Kormotech, a pet meals producer based mostly in Lviv, Ukraine, has grow to be the primary from Ukraine to export pet meals to South Korea. Kormotech’s super-premium canine and cat meals model Optimeal and the premium model Membership 4 Paws are actually accessible on South Korean specialised on-line platforms.
“The pet meals market in South Korea ranks third after China and Japan in East Asia,” stated Eduard Babenko, head of the strategic enterprise unit for Ukraine, Moldova, and Southeast Asia. “When it comes to financial quantity, it’s 3 times bigger than in Ukraine. The gross sales share for specialised canine and cat meals is 50% every.
“Nonetheless, the individuality of the South Korean market lies in the truth that 67% of pet meals gross sales happen via on-line channels,” he continued. “It’s the highest fee on the planet, in line with Euromonitor stories. Subsequently, one of many challenges in cooperating with South Korea is gaining expertise in constructing and growing on-line gross sales within the markets.”
Vladyslav Mazurkevych, supervisor for growing export markets in Asia at Kormotech stated negotiations with the distributor, the Korean firm Careside Co. Ltd., started final 12 months. “We signed a cooperation contract within the fall,” defined Mazurkevych. “On the finish of Could this 12 months, the primary two containers of dry and moist pet meals, Optimeal and Membership 4 Paws — about 24 tons of merchandise — have been unloaded on the distributor’s facet. On June 17, our merchandise appeared on South Korean e-commerce platforms.”
In keeping with Mazurkevych, Kormotech’s super-premium and premium pet meals traces are already represented on 12 e-commerce platforms in South Korea: Naver, Coupang, TM, WM, G-market, Public sale, eleventh St., Lotte On, Interpark, SSG, CJ on model and GS Store.
“On the similar time, by the top of this 12 months, we wish to begin cooperating with pet retailer chains and veterinary clinics in order that clients can see the product, study it, and really feel it,” stated Mazurkevych.
Kormotech is profitable within the European market and has the expertise and sources crucial for world cooperation, famous You Younger Kook, CEO of Careside Co. Ltd. “Such worldwide success signifies that related achievements might be anticipated within the South Korean market,” stated Kook. “Pet meals from Kormotech comprises high-quality substances and undergoes strict high quality management. It’s a vital benefit, particularly for the discerning pet dad and mom of Korean animals.
“It’s spectacular how the corporate constantly deepens its experience in understanding approaches to creating pet diets and their influence on four-pawed buddies’ well being and high quality of life. Most significantly, it tries to develop the pet care and companionship tradition, demonstrating our dedication to our mission and the well-being of pets.”
South Korea has discerning shoppers, retailers
Babenko stated the typical South Korean client is extraordinarily choosy when selecting a product. They delve into essentially the most minor particulars of the product’s composition or the origin of particular substances. Not solely is the South Korean client demanding, however so are enterprise representatives, stated Babenko.
“The distributor Careside Co. Ltd. is remarkably constructive and meticulous,” he stated. “It’s simple to work with a well-argued and clear decision-making associate. It permits for constructing a scientific, comprehensible, and detailed mannequin of communication and relationships. In comparison with different Asian markets, the South Korean associate has a really excessive customary for constructing work. Total, a associate units factors to which one should try relating to organizing processes, deadlines, and so forth. And that is motivating.”
Final 12 months, Kormotech achieved a turnover of $152 million and elevated its share of overseas gross sales to 31%. The overseas to Ukrainian gross sales ratio is now 31% to 69% in tons, respectively.
The Kormotech manufacturers confirmed essentially the most dynamic progress in gross sales quantity in comparison with the earlier 12 months within the markets of Romania (+35%), Poland (+11%), and Moldova (+11%). Final 12 months, the corporate signed contracts with companions from Malaysia, began gross sales in Finland, and actively developed within the markets of Spain and Italy — increasing its presence to 42 nations worldwide. On the similar time, Kormotech maintained its main place within the Ukrainian market, stated the corporate.
