Hanwha Galleria to open in Seoul on Dec
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Hanwha Galleria, the retail unit of South Korean conglomerate Hanwha, says it will partially open its first duty-free store in downtown Seoul next week.
About 60 per cent of the trading floor of the new store, located at the base of the gold-tinted 63 City Building in Yeouido will open for business on December 28.
The target customers: cashed up Chinese tourists now flocking to Korea in increasing numbers.
The rest of the store will open in June.
The pre-opening will showcase 369 brands, including cosmetics, watches and jewellery, on four floors, with nearly half of them being Korean brands.
Although Hanwha said it has been working on attracting global luxury brands to the store, it has made little progress.
“Although we want to have (luxury brands) in the stores, they are not yet considering opening new shops, thinking they have enough shops (in South Korea),” Hwang Yong-deuk, CEO of Hanwha Galleria, said during a briefing.
The company said it will continue negotiations to house global brands when Lotte World Tower, a duty-free store by retail giant Lotte, closes its outlet this month after losing its operating license in a recent bid.
Hanwha vowed to step up its bid to expand its duty-free business down the road, adding it is targeting 504 billion won (US$429.6 million) in sales at the new store next year.
Questions & Answers
Q.Which specific customers is Hanwha Galleria primarily targeting with its new duty-free store?
Which specific customers is Hanwha Galleria primarily targeting with its new duty-free store?
The new duty-free store is targeting affluent Chinese tourists who are increasingly visiting Korea. Their growing numbers are a key reason for opening the store.
Q.Why has Hanwha Galleria found it difficult to attract global luxury brands to its new store?
Why has Hanwha Galleria found it difficult to attract global luxury brands to its new store?
Hwang Yong-deuk, CEO of Hanwha Galleria, stated that luxury brands are not currently considering new shops. They believe they already have sufficient stores in South Korea.
Q.When will the entire Hanwha Galleria duty-free store be fully open for business?
When will the entire Hanwha Galleria duty-free store be fully open for business?
The store is scheduled for a partial opening next week, with about 60% of the trading floor available on December 28. The remaining sections of the store are expected to open in June.