Summary
“Consumer Attitudes and Online Retail Development in South Korea, 2013–2018” is the result of Conlumino’s extensive market research covering the online retail industry in South Korea. It provides the magnitude, growth, share, and dynamics of the online retail market in South Korea. It is an essential tool for companies active across South Korea’s online retail value chain and for new companies considering entry into online the retail market in South Korea. It provides data for historic and forecast online retail sales, and also includes the business environment and country risk related to South Korea’s online retail environment. In addition, it analyses the key consumer trends influencing the South Korean online retail industry.
By examining best practice from the leading national large-scale online retailers (but specifically excluding the likes of Amazon, whose sites are well-known and vary little by country), as well as reviewing innovative approaches from smaller retailers, the report provides insights and ideas about how best to approach growing online sales for your business.
Key Findings
• M-commerce is soaring with the increase in smart phone penetration and high mobile internet usage
• The online channel is forecast to grow at a CAGR of 11.38% in 2013–2018, to reach KRW31 trillion in 2018, and increase its contribution to 9% of total South Korean retail sales, compared to 7.6% in 2013
• Aging consumers are a key target group for retailers, as they seek convenience in shopping and delivery
• Retailers are adopting omni-channel strategies to provide unique services in order to provide greater convenience to online customers
• Electrical and electronics is the largest sold category over the online channel in 2013; however, apparel, accessories, luggage, and leather goods is set to surpass their sales by 2018
Synopsis
• Provides in-depth analysis of the latest trends in online consumer shopping, covering the factors driving online shopping, consumer insights, market dynamics (covering 26 product categories), and reviews of the latest best practice in online retail site design
• Based on the latest data, the report not only provides details of the size and growth of this increasingly important channel, it also provides essential context on the penetration of online sales by product groups, how growth has developed over time, and key factors that will drive this market in the future
Reasons To Buy
• The report helps to improve market and strategic planning using highly granular, forward-looking market data. Detailed category coverage is provided, covering 26 products, across nine product groups that include: Apparel, Accessories, Luggage and Leather Goods, Book, News and Stationery, Electricals and Electronics, Food and Grocery, Health & Beauty, Furniture and Floor Coverings, Home and Garden Products, Music, Video and Entertainment Software, and Sports and Leisure Equipment
• Understand the consumer behavior and online trends in South Korea
• Understand which products will be the major winners and losers in the online arena in the coming years
• Learn from best practice approaches outlined in the case studies of leading online retailers
