As the heat makes its way in, the competition for the top spot in the ice cream market between Binggrae and LOTTE Wellfood has begun. In 2020, Binggrae acquired Haitai Ice Cream, creating a dual industry leader framework, and recently, Binggrae has been gradually widening the gap with LOTTE Wellfood, securing the number one position in the ice cream market.
According to market research firm Nielsen Korea on the 10th, Binggrae achieved a 42.69% market share in the domestic ice cream market in 2024, placing first. LOTTE Wellfood followed with 39.80%, trailing by 2.89 percentage points. Binggrae has recorded the top spot for two consecutive years based on Nielsen Korea's data. In 2023, Binggrae also topped the domestic ice cream market with a 2.76 percentage point lead over LOTTE Wellfood. Binggrae has expanded the market share gap amid fierce competition. Since LOTTE Wellfood took first place over Binggrae by a slim margin of 0.17 percentage points in 2022, it has lost the top spot for two consecutive years.
However, the two companies are in fact engaged in a back-and-forth competition. Depending on the statistics agency, there are times when they record identical shares. According to market share data from the Korea Agro-Fisheries & Food Trade Corporation (aT), last year Binggrae surpassed LOTTE Wellfood by 2.8 percentage points, but in 2023 they recorded equal shares. Both LOTTE Wellfood and Binggrae were reported to have a market share of 39.8%. In 2022, LOTTE Wellfood slightly ahead of Binggrae claimed the top spot. This indicates that Binggrae has not solidified its position as the market leader.
The reason the rankings switch between first and second is due to the varying sample bases of retailers used by different agencies. A distribution industry insider noted, "Ice cream is one of the items sensitive to marketing, so how aggressively it is sold at each retailer can cause the rankings to flip," adding, "This reflects how intense the competition is, resulting in fluctuating performances."
Amid ongoing competition over the top spot in the ice cream market, many expect that this year will be determined in the 'zero' sector. This means targeting consumers who want to enjoy ice cream without worries about sugar by utilizing alternative sweeteners like allulose.
According to the Ministry of Food and Drug Safety, on the 12th of last month, Haitai Ice Cream (Binggrae) received approval for 'Tank Boy Pear Zero.' Tank Boy Zero is a product that significantly reduces sugar and syrup content compared to the existing Tank Boy. Instead, it includes alternative sweeteners such as allulose, erythritol, and sucralose. Tank Boy is a sweet and refreshing pear-flavored slushy ice cream that was launched in 1997.
Binggrae also launched a low-sugar ice cream. The low-sugar brand 'Deep & Low' features idol singer Jang Wonyoung as its model. Deep & Low is a brand that reduces sugar content while providing rich flavors, with the slogan 'Taste deeply, sugar low.' Six products, including chocolate crunch bars and caramel chewy bars, have been released, lowering the sugar content to less than 5g per 100g of product by incorporating the alternative sweetener allulose.
LOTTE Wellfood is also steadily introducing products that lower sugar content under the slogan 'Casual Health & Wellness.' The term Casual Health & Wellness signifies the intention to develop products with the perception of 'better or healthier food' on familiar items for consumers. The representative products are 'World Cone Vanilla' and 'Tico Milk Chocolate.' Both products incorporate alternative sweeteners instead of sugar, reducing sugar content by up to 85% compared to the average.
An industry insider in the ice cream sector stated, "With the likelihood of extreme heat this summer being high, competition surrounding the ice cream market will become fiercer," and added, "Even if there are prospects for growth in overseas markets, it is essential not to miss out on domestic demand. The competition is intense, and if you take your eyes off the ball for even a moment, the market ranking can change overnight."