developing the australian mango market in korea - presentation from the 10th australian mango...

JINWON TRADING CO., LTD. Mango Conference at DarwinCY2015

Fresh Mango Marketin Korea

Chang Hwa OhCell Phone: 82) 10-2049-8210

e-mail: [email protected]

SAF&FC BLDG 6F#40, BALSAN-RO, GANGSEO-GU, SEOUL, KOREA

TEL: (82-2) 715-0711 FAX: (82-2) 715-0712www.jinwon.kr

CY2015 Mango Conference at Darwin

1-1. Korean Social Key Word

Most high population density in City Real-estate Value Increased

Lowest Birthratein the world

SocialPolarization

Working MomSingle life

1.98 France1.94 U.K.1.94 Sweden1.15 Korea

23.7% Single Family Rate- Over 65years old rate among single family

Rate is 49.6%

2 family memberrate

1 family memberrate

House ValueJump more than 3times

Labor IncomeIncreased less than 2times1. Seoul/Metro 16,700

6. London 5,1007. Tokyo 4,75010. Berlin 3,75012. Paris 3,55017. Rome 2,95020. Toronto 2,65025. Sydney 2,10027. New York 2,05030. Luxembourg 1,600

CY2015 Mango Conference at DarwinPage

1.76

3.30

2.61

3.052.97

2008 2009 2010 2011 2012

Rise Real-loan-interest-rate(Unit: % per Year)

3

1-2. Current Korean Economy Position

-1.8

0.4

-2.9

0.7

2.9

CY08 CY09 CY10 CY11 CY12

*2012 Jan.‐Jul.

Fall real-estate Value(Unit: % per Year)

Fall Growth-rate(Unit:%, Same period comparison)

4.2

3.5 3.6

3.3

2.8

2.4

1st

Qrt

.CY2011

2nd

3rd

4th

1st

Qrt

.2012

2nd* 2012 Jan-Jun.

* Real interest Rate = Nominal Interest Rate- consumer price index rate


1-3. Affects of Korean Social characters to Customer behavior

Lowest Birthratein the world

SocialPolarization

Increasing Low-chemical/Organic market

Working together

PriceSensitive

Super-Center/Shop by car

Fresh cut

Food Service

Online Market / SSM

Traffic Jam /Low parcel post cost

Global depression…..(Lehman brothers, EU…) makes social problems serious.

FTA makes hit items. (Orange, cherry)

Single Family


1-4. Produce Market Structure and Shares CY2013


1-5. What is the Korean Fresh Fruit Market Trends

1. Value Added Fruit Market: Organic, Low-Chemical, Premium Grade, etc.

2. Strict Quarantine Inspection, Protocol, & MRL.

3. High Tariff vs. FTA

4. Chain-Stores (Few players dominate market) vs. Wholesales Market

5. Promotional Sales vs. Inventory Sales

6. Online Market Growth: TV Home-shopping, Internet Shopping, etc.

7. Fresh-cut Demand & Food Service Market Growth


CY98 CY99 CY00 CY01 CY02 CY03 CY04 CY05 CY06 CY07 CY08 CY09 CY10 CY11 CY12 CY13Import 142 234 324 332 346 437 454 481 530 549 513 460 598 671 738 675Domestic 2,782 3,035 3,092 3,128 3,037 2,803 2,944 3,120 2,966 3,120 3,174 3,328 2,886 2,670 2,717 2,711Dom Ratio 95% 93% 91% 90% 90% 87% 87% 87% 85% 85% 86% 88% 83% 79% 78% 79%Imp Ratio 5% 7% 9% 10% 10% 13% 13% 13% 15% 15% 14% 12% 17% 21% 22% 21%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

-

1,000

2,000

3,000

4,000

7

2-1. Volume Comparison: Domestic Fruits vs. Import Fruits

Unit: 1,000M/T

(Total domestic produce volume will be 20% Higher than above number.)


PersimmonPersimmon

PersimmonPersimmon Persimmon

Persimmon

Plum

Strawberry

StrawberryStrawberry

Strawberry

Strawberry Strawberry

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000C

Y98

CY

99

CY

00

CY

01

CY

02

CY

03

CY

04

CY

05

CY

06

CY

07

CY

08

CY

09

CY

10

CY

11

CY

12

CY

13

Apple

Pear

Peach

Grape

Citrus

Water Melon

Yellow Melon

BANANA

ORANGE

PINE

GRAPE

KIWI

G.FRUIT

POME

LEMON

CHERRY

MANGO

8

2-2. Volume Comparison: Domestic Fruits vs. Import Fruits per Items

Unit: 1 M/T


-

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

MANGO

CHERRY

LEMON

POME

G.FRUIT

KIWI

GRAPE

PINE

ORANGE

BANANA

9

2-3. Imported Fruit’s Volume Trend since 1990

Unit: 1 M/T


2-4. Fresh Mango Volume Trend since 2003 by Origins

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Pakistan 24 11 3Australia 15 47Vietnam 53Taiwan 91 42 106 558 457 412 528 493 406 720 906Thiland 10 26 104 199 280 339 235 464 808 1,30 2,43 4,61Philippines 858 701 615 863 777 775 255 347 581 1,08 2,94 4,95

