Daesang Brings "Warm Hongcho" to Japan, Targets Drinking Vinegar Market
Japan's Drinking Vinegar Market Worth About 300 Billion Won
Daesang is expanding its reach among Japanese consumers by introducing “Hongcho” drinking vinegar that can be enjoyed either hot or cold. The company plans to broaden opportunities to consume Hongcho through new ways of drinking it.
Daesang said on October 27 that its Japanese subsidiary, Daesang Japan, recently launched two products: “Hongcho Pomegranate & Hibiscus” and “Hongcho Yuzu & Chamomile.” The products were first introduced in South Korea late last year, and their sales potential was confirmed when drinking vinegar sales in the winter season rose 135% year on year after the launch.
The two new products blend tea with 100% fruit-aged fermented vinegar, making them suitable for drinking both cold and hot. Hongcho Pomegranate & Hibiscus combines pomegranate and hibiscus, while Hongcho Yuzu & Chamomile pairs yuzu with chamomile, bringing together the flavors of fruit and tea. They are formulated to be low in sugar and calories and contain GABA, a type of amino acid, addressing demand from health-conscious consumers.
Japan’s drinking vinegar market is worth about 37 billion yen (approximately 310 billion won), with an established consumer base for drinking vinegar. Daesang Japan has focused on hot drinking as a way to develop new demand for Hongcho. By adding a warm-drinking option to a category traditionally consumed cold, the company aims to offset seasonal limits on consumption and expand the ways Hongcho can be used.
The company is also actively expanding its local distribution network. Following its participation in the Access Japan trade fair in July this year, Daesang Japan secured placement of its products at all 130 Caferrant stores, a leading Japanese specialty importer of food products. It currently sells through a total of 11 distributors, including Daiei, Taiyo and Cainz, combining regular retail placement with seasonal promotional sales.
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The push into the Japanese market is also aligned with Daesang’s global strategy to grow its Hongcho business in line with the fermented beverage markets and consumer trends of each country. Daesang currently exports Hongcho to Vietnam, the United States, China, Japan and the Philippines, and Hongcho exports last year rose about 54% from the previous year. The company is diversifying its product portfolio with functional Hongcho, low-sugar Hongcho and stick-type Hongcho to meet the diverse health and drinking needs of consumers around the world.
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