Consumers today are bombarded each waking moment with advertisements. Every day, there is a new product that proclaims to be bigger and faster than the last. Weighed down by what has been dubbed “ad fatigue,” consumers are now seeking something more -- true value behind products and principled actions by brands.
This is the secret behind the rapid growth of Herald Corp.’s premium food brand Organica, according to the group’s Chairman Jungwook Hong.
|
Herald Corp. Chairman Jungwook Hong (Lee Sang-sub/The Korea Herald) |
“I believe the soul of a company lies not in its profits but in its values. If we keep true to our values, growth and profits will follow,” he said in an interview with The Korea Herald.
“The future of humanity and the planet depends on our diets. I founded Organica because I wanted to launch a food revolution in Korea – to change the world through organic, healthy and natural foods.”
Organica was established in 2013 as the first company in Korea to offer cold-pressed cleanse juices. Although these types of cold-pressed juices have become relatively common today, the market was virtually nonexistent before Organica was created.
Hong says that he was inspired to bring the detox juice trend to Korea after tasting cold-pressed juice overseas in 2012.
“In Korea, there were only ‘fake juices’ artificially flavored with sugar and additives or ‘dead juices’ made with puree or concentrates,” he said. Under the direction of raw food specialist Christine Cho, the first line of Just Juice was born.
Just Juice products are made by pressing fresh fruits and vegetables without adding any sugar or water, and sanitized with high pressure instead of boiling. The juices come in an array of flavors that mix together different fruits and vegetables to produce the best combinations of flavors and nutrients.
Organica is aiming for 120 billion won ($106 million) in sales this year, up from 800 million won in 2013 -- a 150-fold rise in just four years. Today, Organica products can be found in major distribution channels including cafe chains like Starbucks and Coffee Bean as well as supermarkets, convenience stores and department stores.
Following what Hong calls the “Organica Standard,” the company has quickly expanded its product range to include all-natural snacks, organic produce, and premium salads and lunch boxes. The variety in Organica’s products, from full meal replacements to detox programs and light snacks, allows consumers to incorporate organic and natural foods into all parts of their diet.
The Organica Standard includes seven guidelines in the development of products -- to minimize processing, eliminate artificial flavoring and colors, reduce sugar and sodium, encourage the use of plant-based ingredients, and maximize the use of environmentally friendly produce. It also supports ethical market practices and fair trade, and seeks to minimize food and other wastes.
|
Just Juice products from Organica (Organica) |
Hong himself strives to follow a clean diet. The goal is to live not only a healthier life, but also one that respects the environment and animal life.
“The main reason I have stopped eating meat is because of the impact of meat production on the environment and animal lives. In fact, meat production emits more greenhouse gases than all the world’s transportation systems combined and is a main cause of environmental destruction and climate change,” he said.
To do its part in supporting organizations that share its vision of protecting the environment, Organica has continuously made contributions to the World Wide Fund for Nature.
Hong says that he will continue to aggressively pursue growth as long as it remains in line with Organica’s core philosophy. In the past four years Organica has made numerous acquisitions to fuel its expansion including an eco-friendly grains company, an organic produce company and a lunch box company.
Organica has also acquired CJ CheilJedang’s Anseong manufacturing plant in Gyeonggi Province. The company operates production centers in Anseong, Gimpo, Chungju and Gwangju.
“The most important goal is to maintain the principles of natural foods and turn Organica into the dominant natural food brand in Asia based on such principles,” Hong said.
By Won Ho-jung (
hjwon@heraldcorp.com)