Aptamil raises key products by about 5,000 won
Milk, stroller brands follow with their own hikes
"I was shocked when I saw the price tag. I do not think I can afford it anymore."
Aptamil, the premium formula brand known among Korean parents as "Gangnam formula," has raised prices on all its products except specialty formulas since last month. The hike comes as persistently high exchange rates and rising logistics costs push up prices across baby formula and milk products.
Nutricia Korea, which distributes Aptamil in South Korea, raised prices on all products except specialty formulas starting Aug. 24, industry sources said Wednesday. The brand's flagship product, Aptamil Pronutra Advance HMO Stage 1 (800 grams), rose from 31,500 won ($23) to 36,500 won, up 5,000 won or 15.9 percent. Aptamil Profutra Duo Advance Stage 1 (800 grams) climbed from 47,500 won to 51,900 won, an increase of 4,400 won or 9.3 percent.
Products imported directly from Germany and other European markets for domestic consumption there were not spared either. A can of the German domestic version of Profutra Duo Advance Stage 1 (800 grams) rose from 42,500 won to 46,900 won, up 4,400 won or 10.4 percent, while Aptamil Tabs Stage 1 (21 sticks), a tablet-form solid formula sold for the European domestic market, jumped from 19,900 won to 23,700 won, up 3,800 won or 19.1 percent.
"Amid rising cost pressure from continued exchange rate fluctuations, changes in the global logistics environment and international affairs, we have internally absorbed as much of the cost as possible to minimize the burden on customers," Nutricia Korea said. "We had no choice but to adjust our sale prices to maintain stable product supply and consistent quality."
Consumers have reacted coldly to the increase. Posts asking about alternative formulas have already appeared on some parenting community sites. "I was surprised that the price jumped by 5,000 won per can," one consumer wrote. "The increase feels excessive, so I am thinking of switching to a domestic formula." Another comment asked for recommendations on products to buy instead of Aptamil.
Aptamil gained popularity and earned the nickname "Gangnam formula" after its official launch in South Korea in 2017. Both officially imported products and items purchased directly from German and European retailers are sold in the domestic market. Despite carrying a higher price tag than major domestic formula brands, Aptamil has held the top market share on the back of demand for premium childcare products. Market research firms have found that Aptamil has held that position without interruption since 2022.
Formula is not the only baby product getting more expensive. a2 Milk, the premium milk brand under New Origin, raised prices on its main products by about 5.9 percent starting July 1. Yuhan Health Life, the company's domestic importer and distributor, said it raised consumer prices "due to the continued rise in raw milk prices, raw materials, logistics costs and labor costs."
Illuma, a premium formula brand from Nestle Korea, saw its price rise from 68,900 won to 71,900 won, an increase of 3,000 won or 4.4 percent, alongside a product renewal. Stroller brand Stokke adjusted prices on some products, including its Tripp Trapp high chair, in February. Bugaboo also raised prices on major product lines including the Butterfly and Dragonfly.
The trend appears poised to spread to the domestic formula industry as well. "High exchange rates and rising prices for packaging materials and imported raw materials are also weighing on domestic dairy companies," an industry source said. "As the white milk market shrinks, non-dairy processed products such as powdered formula and soy milk are actually propping up earnings."
korean@heraldcorp.com