List Of Content
1 Introduction
1.1 What is this Report About?
2 Market at a glance
3 Consumer Insight: Online Shopping Attitudes and Behaviors
3.1 Overview of South Korea's Online Shopping Environment
3.1.1 Internet penetration in South Korea is reaching saturation point
3.1.2 Average broadband speed recorded in South Korea is 22 Mbps
3.2 Consumer Attitudes and Behavior
3.2.1 M-commerce is soaring in South Korea, with the rise in smartphone ownership and mobile internet penetration
3.2.2 Retailers adopting omni-channel strategies to providing unique services in order to increase their customer base
3.2.3 Online Clothing and footwear sales is on rise
3.2.4 Social commerce is growing rapidly in South Korea
3.2.5 Online retailers targeting aging population in South Korea
3.2.6 Rise of single households is boost online sales
4 Online Channel Dynamics
4.1 The Online Channel's Share of Total Retail Sales
4.1.1 South Korea online vs. offline channel forecasts
4.1.2 Online penetration: global and regional comparisons
4.2 Channel Dynamics
4.2.1 South Korea retail channel dynamics - future performance
4.2.2 Channel group share development
4.2.3 Individual channel performance
4.3 Category Dynamics
4.3.1 Online vs. offline retail sales comparison by category group, 2013
4.3.2 Online retail market dynamics by category
4.3.3 Online retail sales share by category group
4.3.4 Online retail sales growth by individual category
4.3.5 Food and grocery categories: market size and forecasts
4.3.6 Electrical and Electronics categories: market size and forecasts
4.3.7 Music, video, and entertainment software categories: market size and forecasts
4.3.8 Apparel, accessories, luggage and leather goods categories: size and forecasts
4.3.9 Books, News and Stationery categories: Market Size and Forecasts
4.3.10 Sports and Leisure equipment categories: market size and forecasts
4.3.11 Furniture and floor coverings categories: market size and forecasts
4.3.12 Home and Garden categories: market size and forecasts
4.3.13 Health and Beauty categories: market size and forecasts
5 Case Studies: Leading Online Retailers in South Korea
5.1 Retailer 1: Lotte Inc.
5.1.1 Business description
5.1.2 Site experience
5.2 Retailer 2: Interpark INT
5.2.1 Business description
5.2.2 Site experience
5.3 Retailer 3: CJmall.com
5.3.1 Business Description
5.3.2 Site Experience
5.4 Other Innovative Retailers in South Korea
5.4.1 G-market
5.4.2 Emart
5.4.3 Galleria.co.kr
6 Appendix
6.1 Definitions
6.1.1 This report provides 2013 actual sales; while forecasts are provided for 2014 - 2018
6.2 Summary Methodology
6.2.1 Overview
6.2.2 The triangulated market sizing method
6.2.3 Industry surveys in the creation of retail market data
6.2.4 Quality control and standardized processes
6.3 About Conlumino
6.4 Disclaimer
List Of Table
Table 1: Online Retail Sales in South Korea, 2013 and 2018
Table 2: South Korea Online vs. Offline Retail Sales and Forecast (KRW billion), 2008-2018
Table 3: South Korea vs. Offline Retail Sales and Forecast (USD billion),2008-2018
Table 4: South Korea vs. Offline Retail Sales and Forecast (% Share), 2008-2018
Table 5: South Korea Online Sales vs. Global Average, 2008, 2013 and 2018
Table 6: South Korea Online Sales vs. Asia-Pacific, 2008, 2013 and 2018
Table 7: South Korea Overall Retail Segmentation (KRW billion) by Channel Group, 2008-2018
Table 8: South Korea Channel Retail Sales and Forecast (KRW billion) by Channel Group, 2008-2018
Table 9: South Korea Channel Retail Sales and Forecast (USD billion) by Channel Group, 2008-2018
Table 10: South Korea Channel Retail Sales and Forecast (% Share) by Channel Group, 2008-2018
Table 11:South Korea Channel Retail Sales and Forecast (KRW billion) by Channel, 2008-2018
Table 12: South Korea Channel Retail Sales and Forecast (USD billion) by Channel, 2008-2018
Table 13: South Korea Retail Sales Split (KRW billion), Online vs. Offline, 2013
Table 14: South Korea Retail Sales Split (USD billion), Online vs. Offline, 2013
Table 15: South Korea Online Market Dynamics by Category Group, 2008-2018
Table 16: South Korea Retail Sales and Forecast (KRW billion) by Category Group, 2008-2018
Table 17: South Korea Online Retail Sales and Forecast (USD billion) by Category Group, 2008-2018
Table 18: South Korea Total and Online Retail Sales in Food and Grocery Categories (KRW billion), 2008-2018
Table 19: South Korea Total and Online Retail Sales in Food and Grocery Categories (USD billion), 2008-2018
