In 2020, COVID-19 led lockdown accelerated the advocacy and acceptance of Korean culture in India. Home isolation gave the time and opportunity to the Indian consumers to deep dive into the Korean culture through K-Dramas and K-Pop and experience it through K-food. The rising popularity of K-Food in India presents a unique growth opportunity for Korean food manufacturers, ingredients and condiments manufacturers and Consumer Foodservices in India post-2020.
The rise in consumption of K-Food in India post-COVID-led lockdown in 2020 is found to be correlated with the viewership of K-dramas and K-Pop. Netflix, an online streaming platform, reported a YoY 370% jump in 2020 in the viewership of Korean Dramas in India. The import statistics of Korean Noodles in India also witnessed a growth of 162% in terms of Volume in 2020 and is expected to grow by 178% in 2021 according to the Ministry of Commerce and Industry of India.
Source: Ministry of Commerce and Industry in India
K-Dramas gained popularity in India because of factors like content and storyline, fashion and aesthetics, and willingness to explore and understand other culture. For most of the viewers, they fill a gap left by the Indian soap operas. To understand the audience of K-Dramas in India, we ran a survey with respondents who were Indian and K-Drama fans. Interestingly, 88% of the respondents were willing to try Korean Food, while only 40% of them had ever tasted Korean Food.
In a typical Indian household, the woman of the house is the decision-maker when it comes to cooking and food preferences for the family. With the decision-maker engaged, the K-Food companies in India have the opportunity to widen their reach to their dependents as well.
It is not surprising that Indians are drawn towards Korean Food. The components such as rice, noodles, vegetables, and meat and ingredients such as sesame oil, chilli, pepper, soy, and spices are common across Korean as well as Indian cuisine. The Korean Food Table which consists of a protein source like meat or tofu, broth, rice and side dishes like kimchi, seaweed, anchovies etc. has gained popularity because of the health benefits associated with it as well as the familiarity gained through K-dramas. With easy access to information and recipes online, Indian consumers are not shying away from experimenting with food, and even giving Korean food an Indian twist.
In an interview with a popular South Korean noodle brand, Nong Shim quoted a sale of 1 mn USD in 2020 – a YoY 130% increase. The company is now considering India as a new important market and focusing on products that cater to the taste of Indian consumers. Nong Shim and another popular Korean Noodle brand, Samyang are currently targeting Tier 1 Indian markets because of high income and customer awareness.
Korean noodles are also easily available across e-commerce platforms like Amazon, Flipkart, BigBasket etc. Following the suite, other Korean speciality formats are also leveraging this opportunity. Korikart.com – an India-based online marketplace that specialises in Korean products and brands has a wide array of Korean ingredients, condiments, and instant noodles. Korean speciality Foodservices outlets like Daily Sushi in Bengaluru, Hahn¡¯s Kitchen in Gurugram etc. gained prominence in India. Even McDonald¡¯s introduced BTS Meal across multiple channels in collaboration with South Korean Boyband BTS in South and West India.
The Korean culture gained huge acceptance in India in 2020 and continues to do so in 2021 owing to its increasing fan base. However, as life gets normal in a post-pandemic world, the growth of packaged food is expected to slow down, affecting K-noodles sales as well. The competition K-noodles face from established Indian brands such as Maggi, Yippie! , and Knorr noodles is another challenge that will limit their market share. As of now, Korean companies have an opportunity to develop their distribution and expand their market. The growth of K-food in India, the entry of Korean brands, and how the local market adapts to this acquired taste remains an interesting space to look forward to.