gmtPLUS09 | live from Seoul

Here’s an insightful 2-cents bit (report) on alcoholic drink trends.

In Korea, the notion of well-being is still the denominating factor to recreational, non-agenda-driven drinking rituals (i.e., not getting piss drunk for the purpose of relieving stress or gaining workplace comradeship). Wine is one genre that is really catching on. And the free trade agreement with Chile that brought over cheap alternatives definitely shaped the economics of it all. Its signature positively reinforced and defined the naïveté Korean consumer behavior towards wine: wine now came in all price point brackets; and with the increased number on- and off-trade distribution points…it could be available for consumption for unlimited drinking occasions much like beer.

Traction wasn’t visible until the consumers adopted or revised their lifestyle including dining experiences. The sticking points included 1) restuarants that primarily sold soju or other grain-based drinks, were also offering reds to compliment the barbeque dishes; 2) bars extended their menus to wines or the ones that primarily catered to these patrons who sought well-being alternatives, and/or the modern/cosmopolitan emotional attachment that came along with the drink or the on-trade atmosphere.

Body awareness (conscientious of consumption of food and drink) also crossed the void into the hard spirits. Lotte’s Lancelot whisky brand became widely popular because the "Morning Calm" marketing campaign communicated it had a lessened degree of hang-over effects. (FYI: Korean men mostly drink whisky for the sake of team-building and/or the drinking atmosphere offered in the room salons. They DO NOT drink for the actual taste. Whisky is mostly consumed after it is mixed with beer.)

Jagermeister, the German herbal liqueur, which is increasing its off-trade distribution with the addition of E-mart hypermarkets and Costco wholesalers, is riding this body awareness momentum marketed as a herbal drink.

It’ll be interesting to see whether Jagermeister continues in gaining marketshare outside of the modern on-trade (i.e., clubs) that it is locally known for.

Link: Brand Noise: Trend Report: Rethinking Libations.

This entry was posted on Wednesday, January 3rd, 2007 at 9:26 pm and is filed under Trends, Marketing. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.