Wells Launches New Concept Rental Business 'Gongyu Rental'

A New Concept Rental Business Combining Traditional Rental Advantages with Autonomy to Choose According to Personal Needs

Wellsfarm

[Asia Economy Reporter Kim Cheol-hyun] Kyowon Group's comprehensive health appliance brand 'Wells' is expanding its business area by newly launching 'shared rental,' the first of its kind in the rental industry.

On the 4th, Wells announced that it plans to accelerate its growth trajectory by implementing a 'two-track' strategy combining its existing core rental business, such as water purifiers, with the shared rental business. The reason Wells subdivided its rental business area is to actively respond to the rapidly changing market environment and trends. As the rental market size grows rapidly every year, customer demands are becoming more diverse and varied, causing consumption patterns to change drastically.

Accordingly, Wells proposed a new paradigm service called 'shared rental' to actively respond to the expansion of the rental market and various customer demands. Wells explains that the shared rental being introduced this time is a new business model that combines the advantages of existing rental services, represented by water purifiers, with autonomy that allows use according to individual circumstances and needs. The main items are products that customers are highly willing to use but hesitate to purchase due to price and contract period burdens, and the service lowers the price burden and minimizes restrictions on usage periods so customers can choose and use them when needed.

The first product introduced under shared rental is the plant cultivator 'Wells Farm.' With shared rental Wells Farm, customers pay about 20,000 KRW per month to regularly receive and grow their desired vegetable seedlings. When applying for Wells Farm, the device is provided free of charge, and the monthly fee includes regular delivery of pesticide-free vegetable seedlings and hygiene management services. Customers can select vegetable seedlings according to their preferences and lifestyle, and the usage period is set to one year to increase autonomy.

The vegetable seedlings are composed of four packages, and customers using the Wells Farm shared rental service can switch to different packages during the service period. The selected vegetable seedlings are delivered to the customer's home every two months. The freshness and quality of the vegetable seedlings are maintained and delivered to the customer's doorstep within 24 hours. Additionally, a Wells Farm professional engineer provides a safety care service every two months. Professional management is conducted, including device inspection to check for any abnormalities and growth management of the vegetable seedlings.

Wells plans to continuously expand the shared rental lineup starting with Wells Farm. They plan to introduce products that can create synergy effects in conjunction with core rental businesses such as water purifiers and bidets. Priority is being given to products with high experiential demand, those sensitive to seasons and trends, and items with high price entry barriers, with plans to sequentially expand the lineup. They are also preparing to launch home healthcare products within the year.

A Wells representative said, "We have proposed a new paradigm called 'shared rental' that lowers entry barriers so customers can use the products they want when needed without burdens such as price or mandatory contract periods." He added, "The shared rental introduced by Wells will be a core strategy targeting young customers who value personal preferences and lifestyles, and it is expected to create synergy with the existing core rental business groups."

This content was produced with the assistance of AI translation services.