"Ranked No.1 in the US Ramen Market by 2030"... The Ambition of Nongshim's Chairman

"Triple Current Sales, Targeting $1.5 Billion Annually"
Conveying Aspirations to Employees via Email Message
Plans to Stabilize Domestic Business and Strengthen New Ventures

"We will become the number one ramen brand in the U.S. by 2030."

This is the ambition of Shin Dong-won, Chairman of Nongshim, who marked his second anniversary in office on the 1st of this month. According to Nongshim on the 13th, Chairman Shin recently stated in an email message to employees, "Over the next seven years, we aim to achieve annual sales of $1.5 billion in the U.S. market, which is three times the current level." In line with Chairman Shin’s vision, Nongshim plans to break ground on its third U.S. factory as early as 2025 and accelerate its efforts to capture the local market.

Since Chairman Shin took office, Nongshim has been recognized for achieving new changes and various accomplishments under the slogan "Make Life Delicious, Nongshim." Not only has it posted excellent results in its global business, which has established itself as a leading figure in the K-food wave, but it is also transforming into a younger, more dynamic Nongshim by continuing to take on new challenges.

Shin Dong-won, Chairman of Nongshim, who celebrated his 2nd anniversary in office on the 1st of this month [Photo by Nongshim]

40 Years of Overseas Market Expansion, Emerging as a Global Food Company

Chairman Shin has led Nongshim’s overseas market entry efforts since the establishment of its Tokyo office in Japan. When the Tokyo office officially began export operations in 1987, he volunteered to work there, saying, "Just as the saying goes, 'If you want to catch a tiger, you must enter the tiger’s den,' to compete head-on with ramen, we must go to Japan, the birthplace of ramen, and learn properly." He worked at the Tokyo office until 1991, laying the foundation for the Nongshim brand to take root in the Japanese market.

Thanks to Chairman Shin’s hands-on management, Nongshim successfully entered the Japanese market, the birthplace of ramen, and solidified its overseas market entry strategy based on the philosophy that "the most Korean is the most global." Accordingly, Nongshim knocked on the doors of the global market with the philosophy of delivering the authentic taste of Shin Ramyun, and has grown into a global food company exporting products to over 100 countries worldwide.

In the U.S., where global food brands compete fiercely, Nongshim established a San Francisco office in 1984 and began operating its Los Angeles (LA) factory in 2005, expanding its sales network mainly in the western U.S. and Korean-American markets. Differentiating itself with premium products unlike Japan’s low-cost ramen, Nongshim achieved the milestone of being the first Korean food company to have its products stocked in all Walmart stores across the U.S. in 2017.

The value of the Nongshim brand began to shine even more during the COVID-19 pandemic, as Nongshim ramen was recognized as a convenient and hearty meal solution. The film "Parasite," which won the Academy Award in February 2020, featured "Jjapaguri," a mix of Nongshim’s Chapagetti and Neoguri, bringing even greater attention to Nongshim ramen.

With ramen’s rising popularity, by 2021, Nongshim’s U.S. factory production could not keep up with demand. Nongshim completed its second U.S. factory last year, increasing production capacity by 70%. As a result, sales in the first quarter of this year rose 40.1% year-on-year, and operating profit surged by 604.1%. Building on these achievements, Chairman Shin envisions tripling local sales by 2030. Nongshim’s sales in the North American region last year reached $490 million.

According to market research firm Euromonitor, Nongshim’s market share in the U.S. was 25.2% in 2021, ranking second after Japan’s Toyo Suisan (47.7%). A Nongshim official said, "Considering the current growth trend and the market share gap with the leading Japanese company, we believe the vision for the U.S. market is fully achievable."

Shin Dong-won, Chairman of Nongshim, is inspecting the production facilities of the second factory in the United States.
[Photo by Nongshim]

Strengthening Domestic Business... Customer-Centric Management and Discovery of New Growth Engines such as Smart Farms, Vegan, and Health Functional Foods

Chairman Shin has also emphasized the need to strengthen the domestic market. To this end, he has implemented profitability improvement projects and reduced unnecessary waste across company operations to increase profit margins. He also promoted a "digital transformation project" applying artificial intelligence (AI) and the Internet of Things (IoT) to work processes. By introducing AI into production sites, Nongshim drastically reduced defect rates, maximizing production efficiency and raising food safety standards.

Under Chairman Shin’s judgment that Nongshim must shed its "old" corporate image and become a "young Nongshim" that communicates closely with the MZ generation (Millennials + Generation Z), the company has rejuvenated its organizational culture. Starting last year, it introduced a casual dress code and simplified the rank system from five levels to three. In marketing activities, following last year’s Anseongtangmyun pop-up store, this year’s Shin Ramyun pop-up store received great responses from MZ generation consumers.

Nongshim is also focusing on new business ventures that will open the future beyond its ramen and snack-centered business structure. A representative example is its entry into the "smart farm" business, considering the threats to crop safety posed by climate change and environmental pollution. Nongshim began researching smart farm technology in 1995 with a potato research center in Pyeongchang, Gangwon Province. Developing everything from facilities to control systems in-house, Nongshim leverages the advantage of optimizing all conditions according to the characteristics of cultivated crops and is expanding smart farm operations in the Middle East. Last year, it exported smart farm containers to Oman, and this year signed smart farm memorandums of understanding (MOUs) with the United Arab Emirates (UAE) and Saudi Arabia, showing tangible results.

Chairman Shin also noted the growing attention to "vegan food" in line with trends emphasizing respect for life and environmental protection. In 2020, Nongshim launched the vegan brand "Veggie Garden," offering various foods based on its proprietary "alternative meat manufacturing technology (HMMA)." Last year, it introduced "Forest Kitchen," Korea’s first vegan fine dining restaurant, promoting the appeal of vegan cuisine to consumers.

Nongshim also entered the health functional food market with its "Lifeal" brand launched in 2020. Using its proprietary technology, it developed various products with "low molecular collagen peptide NS" as the main ingredient and recently expanded the Lifeal brand to include probiotics, omega-3, lactoferrin, and more. A Nongshim official said, "We plan to expand the related market by launching various new products that help improve sleep quality, memory, and metabolic systems."

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