Rising Dining Costs Spark Half-Price Competition at Convenience Stores? ... Hamburgers 4,000 Won · Coffee 650 Won

Big Mart Half-Price Chicken Competition... Convenience Stores Join Low-Price Marketing
Increasing Trend of Office Workers and Students Having Lunch at Convenience Stores
Experts Say "Continuous Efforts Needed to Develop Cost-Effective Products"

The rapid rise in dining-out prices is increasing the lunch expenses burden for office workers. The photo is not related to the specific content of the article. [Image source=Yonhap News]

[Asia Economy Reporter Lee Gyehwa, Intern] Convenience stores are also consecutively launching so-called 'half-price products.' Recently, as lunch prices have become burdensome for office workers, single-person households, and students due to the rapid rise in dining-out costs, low-price marketing is expanding from large supermarkets to convenience stores.

According to Statistics Korea on the 15th, the dining-out price increase rate in August was 8.8%, marking the highest level in about 30 years since October 1992 when it was also 8.8%. Additionally, according to the Consumer Agency's comprehensive price portal 'Chamgagyeok,' the average price of gimbap in Seoul in August was 3,046 won, up 315 won or about 11.5% from 2,731 won last year. The price of 200g of samgyeopsal (18,364 won) rose about 8.7% (1,475 won) compared to the same period last year, and kimchi jjigae set meal (7,500 won) increased 8.3% (577 won) year-on-year.

Due to the rapid rise in dining-out prices, more office workers, single-person households, and students are turning to convenience stores for lunch. This is also confirmed by statistics. According to Emart24, lunchbox sales (from June 1 to July 26) increased by 48% compared to the same period last year. By commercial district, office districts saw a significant increase of 68% compared to the same period last year, followed by single-family residential areas at 54%, and academy districts at 42%. GS25's lunchbox and hamburger/sandwich sales also rose by 32.8% and 31.1%, respectively, compared to the same period last year.

In response, GS25 launched half-price hamburgers as part of its low-price marketing. GS25 will release the Jin Original Beef Burger, which contains 100% beef patties, on the 16th. GS explained that the Jin Original Beef Burger includes Australian beef patties as well as tomato and lettuce, but is priced at 4,000 won, close to half the price of franchise products on the market. It is 18.4% cheaper than McDonald's representative menu Big Mac, which recently raised its price to 4,900 won, and 42.0% cheaper compared to Burger King's signature Whopper priced at 6,900 won.

As coffee franchises continue to raise beverage prices one after another, the number of consumers seeking low-priced coffee is on the rise. Photo by CU Convenience Store.

CU also introduced half-price coffee through a 1+1 event for its instant brewed coffee, GET Coffee. When applying the GET Coffee 1+1 event, the price of one HOT Americano is 650 won for size M and 750 won for size L. Compared to the average price of Americano sold at coffee franchises, which ranges from 5,000 to 6,000 won, this is less than a quarter of the price.

CU's GET Coffee sales increased by 18.2% in July, 29.7% in August, and 36.8% in September compared to the previous year. Especially, the sales growth rate in early September (1st to 9th) surged to 49%. This is interpreted as an increase in consumers seeking low-priced coffee as coffee franchises have consecutively raised beverage prices due to rising coffee bean costs, logistics, and labor expenses.

Such low-price marketing is expected to receive a positive response from consumers who need to reduce spending in this high-inflation era. However, experts suggest that companies need to make continuous efforts to maintain product quality at a certain level while lowering prices.

Professor Lee Eunhee of the Department of Consumer Studies at Inha University said, "Low-price marketing in the high-inflation era will receive great support from consumers," adding, "Consumers have basic expenses such as daily food and lunch costs. However, if these products maintain a certain level of quality while lowering prices, companies' low-price marketing will be viewed positively." She also forecasted, "Since high inflation is expected to continue, such low-price marketing will persist."

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