Korea’s toy, stationery and bicycle companies are pressing the panic button as the country’s youth population, key contributors to their business, is fast shrinking.

According to data released by the Ministry of the Interior and Safety, the number of those under 15 years old reached 6.47 million as of the end of last year, down by nearly 2 million from 8.25 million in 2008.

Bicycle business has been hit hard by such demographic changes on top of tough competition from foreign brands and the rising popularity of public bike-sharing services.

The industry’s leading player Samchuly Bicycle Co. has remained in red since 2018. The No. 2 player Alton Sports also lost money for five straight years from 2015, with cumulative losses from January to September reaching 11.9 billion won ($10.2 million) last year. Bicycles sales fell 20 percent each year, according to market watchers.

The stationery market is also experiencing similar changes.

Monami Co., a Korean stationery products and printer supplier, logged losses in the second and third quarters last year despite expectations on sales growth from consumer boycotts against rival Japanese goods.

A group purchasing system introduced by public schools in 2011 is another reason for the decline in demand for school supplies from domestic brands, usually more expensive than Chinese products.

By Park Eui-myung and Lee Ha-yeon

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]