“I came to Korea to buy this”… ‘Sales surged 564%’ Employees were also surprised

Luxury goods that led the department store boom for three years after the outbreak of Corona 19 in 2020 are being shocked by the economic slowdown this year. With the sales growth rate (compared to the same period last year) of this year’s luxury goods sales of ‘Big 3’ department stores (Lotte, Shinsegae, and Hyundai) barely keeping in single digits, discovering ‘filial piety’ products that can replace luxury goods has emerged as a hot topic in the industry. Shinsegae Department Store’s Busan Centum City branch is considered one of the representative stores that have seen the effects of drastically changing the store composition ( MD ) to ‘K-fashion’

this year . By attracting a large number of unique new designer brands, it is attracting foreign tourists visiting Busan.

All new stores with K-fashionOn the 25th, I visited the Shinsegae Centum City store on the 4th floor of the ‘New Contemporary Specialist’ (photo). Shinsegae started remodeling this place in June this year and reopened on this day, filling 23 out of 47 stores with new brands in about three months. All 23 are domestic up-and-coming fashion brands.

Among them, 14 brands including ‘Recto’, ‘Grove’ and ‘Kinder Salmon’ entered department stores for the first time. Mr. Ivan (28), a tourist from Taiwan, said, “I have been told that there are many brands I have heard of in Taiwan, such as ‘Waritizen’ and ‘Moia’, and I am very satisfied.”

The main target of this specialty hall is MZ generation (millennials + Z generation) women. An accessory zone was created to store bags, jewelry, cosmetics, etc., and a separate pop-up store space was also prepared. In February, Shinsegae transformed the second basement floor of its Centum City store with an area of ​​8,879 square meters into “Hyperground,” the largest young fashion center in Korea. Of the total 47 brands, 20 new stores were opened, most of which are K brands such as ‘ MMLG’ and ‘Portery’.

The Shinsegae Centum City store is seeing the effects of K-fashion. From the opening of Hyperground until the end of last month, sales of people in their 20s and 30s increased by 101% and 87%, respectively, compared to the same period last year. The number of customers outside of Busan increased by 60%.

Intention to substitute E-Lu-ShaThe Shinsegae Centum City store’s sales last year were 1,844.9 billion won, ranking first in the non-metropolitan메이저놀이터 area and fourth in the nation. Even though it has a solid luxury lineup including ‘E Lu Sha’ (Hermes, Louis Vuitton, Chanel), it is accelerating the reorganization of stores centered on K-brands.

In the background, there is a change in fashion consumption trend that has been in full swing this year. Although consumption of luxury goods has shrunk due to the economic downturn, there is a trend of new foreign tourists visiting Korean brands. Shinsegae Centum City store’s foreign sales increased by 465.0% from January to July compared to the same period last year.

Among them, Hyperground is said to have surprised even company officials with a 564.1% increase in foreign sales. Veronica (47), a Singaporean whom I met at the Centum City store, said, “I came to the Centum City store in search of a famous Korean brand store in Singapore, such as ‘Gentle Monster’, an eyewear brand.”

The fact that cruise ships have resumed their arrival at Busan Port from March is also a good thing. According to the Busan Port Authority, more than 50 international cruise ships entered Busan in the first half of this year. More than 53,000 cruise tourists have disembarked here. More than 50 cruise ships are scheduled to arrive in Busan in the second half of the year.

The Centum City store, which puts K-brands on the front, will serve as a K-fashion test bed for Shinsegae Department Store. An official from Shinsegae said, “The newly launched New Contemporary Specialty Hall is centered on designer brands that the MZ generation is passionate about,” and “ will be reborn as a shopping mecca for the MZ generation that covers domestic and foreign consumers.”

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