April 20, 2024
Retail & Consumer
Convenience stores enjoy booming sales
[THE INVESTOR] Convenience stores in South Korea are enjoying a boom with rising sales, by offering differentiated marketing strategies to woo customers.
Despite a downturn in the retail segment, 30,000 convenience stores nationwide have posted an 18.2 percent increase in revenue last year. Market watchers expect this trend to continue for the next couple of years.
One of the major reasons being attributed is the introduction of private brand products. Through strategic alliances with various other businesses, convenience stores have been able to expand and diversify their product portfolio in order to appeal to consumers. For instance CU has partnered with Maeil, the nation’s largest dairy company, to incorporate yogurts in its microwaveable meals.
“Convenience store PB products are becoming more popular as they adequately met the diversifying consumer trends,” said an industry source.
Along with the introduction of PB products, the stores are also evolving by incorporating other services to meet customer needs. For example, in order to cater to busy customers such as double-income households, a few 7-Eleven stores have started offering laundry services.
In addition, convenience stores have recently been receiving a great deal of exposure through cultural contents. Numerous Korean TV dramas and webtoons are using the stores as their main setting, which helps them promote their products.
By Alex Lee (alexlee@heraldcorp.com)
Despite a downturn in the retail segment, 30,000 convenience stores nationwide have posted an 18.2 percent increase in revenue last year. Market watchers expect this trend to continue for the next couple of years.
One of the major reasons being attributed is the introduction of private brand products. Through strategic alliances with various other businesses, convenience stores have been able to expand and diversify their product portfolio in order to appeal to consumers. For instance CU has partnered with Maeil, the nation’s largest dairy company, to incorporate yogurts in its microwaveable meals.
“Convenience store PB products are becoming more popular as they adequately met the diversifying consumer trends,” said an industry source.
Along with the introduction of PB products, the stores are also evolving by incorporating other services to meet customer needs. For example, in order to cater to busy customers such as double-income households, a few 7-Eleven stores have started offering laundry services.
In addition, convenience stores have recently been receiving a great deal of exposure through cultural contents. Numerous Korean TV dramas and webtoons are using the stores as their main setting, which helps them promote their products.
By Alex Lee (alexlee@heraldcorp.com)
