Two Years of COVID-19, Hangover Remedy Market Still Struggling... Stretching Out with Hopes for Daily Life Recovery

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[Asia Economy Reporter Song Seung-yoon] As the possibility of a full lifting of quarantine measures increases, the hangover remedy market is also beginning to revive. The hangover remedy market struggled alongside the stagnation of the alcoholic beverage market during the two years of COVID-19.

According to the food and pharmaceutical industries on the 15th, the domestic hangover remedy market is estimated to be around 260 billion KRW. HK Innoen's Condition product line, which holds the number one market share, recorded sales exceeding 50 billion KRW in 2019 before the outbreak of COVID-19, but sales dropped to 48.1 billion KRW in 2020 when the pandemic began in earnest, and further decreased to about 38.4 billion KRW last year, a 23% decline over two years. Dong-A Pharmaceutical's Morning Care also recorded sales of 13.1 billion KRW in 2019 but fell to 8.5 billion KRW in 2020 and further down to 7.5 billion KRW last year.

Grammy's hangover remedy products such as Yeomyeong 808 and 1004 also generated nearly 60 billion KRW in sales in 2019 but saw about a 30% decrease after COVID-19. Samyang's Sangkwaehwan and Lotte Chilsung's Kkaesukkang, which revolutionized the market with pill-type hangover remedies and diversified their product lines, seemed to be on a growth path but were not immune to this impact.

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On the other hand, as discussions about the full lifting of quarantine measures, including the removal of gathering size limits and business hour restrictions, have recently taken place, the alcoholic beverage market is gaining momentum, raising expectations for the hangover remedy market. With gatherings and drinking occasions increasing compared to the past, sales of hangover remedies at convenience stores are also showing signs of recovery. Each company is aggressively stepping up sales and marketing efforts in response.

HK Innoen has appointed singer Jeon So-mi as a model starting this month to promote various Condition product lines. The plan is to expand contact points with the MZ generation (Millennials + Generation Z), moving away from the past focus on office workers. Dong-A Pharmaceutical is planning consumer empathy-oriented social media (SNS) content and YouTube channel advertisements related to Morning Care products and will conduct various consumer promotions such as sampling mainly at restaurants. Grammy will hold an advertising contest targeting university students reflecting the home drinking trend and plans to resume offline events. Lotte Chilsung Beverage is also releasing a new seasonal package design for the Kkaesukkang can product and preparing online consumer participation promotions.

An industry insider said, "Due to the prolonged restrictions on the operation of restaurants and bars, the hangover remedy market's stagnation period was longer than expected," adding, "If quarantine measures are eased once more, pent-up demand is expected to explode for a while, leading to continued growth."

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