0

2,000

4,000

6,000

8,000

10,000

Uni

t: M

/T


2-5. From Fresh Mango to Process


Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May June July Aug Sep Oct Nov DecPakistan 7 4 3Australia 4 11 14 11 22Vietnam 6 3 3 8 12 8 13Taiwan 4 383 330 3 349 554 3Thailand 132 113 191 502 697 220 238 207 137 170 340 528 910 997 503 38 101 313 303 212 198Philippines 104 108 136 252 412 241 372 419 333 268 129 168 218 301 674 923 796 418 317 356 374 205 167 206

-

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

12

2-6. Fresh Mango Volume Trends per Month by Origins

CY2014CY2013

Unit: M/T


-

20,000

40,000

60,000

80,000

100,000

120,000

WK

1W

K 2

WK

3W

K 4

WK

5W

K 6

WK

7W

K 8

WK

9W

K 1

0W

K 1

1W

K 1

2W

K 1

3W

K 1

4W

K 1

5W

K 1

6W

K 1

7W

K 1

8W

K 1

9W

K 2

0W

K 2

1W

K 2

2W

K 2

3W

K 2

4W

K 2

5W

K 2

6W

K 2

7W

K 2

8W

K 2

9W

K 3

0W

K 3

1W

K 3

2W

K 3

3W

K 3

4W

K 3

5W

K 3

6W

K 3

7W

K 3

8W

K 3

9W

K 4

0W

K 4

1W

K 4

2W

K 4

3W

K 4

4W

K 4

5W

K 4

6W

K 4

7W

K 4

8W

K 4

9W

K 5

0W

K 5

1W

K 5

2

201320142015

13

2-7. Fresh Mango Volume Trend since 2003 by Origins

Unit:5Kg Box

YEAR YTD Wk21

2013 470,400

2014 1,101,952

2015 1,248,955


2-8. Fresh Mango’s Price & Volume Comparison by Origins on CY2004

Taiwan Thailand Philippine Pakista Australia VietnamTotal volume in Korea 906M/T 4,613M/T 4,955M/T 3M/T 47M/T 53M/TJinwon volume 210M/T 929M/T 393M/T 0M/T 47M/T 13M/TAverage price/5kg $31.41 $24.05 $14.65 $10.00 $42.06 $24.15

906M/T

4,613M/T4,955M/T

3M/T 47M/T 53M/T210M/T

929M/T

393M/T

0M/T47M/T

13M/T$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00

$40.00

$45.00

$50.00

0M/T

500M/T

1,000M/T

1,500M/T

2,000M/T

2,500M/T

3,000M/T

3,500M/T

4,000M/T

4,500M/T

5,000M/T


2-8. Fresh Mango Position by Origin

Origin Taiwan Thailand Philippines Pakistan Vietnam Australia

Tariff2015

=>201630% => 30% 30% => 24% 30% => 24% 30% => 30% 30% => T.B.A. 24% => 21%

2015Average

Price$31.41 $24.05 $14.65 $10.00 $24.15 $42.06

2015Quantity 906M/T 4,613M/T 4,955M/T 3M/T 53M/T 47M/T

Issue

Short Season

Influence by Weather

Strong Retails Demand

Main is WS Market

Peak volume & Supply

Strong Retail Demand

Stable quality & Supply

Less Volume at WS

Retails via Air

Move to Food Service

Under Value Trading

Bad Appearance

Good Taste

No Proper Trading

Short Experience

Appearance Issue

Compete with Thailand

Hi Price, limited Market

Main Market is Retails

Need More Marketing

Improve Package

Introduce Kensington


3. What should we do to develop Australian Mango Market in Korea?

1. Find a High-end Market and Consumer.

2. Proper Marketing Strategy.

For example, deliver the Image of Australia.

3. Support Right Partner.

who support Marketing Strategy and Quality through Ripening Process.


Australian MangoMarketing Activity Plan (2013 Dec ~ 2014 Jan)

Jinwon Trading Co., Ltd. David Oh

E-mail : [email protected]


1 PR Result

Date Media Headline Type

January Issue Retail Magazine Introduce premium Australian mango first Feature

January 1st ~ 15th

(200th edition)The Buyer Interview with Marie Piccone, Manbulloo

“Enjoy Australian mango in winter season, too”Interview

January 13 Donga Ilbo Australian mango launching event Straight

January 13 Kukmin Ilbo Jinwon, Australian mango launching event Straight

January 13 Asia Economy Jinwon, Online quiz event for celebrating Australian mango launching

Straight

January 13 Newsfim Jinwon, Australian mango launching event Straight

January 13 Acrofan Australian mango launching event Straight

Successfully secured 7 media coverage


1 PR Result

Feature article with one of top trade publication, Retail Magazine on January Issue


1 PR Result

Media Interview with Top trade publication, The BuyerThe media covered it at the 200th special edition published on January 1st

It also introduced on the main page of The Buyer website

Interview


Released on January 13, 20145 media covered the news (Donga Ilbo, Kukmin Ilbo, Asia Economy, Newspim and Acrofan)

