The Global Expansion of K-Snacks: Orion’s 200 Billion Won Success in China and the Changing Overseas Market

K-snacks have been making significant strides in the global market

Recently, K-snacks have been making significant strides in the global market, with particular attention drawn to Orion's potato snack ‘O!Gamja,’ which has achieved over 200 billion won in sales in China. This article explores Orion and Lotte Wellfood’s strategies and achievements in the international market, highlighting how K-snacks are establishing themselves as global favorites.

K-snacks have been making waves in the global snack market, with notable success stories emerging from China. Orion’s potato snack, ‘O!Gamja,’ has become hugely popular in China, generating sales of 217 billion won last year alone. To meet the growing demand, Orion has invested in a new production facility for potato flakes at its Shenyang factory. The success of ‘O!Gamja’ can be attributed to its adaptation to Chinese tastes with various flavor innovations and its popularity even in smaller cities and areas with fewer Korean expatriates.

The international success of K-snacks extends beyond Orion. Lotte Wellfood is also making significant strides in the global market. This year, the company is expected to achieve record-breaking sales of 4.2014 trillion won and an operating profit of 236.1 billion won. Particularly, the ‘Pepero’ snack has performed exceptionally well abroad, surpassing 200 billion won in annual sales. Lotte Wellfood is also expanding its global footprint by establishing its first overseas Pepero production plant in Haryana, India, and introducing its sugar-free dessert brand ‘Zero’ to retailers in Mexico and Thailand.

Additionally, Orion plans to expand its production capacity in Vietnam by adding new facilities in Hanoi and Ho Chi Minh City. If annual sales of ‘Kkobuk Chip’ in the U.S. exceed 40 billion won, Orion is considering establishing a local production facility. These efforts are contributing to increased overseas revenue and profits for both Orion and Lotte Wellfood, demonstrating their successful strategies in the global snack market.

The global success of K-snacks illustrates the growing appeal of Korean snacks in international markets. Orion and Lotte Wellfood’s achievements highlight the potential for Korean snacks to become major players in the global snack industry. With continued expansion and strategic market entry, the future of K-snacks looks promising.