A nostalgic favorite is making a comeback. With high inflation rekindling consumer interest in ready-to-drink cup coffee and coffee mixes as affordable at-home options, Namyang Dairy Products is refreshing its brand portfolio to capitalize on the trend.
According to industry sources Thursday, Namyang Dairy Products is preparing to relaunch its cup coffee brand "French Cafe Devil's Temptation." The company plans to reduce the volume from 250 milliliters to 200 milliliters while upgrading ingredient quality, including coffee beans, to reposition the product as a premium cup coffee. It is also expanding its retail footprint into hypermarkets and convenience stores.
"Devil's Temptation" was once a blockbuster product, commanding a 50 percent share of South Korea's cup coffee market in the 2000s on the strength of advertising campaigns featuring actors Won Bin and Gang Dong-won. Its prominence faded in the 2010s as premium offerings — "French Cafe Double Shot" and "French Cafe Roastery" — entered the market. The product has since been sold quietly through online platforms and regional supermarkets.
High inflation and shifting coffee trends are driving the revival. Cup coffee offers stronger price competitiveness than low-cost franchise coffee chains, and its ready-to-drink format makes it highly accessible.
Rivals are also doubling down on cup coffee. Binggrae recently launched a new product under its cup coffee brand "Akafera" in collaboration with roastery cafe brand Fourb to strengthen the lineup. Maeil Dairies fully relaunched its cup coffee brand "Barista Rules" last year and introduced a new brand, "LUCK+ Coffee," through online channels and select convenience stores. Seoul Milk is also reinforcing its cup coffee brand "Coffee Town."
Alongside its cup coffee push, Namyang Dairy Products expanded the product lineups of its coffee mix brands French Cafe and Lucas Nain to 14 and 10 items, respectively, adding functional varieties — including low-sugar, decaffeinated and protein options — as well as differentiated flavors. As a result, coffee mix sales in the first half of this year rose about 15 percent from the same period last year, while cup coffee exports in the same period climbed 11 percent year on year.
"As home-cafe demand recovers amid price hikes at franchise cafes and broader inflationary pressures, functional coffees such as low-sugar and protein varieties are also gaining popularity," an industry official said. "Companies are expanding their product portfolios to reflect functional trends and consumer preferences, while diversifying across categories such as coffee mixes and ready-to-drink products to target both domestic and overseas markets."
spa@heraldcorp.com