[Jeon Young-su's Population Prism] Door-to-door Sales Rising as Adult Channel... New Consumption Scene Opens More When Visited

The novel coronavirus infection (COVID-19) is a shock in itself. Even though only part of it has been revealed, the adverse aftershocks are beyond imagination. Considering its destructive power, returning to the previous situation requires a long time and a lot of effort. Perhaps a new standard (new normal) that cannot be reversed may be adopted. This is a cautious estimate, but Korean society seems likely to have quite a different landscape before and after the outbreak of COVID-19. Another interpretation also gains traction: the pressure for change that was bound to come someday has materialized early. Looking at demographic changes, shifts in consumption patterns were already predicted, and COVID-19 merely accelerated them. A representative example is the emergence of new purchasing patterns instead of the previously taken-for-granted on-site consumption outside the home.

In summary, it is click consumption through online channels. The spread of easy, convenient, and inexpensive online purchasing channels has already become a mainstream trend. The online shopping market, which has shaken the distribution scene, has demonstrated explosive growth potential in conjunction with COVID-19. The tech-savvy younger generation has led the way, and even the elderly population, overcoming their digital illiteracy prejudices, has joined in, making it a dominant purchasing trend. Moreover, COVID-19 designated online channels as essential for daily survival beyond selective advantages and disadvantages. The new market has been opened by not only the accustomed younger generation but also the changed modern adults. Technological innovations that will make things even more convenient, combined with demographic changes, are driving the growth potential of click consumption.

Rapid Change in Consumption Patterns Due to COVID-19
Even Middle-aged People Who Enjoyed On-site Consumption Now 'Click'
To Target Elderly Customers, Coexistence of On-site Purchase + Click Consumption Is Necessary

What deserves attention is the click consumption of the elderly population. The various aspects of click consumption differ by customer age group. Unlike the younger generation who are well aware and adept at using online channels, elderly customers have joined late and have different consumption orientations and purchasing routines, so a uniform and universal approach is not possible. Since long-term on-site purchasing has become a habit, a persuasive point beyond face-to-face consumption is essential. Still, what cannot be overlooked is proven by demographics. Starting with the changed modern adults, the potential number is enormous. The weight inevitably shifts from the low birthrate younger customers to the elderly adult consumption. If click consumption is dominated from middle age, loyal customers through repeat purchases can be secured. They are perfect as a new customer group in the changed era.

The strategy to target elderly customers can be summarized into two points. The satisfaction of on-site purchase and the utility of click consumption coexist exquisitely. The likely method is to receive products at home but make the final purchase decision after confirming them in front of the eyes. In other words, buy conveniently through delivery or courier, but rather than fully absorbing it, purchase after careful consideration. It is paradoxical but reflects the limitations and preferences unique to adults. Modern adults cannot avoid online shopping. As the local neighborhood commercial areas within their living radius collapse, large discount stores remain the only on-site consumption places. On the other hand, transportation and mobility rights are increasingly restricted. Click consumption is at the intersection of satisfying these needs. However, buying without seeing is uneasy. This is the limitation of indirect and non-face-to-face shopping. Ultimately, a specialized channel that allows waiting at home but confirming in front of the eyes comes into view.

Professor Jeon Young-su, Graduate School of International Studies, Hanyang University

The compromise channel of 'on-site purchase + click consumption' is practically solidified as door-to-door sales. Considering the situation changes and preference patterns of the elderly customers as well as the 17 million modern adults (born between 1955 and 1975) who will join in the future, door-to-door sales are likely. It is a 'visiting sales channel.' Selling by visiting solves the individual limitations of on-site purchase and click consumption together. Given the sharp speed of aging, the hurdles for direct shopping due to increased morbidity rates will inevitably rise. However, not everything can be solved by click consumption. It is also difficult to keep up with the rapid changes in click consumption. In Korea, where the population concentration in the metropolitan area is high (52%), the mass emergence of elderly customers living in underpopulated local areas as vulnerable buyers is a foregone conclusion. Door-to-door sales, a visiting sales channel, is a contrarian niche conversion and targeting point with considerable expected effects.

Let's look at leading examples. In Japan, mobile sales by convenience stores are a hot topic. It ranges from direct delivery by pre-order to visiting specific places and times to sell. Seven-Eleven has been operating a mobile sales service (Seven Anshin Delivery) since 2011. After developing a mobile sales vehicle by modifying a light truck, they maintain freshness by categorizing items into four temperature zones to meet the demanding needs of elderly customers. Like convenience stores, a variety of products can be loaded. This is to respond to limited consumption in underpopulated areas and elderly populations. Lawson attempts a differentiation strategy by expanding items to include nursing care products under a separate title (Care Lawson). FamilyMart started mobile sales (Famima-go) and introduced light vehicles to strengthen customized visiting services. Although it began as a social contribution, it realized a win-win calculation by confirming increased sales.

Door-to-door Sales Highlighted as Compromise Channel
Receive at Home but Confirm Before Final Purchase
Successful Cases of 'Visiting Sales Channels' Such as Convenience Store Mobile Sales and Bank Mobile Branches

Visiting sales services are on the rise. The trend is expanding from 'delivery service → visiting service.' It started as simple goods delivery, but meeting customers directly revealed various additional needs. A representative case of successful visiting sales as an adult channel is the local supermarket Heiwado (平和堂). They upgraded beyond simple visiting sales to support services for overall daily life. The Home Support service, started in 2011, listens to necessary needs during product delivery and supplies additional demands. It covers everything from small tasks like light bulb replacement and furniture arrangement to major problem-solving. For single men, retired female call center staff even deliver handwritten customized cooking recipes. Putting items into the refrigerator along with delivery is basic. It naturally induces conversation and discovers and solves additional needs.

Yazuya (やずや), a health food mail-order company, gained a reputation through visiting channels. They deliver health foods preferred by adults and accumulate customer-tailored basic data during the process to commercialize it. They do not end with delivery but constantly find customer needs and analyze and utilize every move. They visit about 100 customer households monthly. The purpose of visits is more to honestly and diversely listen to complaints and wishes than to sell products. It is to read changes in needs that are hard to detect just by sitting. Thanks to this, they identified differentiated middle-aged needs early. Capturing the needs of active seniors, now common sense, is a representative visiting sales achievement. Naturally, it leads to new product launches and service innovations.

The financial sector is also joining. Ogaki Kyoritsu Bank (大垣共立銀行) provides visiting financial services with mobile branches equipped with banking functions. This innovative experiment started in 2000, designing mobile vehicles in the form of convenience stores to visit customers. They shifted their business policy from waiting in the store to seeking customers, with mobile branches taking the frontline. The vehicles are fully equipped with ATMs, staff counters, and lounges for drinking tea, completing branch functions. The service is naturally well-received by elderly customers who find it difficult to travel to branches. It transforms into a place for community interaction through coffee service and friendly daily conversations. It ranks first among regular customers in regional satisfaction surveys of financial institutions. The visiting channel has realized that banks are 'finance + service.'

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