Press Release for Online Event

1 PR Result


2 Recipe Development

Hyun-hak Kimiamfoodstylist food creative group

– A famous Cook and Food stylist, recognized as Jamie Oliver in Korea

– Leader of iamfoodstylist food creative group– Professor of collage (major: food styling)– An author of several cookbooks– A Power SNS User (Facebook & blog)– Currently working for TV drama as a food director, – Working for Radio and major monthly magazines as

food columnist– One recipe development utilizing Australian mangoes

to showcase


Australian mango salad with grilled chickenUpdated on January 16 at Manna Mall

2 Recipe Development


3 Magazine AD

Message: “A Present from Australia! Golden Australian Mangoes”

1. Retail Magazine (January 2014: 1 time)Retail Buyer’s Magazine for new season come

1. Queen (January issue 2014: 1 times)Ladies Magazine : 30~50 years old


Message: “A Present from Australia! Golden Australian Mangoes”

1. The Buyer (Dec.2013 ~ Jan.2014: 2 times)Retail Buyer’s Bi-weekly Magazine

1. ESSEN (January 2014: 1 times)Food & healthy life Magazine

3 Magazine AD


Private Event 1

Category event entry comment

Private event Power bloger : kim yon hwa 2,766 306

Private event Power bloger : kim se hee 855 207

Public event Manna Mall 1,581 250

TOTLE 5,202 763

Public Event 3Private Event 2

4 Online Event


Private Event 1 Power Bloggers 1. Blog event targeting visitors of their blogs

– From January 6 to 10, during 5 days– Posts scrap and replying led more exposure

• Salim Hanum Yeoja (Yeon Hwa Kim)– Housewife, power blogger – average daily visit about 20,000 – subscriber about 92,956– Main interest: housewife, daily life

4 Online Event


Private 1Mango Posting

http://blog.naver.com/dw2434/100202969675

4 Online Event


http://blog.naver.com/dw2434/100202969675Private 1Mango Posting

4 Online Event


Replies

Prizewinner list

4 Online Event


Private Event 2 Power Bloggers 1. Blog event targeting visitors of their blogs

– From January 6 to 10, during 5 days

– Posts scrap and replying led more exposure

• Seni_Her household (Se Ihn Kim)– Housewife, power blogger – average daily visit: about 10,000 – subscriber about 22,624– Main interest: cooking, DIY and interior design

4 Online Event


http://blog.naver.com/fograin91/130183671265Private Mango Posting

4 Online Event


Replies

Prizewinner list

4 Online Event


Public Event 3 Manna Mall1. Public online event targeting the public and

existing users

– From January 13 to 17, during 5 days

– Will be announced the winners next week (Jan. 21)

– Average daily visit: about 1,000

– Subscriber about 12,200

– Main interest: import fruits

– Awareness and buzz on Australian mangoes increased among target audience

– 2 power bloggers announced the public event to their blog visitors to apply this event once again to increase the participation

http://www.mannamall.com

4 Online Event


popup Replies Prizewinner list

Public 3

4 Online Event


Audience Overview

4 Online Event


Size9’s => 5’s11’s => 6’s

This package was developed for Domestic marketand online sales.

5 Package development

Design


Data base

Condition Consumer’s Reaction TASTE PRICE APPEARANCE

3point GOOD GOOD CHEAP CLEAN

2point NORMAL NORMAL NORMAL NORMAL

1point BAD BAD(low suger) TOO EXPENSIVE SCARS

Average Gain Point

1.Consumers Reaction : 3.00 (High initiative actions to know about Australia Mango)

2. Taste Satisfaction : 3.00 (They gave us good feedback) 3. Price Satisfaction : 1.70 ( It was somewhat expensive than other domestic fruits)

4. Appearance Satisfaction : 3.00 Point ( good reaction and satisfaction on the size comparing to the other mango kinds)

6 ISP


Homeplus . Yeongtong 2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


Homeplus . Geumcheon 2013. DEC. 20~21 / 23~24 (4Day)

Homeplus . buksuwon2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


Homeplus . Gangseo2013. DEC. 20~21 / 23~24 (4Day)

Homeplus . World Cup2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


Homeplus . Uijeongbu2013. DEC. 20~21 / 23~24 (4Day)

Homeplus . Dongsuwon2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


Homeplus . Sangbong2013. DEC. 20~21 / 23~24 (4Day)

Homeplus . Chilgok2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


Homeplus . Gimhae2013. DEC. 20~21 / 23~24 (4Day)

6 ISP


3. What should we do to develop Australian Mango Market in Korea?

1. Find a High-end Market and Consumer.

2. Proper Marketing Strategy.

For example, deliver the Image of Australia.

3. Support Right Partner.

who support Marketing Strategy and Quality through Ripening Process.

Will Create the Market Demands Together!!!

developing the australian mango market in korea - presentation from the 10th australian mango...

Retail

cy2015 mango conference

single family rate

market structure

wholesales market

online market growth

lowchemical organic

year fall growthrate

years old rate