Table 20: South Korea Total and Online Retail Sales in Electrical and Electronics Categories (KRW billion), 2008-2018
Table 21: South Korea Total and Online Retail Sales in Electrical and Electronics Categories (USD billion), 2008-2018
Table 22: South Korea Total and Online Retail Sales in Music, Video and Entertainment Categories (KRW billion), 2008-2018
Table 23: South Korea Total and Online Retail Sales in Music, Video and Entertainment Categories (USD billion), 2008-2018
Table 24: South Korea Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (KRW billion), 2008-2018
Table 25: South Korea Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (USD billion), 2008-2018
Table 26: South Korea Total and Online Retail Sales in Books, News and Stationery Categories (KRW billion), 2008-2018
Table 27: South Korea Total and Online Retail Sales in Books, News and Stationery Categories (USD billion), 2008-2018
Table 28: South Korea Total and Online Retail Sales in Sports and Leisure Equipment Categories (KRW billion), 2008-2018
Table 29: South Korea Total and Online Retail Sales in Sports and Leisure Equipment Categories (USD billion), 2008-2018
Table 30: South Korea Total and Online Retail Sales in Furniture and Floor Coverings Categories (KRW billion), 2008-2018
Table 31: South Korea Total and Online Retail Sales in Furniture and Floor Coverings Categories (USD billion), 2008-2018
Table 32: South Korea Total and Online Retail Sales in Home and Garden Products Categories (KRW billion), 2008-2018
Table 33: South Korea Total and Online Retail Sales in Home and Garden Products Categories (USD billion), 2008-2018
Table 34: South Korea Total and Online Retail Sales in Health and Beauty Categories (KRW billion), 2008-2018
Table 35: South Korea Total and Online Retail Sales in Health and Beauty Categories (USD billion), 2008-2018
Table 36: South Korea Exchange Rate KRW-USD (Annual Average), 2008-2013
Table 37: South Korea Exchange Rate KRW-USD (Annual Average), 2014-2018 Forecasts
Table 38: Conlumino Retail Channel Definitions
Table 39: Conlumino Retail Category Definitions
List Of Figures
Figure 1: Share of Online Retail Sales in Total Retail Sales, 2013 and 2018
Figure 2: Total Internet Users and Penetration, 2008-2013
Figure 3: Total Fixed Broadband Subscribers and Penetration, 2008-2013
Figure 4: M-commerce in South Korea
Figure 5: Retailers Adopting Omni-channel Strategies
Figure 6: Online Retail Sales of Clothing and Footwear in South Korea
Figure 7: Growth in social commerce
Figure 8: Aging Population in South Korea
Figure 9: Growth of single households in South Korea
Figure 10: Regional Fixed Broadband Users and its Penetration, 2012 and 2017
Figure 11: Regional Mobile Broadband Users and its Penetration, 2012 and 2017
Figure 12: South Korea and Offline Retail Sales and Forecast (KRW billion), 2008-2018
Figure 13: South Korea Online Sales vs. Global Average (% of Total Retail)
Figure 14: South Korea Online Sales vs. Asia-Pacific Countries Average (% of Total Retail)
Figure 15: South Korea Overall Retail Market Dynamics by Channel Group, 2008-2018
Figure 16: South Korea Retail Sales and Forecast (KRW billion) by Channel Group, 2008-2018
Figure 17: South Korea Retail Sales, Online vs. Offline, 2013
Figure 18: South Korea Online Market Dynamics by Category Group, 2008-2018
Figure 19: South Korea Online Retail Sales and Forecast (KRW billion) by Category Group, 2008-2018
Figure 20: Webpage Layout - Lotte.com
Figure 21: Product view - Lotte.com
Figure 22: Customer review - Lotte.com
Figure 23: Home Page - interpark.com
Figure 24: Product View - interpark.com
Figure 25: Customer reviews - interpark.com
Figure 26: CJmall.com - use of online space
Figure 27: CJmall.com - Power Sale display
Figure 28: CJmall.com - First Look and Olive Young webpage
Figure 29: CJmall.com - Use of Images in Product and Brand Categorization
Figure 30: CJmall.com - detailed view of a selected product
Figure 31: CJmall.com - Direct links to featured websites (highlighted red rectangle)
Figure 32: CJmall.com - Direct links to featured websites (example Shoedazzle)
Figure 33: CJmall.com - Detailed information on selected products
Figure 34: CJmall.com - Consumer Services
Figure 35: CJmall.com - CJ One membership card
Figure 36: CJmall.com - Customer review
Figure 37: CJmall.com - CJ One membership card
Figure 38: Home Page - Gmarket
Figure 39: Emart Home Page and Flying Store
Figure 40: Flash Sales
Figure 41: The Triangulated Market Sizing Methodology
