Dining Out and Home Meal Replacements Merge as Food Companies Expand Reach

The boundaries between dining out and home meal replacements (HMR) are dissolving as food companies increasingly target the restaurant market, while eateries expand their HMR businesses. This strategic overlap aims to overcome growth plateaus and secure new revenue streams.

CJ CheilJedang has launched 'Sobaba Chicken' as a standalone brand, building on the success of its frozen chicken product introduced under the 'Gourmet' HMR brand in 2023. With cumulative sales reaching 250 billion won by the first quarter of this year, the company plans to cultivate 'Sobaba Chicken' into a full-fledged chicken specialty brand. To achieve this, CJ CheilJedang is expanding its product line, including a new 'Sobaba Golden Holic' aimed at the fried chicken market, and engaging consumers through pop-up stores and sales at Incheon Munhak Stadium.

In response, chicken franchises are rapidly advancing into the HMR market. BBQ, a major chicken franchise, reported its HMR-focused distribution business sales nearly doubled in the first quarter compared to the previous year. The company attributes this growth to increasing consumer demand for home-cooked meals and convenient options amid rising dining-out costs.

Other chicken franchises are also strengthening their HMR presence. BHC collaborated with CU convenience stores last year to launch products like burritos and kimbap. Kyochon Chicken introduced its HMR brand 'So-sit' last year, and Goobne Mall, operated by G&Food, is enhancing its sales of chicken breast and HMR products.