Drugmakers are expanding sales of health functional foods and other products to Daiso, a fixed-price household goods chain, as they move beyond pharmacy-centered distribution. With consumers seeking ultra-low prices and value during a downturn, companies are aiming to lower the cost burden and broaden customer touchpoints. The shift is also spreading to quick-commerce delivery channels.
According to the industry on May 3, Chong Kun Dang launched six small-portion, small-pack “Dailywise” health functional foods and seven gummy products at Daiso. The lineup includes basics such as multivitamins and minerals and omega-3, as well as “Women’s Health Respecta Probiotics.”
Dongwha Pharm has also released nine Daiso-only daily health products, including “Pyeonan Hwal,” “Quick&Sure,” “by. Ssanghwa-won” and “by. Maglab.” The company said Pyeonan Hwal and other items ranked No. 1 in the food category after launch, and initial online-mall inventory sold out quickly, leading to temporary shortages. By. Ssanghwa-won and by. Maglab are sub-brands of Ssanghwa-won and Maglab, planned as Daiso-exclusive products tailored to the channel.
The broader retail push is translating into earnings. Chong Kun Dang Health returned to profitability last year, posting operating profit of 37.3 billion won, helped by expanded supplement sales. Daewoong Pharmaceutical also reported that its OTC sales rose 27% from a year earlier to 43.7 billion won as sales of supplements launched through Daiso increased. Both companies moved early to offer ultra-low-priced supplements at Daiso, pricing key items at a fixed 3,000 to 5,000 won.
Jeong Dong-hee, an analyst at Samsung Securities, said Daewoong’s core products such as Ursa are expected to grow through pharmacies, while new health functional foods should expand through general retail channels. He projected the company’s OTC division revenue will rise from 160.6 billion won in 2025 to 184.7 billion won this year.
As low-price, small-portion strategies centered on Daiso lift sales, the approach is spreading to other channels.
Dong-A Pharmaceutical has placed four items from its health functional food brand Selparex on Baemin’s B Mart delivery platform. All are sold as one-month supplies at a fixed price of 5,000 won. Dongkook Pharmaceutical and Kwangdong Pharmaceutical are also already supplying products to quick-commerce channels. Industry officials say the model is taking shape: use small packs to improve accessibility and draw new demand, then expand distribution based on that base.
A pharmaceutical company official said small-pack products are a sales strategy designed around consumer accessibility, and are meaningful because they can introduce products to more customers. With online and offline distribution channels diversifying, the official said, expanding points of sale is a natural trend.
* This article has been translated by AI.
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