The competition in the distribution industry’s “wellness market” is intensifying. As interest in health has grown rapidly among MZ (Millennials and Generation Z) consumers after the COVID-19 pandemic, the market has expanded quickly, prompting more companies to enter related businesses.

According to industry sources on the 12th, Woowa Brothers, the operator of Baedal Minjok (Baemin), will begin selling “four essential supplements for KRW 5,000” jointly developed with Dong-A Pharmaceutical on B Mart from this day. This collaboration was planned to reflect the rapidly rising “wellness consumption” trend within Baemin’s B Mart. Last month’s transaction value in B Mart’s health and diet management category increased 25% month-on-month. Women aged 25–34 accounted for 79% of all buyers in the B Mart health functional food segment, forming the core customer base.

CJ Olive Young has also recently fully entered the health functional food market by launching the wellness curating platform “Olive Better (OLIVE BETTER).” Olive Young joined hands with CJ Wellcare to introduce 10 types of health functional foods at a uniform price of KRW 6,900 under the “Health Routine Price Revolution.” For the month of February, they will be sold at KRW 5,900.

Convenience store chains have also joined the ultra-low-priced health functional food competition. Since August last year, GS25 has been actively selling small-quantity health functional foods priced at KRW 5,000 or less. It is currently operating more than 5,000 outlets nationwide as health functional food-specialized stores. CU is selling around 20 differentiated health functional food products developed in collaboration with Chong Kun Dang and Dongwha Pharm at more than 6,000 stores.

According to the Global Wellness Institute, the size of Korea’s wellness market as a share of gross domestic product (GDP) was 6.8% in 2022, not far behind the United States at 7%. The Korea Health Supplements Association stated that the domestic health functional food market reached KRW 5.9626 trillion last year, approaching KRW 6 trillion.

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