Bungeoppang, a winter street snack, is emerging as a new battleground for the food and retail industries. As street stall bungeoppang prices rise, consumers are turning to frozen bungeoppang products as an alternative. Major food companies and convenience stores are rolling out bungeoppang HMR (home meal replacement) products one after another.
According to the food and retail industries on the 10th, major food companies are bolstering their bungeoppang HMR lineups for this winter. Otoki released "churros mini bungeoppang" the day before. Unlike traditional bungeoppang filled with sweet red bean paste, it sells products stuffed with fillings such as pizza cheese and chocolate.
CJ CheilJedang is differentiating the flavors of its signature product, "Bibigo Bungeoppang." Following sweet red bean and custard cream, it recently released a matcha flavor. Sales in last winter's season rose 30% from the 2023 winter season, when Bibigo Bungeoppang was first launched. Pulmuone is selling a product that delivers a crispy texture similar to street bungeoppang.
The convenience store sector is also working to boost sales of their own bungeoppang. Sales of CU's signature "Bungeo tail bread" rose 71.8% in cumulative terms in November–December this year from a year earlier. 7-Eleven is selling "red-bean-filled bungeoppang" and "custard-filled bungeoppang" as its flagship products. On a cumulative basis this year, 7-Eleven's bungeoppang sales increased 15% from a year earlier.
A retail industry official said, "Bungeoppang HMR products can be cooked easily at home and eaten warm, and they are relatively cost-effective, so consumer purchases are steadily increasing."
In fact, street bungeoppang prices have surged over the past two to three years to the point of being dubbed "bung-flation" (bungeoppang + inflation). The old implicit rule of 1,000 won for three is now a thing of the past. In some areas, the price for one bungeoppang has risen to 1,500 won. Some even say 2,000 won for three is cheap.
Prices of key bungeoppang ingredients such as red beans, flour, and sugar have risen, and increases in electricity bills and labor costs for running stalls have made price hikes at stalls inevitable. According to the Agricultural Product Distribution Information System, the retail price of red beans (domestic, 500g) was 12,976 won as of the previous day, up 9.83% from a year earlier. It was up 56.47% from the average year. Over the past five years, flour prices have risen an average of 34.5% and sugar prices 46.9%.
A food industry official said, "As air fryers have become more widespread, it has become easy to cook at home, lowering the consumption barrier for bungeoppang HMR products." Choi Cheol, a professor of consumer economics at Sookmyung Women's University, said, "Bungeoppang HMR products are relatively cost-effective," adding, "The HMR market for snacks, including bungeoppang, will grow further."