Lotte Food & Lotte Confectionary plan collaboration to boost business
Category: #business  | By Mateen Dalal  | Date: 2022-03-05 |
  • shareshare_icon
  • Twitter
  • Facebook
  • LinkedIn

Lotte Food & Lotte Confectionary plan collaboration to boost business

Lotte Foods and Lotte Confectionery are planning to collaborate to increase profits of their ice cream business by cutting costs in retailing and production.

The news allegedly comes two years after Lotte Confectionary’s key competitors Binggrae acquired Haitai Icecream in March,2020 to become the number one player in the market with a market share of 40.7 percent.

Binggrae proposed the collaboration deal to the Fair-Trade Commission two weeks later and the antitrust supervisory body gave a green signal to it in September.  

As per reports, Lotte Confectionary, across the ice cream market, holds a share of 28.6 percent followed by 15.5 percent share of the Lotte Foods, 4.4 percent of Haagen Dazs, and 2.8 percent of Hershey’s.

The collaboration between the two Lotte affiliates business will provide them with a market share of 44.1%, overtaking Binggrae by a little margin.

However, both the Lotte giants did not give a confirmation regarding the collaboration.

According to official sources, Lotte Confectionary mentioned that the organization is looking forward to a merger between ice cream segment and the Lotte Food to develop synergy but there is no confirmation on the same.

Apparently, the market is suffering from potential risks like tremendous decline in the children’s population and introduction of new desserts in the markets which can possibly replace ice cream products.

Previous year, Lotte appointed Lee Young-goo as Lotte Group’s Food and Beverage businesses head, who has been appointed to improvise profits during the coronavirus pandemic.  

It has been speculated that the plan to merge Lotte Confectionary’s ice cream business and Lotte Foods is an attractive proposition for Lee to boost competitiveness against Binggrae and improve revenue via collaboration of the two affiliates.

For the record, some of the best sellers at Lotte Confectionary are Watermelon Bar, Screw Bar and Lotte Food’s is famous for its Jewelry Bar, Piggy Bar and many more. 

Source Credit:- https://www.koreatimes.co.kr/www/tech/2022/03/419_324165.html?gonw

  • shareshare_icon
  • Twitter
  • Facebook
  • LinkedIn


About Author

Mateen Dalal     twitter

Mateen Dalal

A qualified electronics and telecommunication engineer, Mateen Dalal embarked on his professional journey working as a quality and test engineer. Harnessing his passion for content creation however, Mateen pens down industry-rich articles for ReportsGO.com and a few o...

Read More..

More News By Mateen Dalal

MediaTek unveils first mmWave Chipset to support 5G smartphones

MediaTek unveils first mmWave Chipset to support 5G smartphones

By Mateen Dalal

MediaTek has announced the launch of Dimensity 1050 system-on-chip, the first mmWave 5G chipset that will support the advanced generation of 5G equipped smartphones with seamless connectivity and display, power efficiency, and gaming. As per repor...

Pintarnya to develop a super app for blue collar workers in Indonesia

Pintarnya to develop a super app for blue collar workers in Indonesia

By Mateen Dalal

Pintarnya, a job upskilling platform based out of Indonesia, has reportedly announced that it plans to develop a new app for the 60 million blue-collar workers of Indonesia who often face uncertainty and scams while looking for a job. As per repor...

UK’s Health Secretary announces 10-year plan to tackle dementia

UK’s Health Secretary announces 10-year plan to tackle dementia

By Mateen Dalal

The UK Health and Social Care Secretary, Sajid Javid, has reportedly announced a novel 10-year plan to effectively tackle dementia and to increase funding in research to get a better understanding of neurodegenerative diseases. As per sources, at ...