Ginseng is one of the most premium functional ingredients in Asia, with age often determining the price of these — the current record of most expensive ginseng in the world is valued at over US$500,000 and belongs to a wild ginseng root found in South Korea.
The value of old ginseng is attributed to higher concentrations of ginsenosides, the real beneficial components that contribute benefits such as anti-inflammation, anti-cancer and vitality.
The premium price of ginseng, as well as its complicated processing and unpalatable consumption traditionally, have been two of the most significant challenges faced by the ginseng industry in recent years.
China-based ginseng specialist firm Herbal Player, a spin-off from China’s largest Canadian ginseng importer Yier Healthcare, believes that its patented nanotechnology to extract ginsenosides holds the answer.
“Yes, ginseng is generally expensive, and we actually have a Canadian Ginseng Extract Drink sold in sachet format containing over 100mg of ginsenosides per 100ml that reflects this — but we found that this format has to be priced higher and is very limited in terms of accessibility to the average consumer,” Herbal Player General Manager Celia Xie said at the recent Food and Beverage Innovation Forum (FBIF) in Hangzhou, China.
“This is because to reach the average consumer, we need to get on FMCG platforms where sales move quickly, and to do this we need to have products that are more affordable to really be more FMCG in nature.”
This discovery led the firm to launch updated versions of its ginseng-based sodas and candies, with lower concentrations of ginsenosides in each but still maintaining the relevant health benefits.
“The ginseng candies are a very good format for convenience stores, as these are pressed candies that come in tubes and are a relatively vitality boost at CNY29.90 (US$4.37) per 18-candy tube,” she added.
“Then there are our new upgraded ginseng sodas which have over 30mg of ginsenosides per 100ml, containing not only Canadian ginseng but also liquorice for regulating the body’s qi as well as mint for a cooling sensation.”
Beverages containing ginseng are nothing new, but Herbal Player has emerged as a market-first in terms of infusing this into a sparkling drink, thanks to its nanotechnology.
“Extracted ginsenosides are much more easily made into a sparkling soda than conventional methods,” Xie said.
“Moving forward, the same principle will apply for us to other new innovations as well, such as ginseng-based coffees and lattes.”
Not too young, not too old
Herbal Player is playing heavily into the Food As Medicine concept with these new products, but it also has a clear focus on drawing in a specific class of consumer based on its format innovation and price points.
“Our focus is on those around 35, a group of consumer which we see to be not too young to have no spending power, and also just starting to want to improve the way they look after their health and actually take practical action when it comes to making purchases,” she added.
This is also why the brand believes coffee may be its next big category, where it is looking to merge and amplify the benefits of both caffeine and ginsenosides.
“Coffee’s energising effect isn’t actually healthy as too much caffeine does interfere with the nervous system, whereas ginseng has a calming effect as well as anti-fatigue properties which are longer-lasting, so together the consumer gets both an immediate boost as well as longer-lasting, sustained energy,” she said.
