By Kim Tong-hyung
Staff Reporter
Beer is probably the world's most globalized drink, but in Korea, where local brands have been highly favored, imported brands have longed struggled for a market presence.
However, with beer drinkers becoming more individualized in taste, especially the younger generation of consumers who have developed a taste for bottles shipped from overseas, imported beer finally seems to be gaining serious ground here.
According to statistics by the Korea Customs Service Tuesday, the country imported about $19.06 million worth of foreign beer during the first six months of this year.
This is more than double the $7.57 million worth imported in the first half of 2005.
The numbers are consistent with an earlier report by the Korean Investors and Traders Association (KITA) last week, which stated that sales of imported beer rose 27.9 percent year-on-year during the first half of 2008.
Sales of local brands rose just 4.4 percent during the same period, despite heading into the high-demand summer season, with consumers reacting to the rise in prices, KITA said.
``Despite the slow economy, sales of foreign beers and snacks are rising steadily," said Ahn Byung-hoon, an official from local retail chain GS 25, which reported a 51.4 percent increase in imported beer sales from last year at its 3,100 24-hour convenience stores nationwide.
According to GS25, Hooch, the fruit-flavored German beverage, was the hottest item at its stores with sales at 218.8 percent above last year's, although beer enthusiasts may debate it being called a beer. Sales of Hoegaarden rose 172 percent year-on-year at GS25 stores, followed by Chingtao and Heineken posting 62.2 percent and 40 percent growths, respectively.
``We think this has something to do with the growing number of people experiencing foreign countries through study and traveling, and they look for the beers they had there when they come back home," said Ahn.
It's not like imported bottles are ready to challenge the dominance of local brands. According to KITA, the market share of foreign beer products was just 2.2 percent in the first half despite the increase in sales.
However, industry watchers believe the demand for imported beer will continue to rise with consumers responding to differentiated styles and tastes, unlike local brands like Hite and Cass, which, despite enjoying strong consumer loyalty, have never been accused of being distinctive.
According to the customs service, Korean consumers are responding particularly well to brews from Europe and Japan.
Imports from the Netherlands, the home of Heineken, reached $4.25 million during the first half, a significant increase from $184,000 in 2005.
Beer imports from Belgium reached $1.99 million, apparently a tribute to the popularity of Hoegaarden, and imports from Germany reached $1.11 million.
Imports from Japan reached $3.61 million, nearly double that of last year's $1.58 million. Imports from the United States remained strong, reaching $3.34 million during the first half.