Snack Makers’ Signature Products Falter
By Jane Han
Staff Reporter
Among many things that come and go is the popularity of snack makers' signature products.
Korea Yakult, one of the country's biggest food makers, identifies itself with the brand name of its top money making fermented lactic drink Yakult.
However, the identical representation seems to mean less as Yakult has long been bumped from its top seat when drinkable yogurt hit the market in the early 2000s.
The health-conscious drink that counteracts the effects of h. pylori bacteria in the stomach has been selling worth more than 200 billion won annually, which easily surpasses the sales of Yakult at around 100 billion won.
Coca-Cola Korea, which also named itself with the maker's once best-selling canned cola, has been suffering from the carbonated drink's consistent sales fall.
Once enjoying a strong revenue of 600 billion won in 2002, the company is now seeing a sales drop of about 100 billion won.
But to make up for the shortcoming, its other brands, including Minute Maid and bottled water Soonsoo, are making up the gap.
``The industry knows that well-being is the most powerful keyword, so if an item doesn't quite match that, then it's likely that customers will turn their backs,'' said a Lotte Chilsung spokesman.
He added that, like Coca-Cola, Lotte Chilsung's most representative cider drink is pressed by the same challenges, but luckily sales don't look too bad.
``We direct our marketing so that it always plays up our signature brand, even though we have new products out,'' he said, explaining that the strategy is to help maintain a strong brand image even if the figures fall.
With consistent efforts, he said the company is seeing a moderate 1.2 percent sales hike every year in the cider product.
Nong Shim Shin Ramyun is also another old-timer that keeps its flagship product going strong.
The maker has made the instant noodle not only the No. 1 selling item in Korea, but also worldwide, as it exports to more than 80 countries.
``The market always calls for something new and better, but if brands are given a classic spin to its familiar image, survival should not be a problem,'' said marketing consultant Lee Hyo-taek.