the popularity of supermarket chicken. It is pointed out that the competition between large supermarkets, which lower unit prices by selling in bulk, and small neighborhood businesses is inherently unbalanced. In 2010, Lotte Mart discontinued its 5,000 won 'Tongkeun Chicken' due to strong backlash amid conflicts between large supermarkets and local businesses.

Experts analyzed that as inflation continues, consumers prefer inexpensive supermarket chicken. The photo shows a discount notice at a large supermarket in Seoul. [Image source=Yonhap News]

Supermarket chicken reportedly sold well during the recent Boknal (the hottest days of summer) when chicken demand increases. On the 16th of last month, Homeplus held a promotion for 5,000 limited Dangdang Chickens at 4,990 won for Chobok (the first of the three hottest days), and some stores even experienced an 'open run' phenomenon, where customers rushed in as soon as the store opened to buy the product.

Experts foresee that the popularity of relatively affordable supermarket chicken will continue as prices rise across the board. Professor Lee Eun-hee of Inha University’s Department of Consumer Studies explained, "Chicken is a product highly favored by Korean consumers. Given the high inflation and the significant price increase of chicken, consumers seem to be turning to affordable supermarket chicken." She added, "However, supermarkets selling chicken should maintain high quality consistently rather than simply using chicken as a bait product."

However, Professor Lee expressed a negative view on expectations that prices of some products like chicken and bread will decrease as food prices fall. She elaborated, "Consumers expect that if raw material prices drop, product prices will also be reflected accordingly, but in reality, once product prices have been raised, they rarely go down."

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