Lotte opens premium outlet in Giheung
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South Korean retail giant Lotte opened this week a new premium outlet in Giheung, Gyeonggi Province – the second-largest among its branches nationwide and the latest addition to large-scale malls launched by retailers here in hopes of raising offline sales. Lotte is pinning hopes on the latest outlet’s location, citing three highways and five major roads passing through Giheung.
It aims to attract some 25 million shoppers in and around the region including Yongin, Suwon, Dongtan and Bundang in Gyeonggi Province.
Chung Hoo-sik, an official in charge of the Giheung outlet, said that the shopping mall is geared toward consumers in their 30s and 40s who have children and live in southern Gyeonggi Province.
“We found that 30- and 40-something customers from those areas have strong spending power. To attract them, we put entertainment facilities like an outdoor playground and entertainment zones for their kids (inside the outlet),” said Chung at a press conference on the launch.
Built on 150,000 square meters of land, Lotte’s premium outlet in Giheung features 300 brands and is equipped with 3,000 parking lots. It is Lotte’s sixth premium outlet.
The outlet has an indoor surf shop, Flow House, spanning 490 square meters. Lotte said it also houses Asia’s biggest Nike store in a 1,983-square-meter space.
With an increasing number of people visiting multiplexes or shopping malls, retail giants like Shinsegae and Lotte have been opening large-scale malls in the outskirts of Seoul.
Lotte opened a premium outlet in Goyang, Gyeonggi Province, in October last year, two months after Starfield Goyang was launched. Lotte opened its premium outlet in Paju in 2011, nine months after Shinsegae opened its store.
“We see it as an industry trend to open a mega mall or a premium outlet because there are consumer needs for convenient shopping and enhanced lifestyle,” said Lee Jung-hye, who designed the outlet, adding that Korea’s premium outlet market is valued at 20 trillion won (US$17 billion won).
Questions & Answers
Q.What is the total size of the Giheung outlet site and how many brands does it feature?
What is the total size of the Giheung outlet site and how many brands does it feature?
The premium outlet in Giheung is built on 150,000 square metres of land. It features 300 brands and provides 3,000 parking lots for shoppers.
Q.What unique entertainment facilities are available at the Giheung outlet to attract its target customers?
What unique entertainment facilities are available at the Giheung outlet to attract its target customers?
To attract customers with children, the outlet includes entertainment facilities like an outdoor playground and specific entertainment zones for kids. It also houses an indoor surf shop and Asia’s biggest Nike store.
Q.What is the general trend among retail giants like Lotte and Shinsegae in South Korea?
What is the general trend among retail giants like Lotte and Shinsegae in South Korea?
Retail giants are increasingly opening large-scale malls or premium outlets in the outskirts of Seoul. This trend is driven by consumer needs for convenient shopping and an enhanced lifestyle.
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