Orion Vietnam Corporation Surpasses 400 Billion KRW Annual Sales for the First Time in History

Orion Vietnam Corporation Product Collection. Photo by Orion

[Asia Economy Reporter Song Seung-yoon] Orion announced on the 22nd that its Vietnam subsidiary has surpassed annual sales of 400 billion KRW for the first time in history.

Orion Vietnam recorded cumulative sales of 406.7 billion KRW from January this year to last month, a 38% increase compared to the same period last year on a simple aggregation basis. Orion Vietnam surpassed 200 billion KRW in annual sales in 2016, 11 years after entering the local market in 2005, and exceeded 300 billion KRW last year. This year, cumulative sales through November have far exceeded last year’s total annual sales of 341.4 billion KRW, setting a new record high.

This growth is attributed to increased sales across all products such as fresh potato snacks and pies, supported by sales capabilities, as well as the expansion of new category markets including rice crackers, meal replacements, and jelly. Fresh potato snacks saw a 39% sales increase compared to the same period last year due to product diversification including new products like ‘Ostazing’ (Korean name: Kwasak Chip), ‘Swing’ (Korean name: Swing Chip) Garlic Shrimp, and large-size packages. Vietnam’s national pie, ‘Choco Pie,’ surpassed 100 billion KRW in sales, driven by the popularity of new flavors targeting local Generation Z such as ‘Mole’ and ‘Watermelon.’ ‘Custas’ (Korean name: Castard) also saw a 40% sales increase compared to the same period last year, fueled by the popularity of the new product ‘Kkom,’ which incorporates traditional Vietnamese cuisine.

Additionally, Orion Vietnam has widened the gap with global competitors by implementing aggressive sales strategies such as expanding snack-exclusive shelves based on increasing demand for fresh potato snacks due to rising local income levels. The company is focusing on strengthening sales capabilities by actively discovering new clients and promoting B2B (business-to-business) sales, which have large bulk purchase demands.

To proactively respond to increased sales volume, Orion plans to build a new production building at its Hanoi factory and expand its Ho Chi Minh factory. The construction of a third factory is also underway. The operating rate of the two currently operating factories reached 120% as of November, and it is expected that the stable foundation for high growth will be established once the new production lines are fully operational.

An Orion official said, "Based on differentiated sales capabilities, new products reflecting local consumer trends have been continuously successful, enabling the Vietnam subsidiary to surpass annual sales of 400 billion KRW for the first time in its history." He added, "We expect the Vietnam subsidiary to become a central axis leading the group’s growth by continuing high growth through expanding production capacity and market expansion."

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