Local Spirits Brand Champion 2021: Jinro

Jinro delivered a formidable 10.4% gross sales improve amid the challenges of 2020

Jinro’s capability to ship constant development from the world’s largest quantity base is thoughts‐boggling. Within the 12 months of the pandemic, the Korean soju model was capable of increase its 9‐litre-case gross sales from 86.3 million in 2019 to 95.3m in 2020 – a ten.4% improve towards a backdrop of world challenges.

In 2019, Hite‐Jinro relaunched its flagship Jinro model within the Korean home market with an intention to “strengthen the authenticity of soju”.

“After its launch, Jinro gained explosive reputation not solely among the many center aged, but additionally youthful generations,” says Jack Kim, a part of the worldwide technique staff at Hite‐Jinro. “In 2020, the gross sales [in Korea] greater than doubled in comparison with the earlier 12 months, and regardless of the Covid‐19 disaster, it has enormously contributed to the rise in general soju gross sales.”

Internationally, the corporate has additionally been working arduous to “strengthen our model energy”, says Kim. Jinro’s strongest markets stay these geographically closest to Korea. The model has carried out goal‐centered advertising and marketing for “strategic” Asian markets to “capitalise on cultural and geographical benefits”, Kim explains. This contains specializing in native markets, “aggressive” enterprise and gross sales help, and quite a few different actions to construct the model.

This strategic strategy has seen gross sales in China and the Philippines triple previously three years, whereas in Singapore, gross sales have quadrupled over the identical interval, and are 5 occasions increased in Hong Kong. “Other than that, gross sales have boosted in most abroad markets, with 20% annual development charge on common,” Kim provides.

Kim additionally sees alternative for Jinro to search out success exterior of Asia by way of the current rise of Okay‐pop, particularly with the rising reputation of boy band BTS, aided additional by acclaimed South Korean movies akin to Parasite and Minari. The “Korean wave”, as Kim calls it, is increasing to the Western world, and with a rising curiosity in Korean meals tradition as effectively, Kim sees room for development within the US and the UK. Jinro has seen gross sales develop by 10.3% CAGR within the US, 19.6% within the UK and 66.5% in Russia previously 5 years.

Kim provides: “With the growth of the Korean wave and our product competitiveness, fruit‐flavoured soju is engaging to younger Western customers who’re accustomed to wine tradition, so there shall be a very good probability of success sooner or later.”

Elsewhere within the native spirits class, Brazilian cachaça Pitú returned to development in 2020, rising by 10.7% to 11.8m instances. Pisco model Mistral additionally had a robust 12 months, rising by 10.9% to 1.6m instances.

Nonetheless, shōchū model Daigoro by Asahi Breweries is not listed, because it fell under the 1m‐case mark.

Native spirits (figures: million 9l-case gross sales)