Online malls lead South Korea retail growth
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South Korea retail sales inched up 0.7 per cent year on year last month with online malls outshining brick-and-mortar stores, government data shows.
Sales for 13 online stores and marketplaces jumped 21.6 per cent, according to the Ministry of Trade, Industry and Energy, which did not disclose sales figures.
At the same time, sales for 13 offline retailers, including department stores and discount chains, fell 9.2 per cent. Convenience stores were the only bright spot, posting 9.8 per cent growth.
Online malls saw sales soar 25.5 per cent, attributed to people being attracted by online grocery shopping offering fast delivery service.
Online marketplaces also surged 20.4 per cent, with an increase in third-party sellers in the electronic and home-appliance sectors.
Questions & Answers
Q.What was the overall growth rate for retail sales in South Korea last month?
What was the overall growth rate for retail sales in South Korea last month?
South Korea's total retail sales experienced a modest increase of 0.7 per cent year on year last month. This figure represents the combined performance of both online and offline retail sectors.
Q.Which specific type of offline retailer saw positive sales growth?
Which specific type of offline retailer saw positive sales growth?
Among the offline retailers, convenience stores were the only segment to achieve positive sales growth. They recorded a significant increase of 9.8 per cent in sales during the last month.
Q.What contributed to the strong sales growth seen by online malls?
What contributed to the strong sales growth seen by online malls?
The substantial 25.5 per cent sales increase for online malls is attributed to consumer interest in online grocery shopping. This was particularly appealing due to the fast delivery services offered.
Q.Which sectors saw an increase in third-party sellers on online marketplaces?
Which sectors saw an increase in third-party sellers on online marketplaces?
Online marketplaces, which saw sales rise 20.4 per cent, experienced growth in third-party sellers primarily within the electronic and home-appliance sectors. This boosted their overall performance.
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